Buyers of Coachella lifetime pass NFTs are incapable to access their tokens amid the continuous hit fall of the FTX cryptocurrency exchange.
In February of this year, Coachella auctioned off 10 lifetime passes to the carnival. Tagged ‘Coachella Keys’, these came in the form of NFTs and were components of cooperation with the cryptocurrency exchange FTX.
Failed Prized Coachella Tickets
The lifetime tickets were priced at a total of USD 1.5million (£1.2million) and stood incorporated in the festival’s extensive range of NFT products called ‘Coachella Collectables’.
Now, the prestige of these is in limbo due to the fall of FTX, after the exchange filed for bankruptcy early this month.
However, holders of the digital hub – the second-biggest cryptocurrency exchange in the world – illustrated a severe liquidity crisis as the explanation for its fall, leaving thousands of holders who’d stored NFTs on the forum unable to gain entry to their tokens.
Billboard, says many of the Coachella lifetime permits are stuck on the now-defunct exchange. A representative for Coachella said the forum appears to be sabotaged at the moment.
Future Laid-out Plans To Sort Concerns
Meanwhile, one collector said he was only eligible to add the Coachella Key to his wallet because he relinquished it from FTX in the days before the wreck. Any patrons who left the permits stored on the exchange would no longer be eligible to enter them.
Moreover, Speaking of the NFT hit in a statement to Billboard, Coachella’s innovation lead, Sam Schoonover, said: We’re vigorously working on remedies and are optimistic we’ll be able to safeguard the investments of Coachella’s NFT holders.
Meanwhile, on the festival’s discord server, one employee wrote: Like many of you, we have been attending to this news to be revealed online over the earlier few days and are stunned by the outreach.
Furthermore, We do not presently have any lines of communication with the FTX team. We have developed an internal team to come up with remedies based on the tools we have admission to. Simply put, our priority is getting Coachella NFTs off of FTX.