Yuga Labs, the creative force behind the Bored Ape Yacht Club (BAYC) NFT collection, has made a significant decision to sell off the intellectual property rights of two of its games, HV-MTL and Legends of the Mara. This strategic move aligns with the company’s aim to refocus its efforts and provide more freedom to the BAYC team.

The Deal: Faraway Acquires IP Rights

In an announcement dated April 17, Yuga Labs disclosed that it had reached an agreement with Web3 gaming firm Faraway for the acquisition of the intellectual property rights of HV-MTL and Legends of the Mara. As part of the deal, Spencer Tucker, Yuga Labs’ chief gaming officer, will transition to Faraway, taking on the role of chief product officer to ensure continuity and smooth integration of the games into Faraway’s portfolio.

HV-MTL is a nonfungible token (NFT)-focused “mech” game that allows players to manage and enhance their NFTs within various local environments. On the other hand, Legends of the Mara is an adventure game embedded within the Otherside metaverse, which was launched on April 30, 2022.

Collaborative History: Yuga Labs and Faraway

This transaction isn’t the first collaboration between Yuga Labs and Faraway. Previously, Faraway had developed a game themed around the Mutant Ape Yacht Club, known as Serum City. The synergy between the two entities facilitated a smooth transition of the IP rights.

Yuga Labs’ decision to divest its gaming IP to Faraway reflects a broader strategic move initiated by co-founder Greg Solano, who took over as CEO in February. Solano expressed the intention to “unshackle” the BAYC team, allowing them greater focus and agility in executing their vision.

Navigating Market Challenges

The announcement coincides with a challenging period for the NFT market, characterized by a downturn in prices. BAYC, a flagship collection within the NFT space, has also seen a significant decline in its floor price, currently down 92% from its all-time high.

Earlier this year, Yuga Labs faced criticism from the NFT community when it announced the acquisition of the Moonbirds collection and brought on its creator, Kevin Rose, as an adviser. This move sparked outrage among some holders and members of the community.

Yuga Labs’ decision to offload its gaming IP underscores its commitment to strategic refocusing and empowering its flagship BAYC team amidst market challenges and evolving dynamics within the NFT space.