On May 30, 2025, Yuga Labs announced the sale of the Moonbirds NFT intellectual property (IP) to gaming startup Orange Cap Games. This move represents a strategic shift by Yuga Labs to focus on its core projects, particularly the flagship Bored Ape Yacht Club (BAYC) and its related metaverse initiative, Otherside.
Yuga Labs had previously acquired Moonbirds and its creator Proof in early 2024 as part of an expansion strategy. However, facing a significant downturn in the NFT market—with trading volumes dropping by 95%—Yuga Labs has begun divesting acquired IP assets including CryptoPunks and Meebits earlier in 2025. The transaction with Orange Cap Games highlights a broader industry trend of consolidation and refocusing during challenging market conditions.
Greg Solano, Yuga Labs co-founder and CEO, praised Orange Cap Games and its team for their craftsmanship and dedication, signaling optimism for Moonbirds’ future under the new owner. Orange Cap Games is known for its expertise in consumer crypto and currently develops digital and physical trading card games, including the Pudgy Penguins-themed Vibes TCG launched on the Ethereum layer-2 network Abstract.
Although Orange Cap Games has not yet disclosed specific plans for the Moonbirds IP and associated collections, it indicated that future on-chain assets might be minted on either Ethereum layer-1 or ApeChain, Yuga’s layer-2 solution. The Moonbirds characters are expected to remain part of the Otherside metaverse game developed by Yuga Labs.
The sale signifies Yuga Labs’ strategic realignment towards strengthening and focusing on its primary brand assets amid volatile market conditions, a move anticipated to enhance investor confidence and asset management.
