PunkStrategy's Market Mechanism Analyzed by NFT Collector

According to PANews, NFT collector punk6529 recently shared insights on PunkStrategy (PS), describing it as an inventory-based market-making mechanism rather than a simple buy-and-hold decentralized autonomous trust (DAT). Unlike the net asset value logic in traditional finance, PS should be viewed as a 'profit stream' and understood through a price-to-earnings ratio approach. It generates market-making funds through token transaction taxes and relists for sale at higher prices. In a rising market, PS can be profitable, whereas in a declining market, it may not be as effective. If one is bullish on CryptoPunks in the long term, PS can still yield profits, though not as efficiently as simply holding the assets. This mechanism benefits the long-term floor price of CryptoPunks rather than the PS tokens themselves. Regardless of its success or failure, PunkStrategy is part of a 'network art experiment' that has been permanently recorded on the blockchain, with expectations of similar experiments emerging in the future.