Reply to: NFTs .... am i missing something?

[Jog On]

I get that with a physical 'thing', but NFTs aren't anything .. the 'owner' doesn't really own it and the image or whatever can be copied. I read an analogy to a Picasso - an NFT is like original painting, that only one person can own, but many people can own a print of that painting ... which makes sense, apart from if I own a painting I have something physical, whereas and NFT is nothing at all, just 0's and 1's.

Can't get my head around it personally, and just feels like a bandwaggon being jumped on by bored people trapped at home by the pandemic who have nothing better to do. Clearly some people will make money out of it before the market goes pop, but most people will lose.

It goes further than that. Take the art/jpeg aspect of it away and think of it as a unique digital asset with properties and metadata. This can be a piece of digital art, a share certificate, a legal contract, a concert ticket, a unique or limited edition version of a song/video or anything that requires proof of ownership or membership that can be digitally tied to a single crypto wallet address.

The fact that currently most NFTs are PFP projects with rarity traits is just the most popular use case for this new tech. The use cases for gaming are huge and also virtual metaverses (which are becoming more of a thing) - and these are just recreational use cases. The possibilities for legal contracts, insurance, share certificates etc haven't really even begun yet.

[Whorty]

It kind of makes sense that things that are nothing are bought with currency that is nothing Why people put a value on nothing is beyond me

It's the bandwagon ... people start to see someone else making money and they all want part of it ... but as AtW keeps saying, it's a pyramid scheme, only some will make money at the expense of the majority. But there are a lot of gullible people out there who will believe anything ... you only have to see Scooty's 'investment' threads to see that.

Oh well. Good luck to those doing well, but if I don't understand it then it's not for me.

[tazdevil]

It kind of makes sense that things that are nothing are bought with currency that is nothing Why people put a value on nothing is beyond me

[Whorty]

It's https://en.wikipedia.org/wiki/Beanie...Collectibility

I get that with a physical 'thing', but NFTs aren't anything .. the 'owner' doesn't really own it and the image or whatever can be copied. I read an analogy to a Picasso - an NFT is like original painting, that only one person can own, but many people can own a print of that painting ... which makes sense, apart from if I own a painting I have something physical, whereas and NFT is nothing at all, just 0's and 1's.

Can't get my head around it personally, and just feels like a bandwaggon being jumped on by bored people trapped at home by the pandemic who have nothing better to do. Clearly some people will make money out of it before the market goes pop, but most people will lose.

[NickFitz]

Thanks for the post ... I assume it made sense to somebody, but that went way over my head!

It's https://en.wikipedia.org/wiki/Beanie...Collectibility

[OwlHoot]

There are 2 people buying NFTs, first is people who just don't understand there is no value in them, no rarity, a lot of those people don't understand you aren't actually purchasing any IP or copyright or trademark. The second people are people who understand there is no value there but are just speculators who understand that regardless of whether or not NFTs have no inherent value they are trendy and there are enough idiots and other speculators out there to drive up the price enough for them to make some cash.

I suppose there's also publicity, in that someone ostentatiously paying over the odds for an image can get their name around.

Mind you, I'm not sure being renowned as a gullible mug for spending a fortune on a potentially worthless asset is a Good Thing!

[lorakeen]

I know I'm getting on in years, having my mid life crisis at 51, but what is it with these NFT files? This digital picture has just been sold for £54k yet the 'owner' doesn't even control (own?) the copyright for the image.

So what do they actually get for their money, and why would they want this NFT?

They always seem to be purchased via cryptocurrency, so maybe that's all I need to know ... just another band-wagon to jump on, more emperors new clothes?

Happy to be educated.


https://www.bbc.co.uk/news/world-us-canada-58687070

it kind of smells like a pyramid scheme to me.

[Jog On]

There will be people who will buy those things from you and other artists simply as a way of supporting you, they probably would donate if you set up a GFM though as well.

No, they're crypto whales turned 'art collectors'. A lot of them are flipping them as well.

[jayn200]

There are genuine collectors as well. Also play to earn gamers. I'd say of your 2 types the second type know there is enough value in the current market cycle to buy cheap and sell higher before it goes pop.

There are so many PFP projects out there now and preparing to launch that the space is becoming saturated, there's talk of which projects have enough utility (gaming/DeFi etc) combined with high enough quality artwork to really stand out and survive a bear market. I'd really like to see the money move away from PFP projects and into more creative art and music.

There are individual artists and musicians/producers (including myself) making one-off pieces but they aren't attracting the volumes the PFP projects are. Hopefully this will change.

There will be people who will buy those things from you and other artists simply as a way of supporting you, they probably would donate if you set up a GFM though as well.

[Jog On]

There are 2 people buying NFTs, first is people who just don't understand there is no value in them, no rarity, a lot of those people don't understand you aren't actually purchasing any IP or copyright or trademark. The second people are people who understand there is no value there but are just speculators who understand that regardless of whether or not NFTs have no inherent value they are trendy and there are enough idiots and other speculators out there to drive up the price enough for them to make some cash.

There are genuine collectors as well. Also play to earn gamers. I'd say of your 2 types the second type know there is enough value in the current market cycle to buy cheap and sell higher before it goes pop.

There are so many PFP projects out there now and preparing to launch that the space is becoming saturated, there's talk of which projects have enough utility (gaming/DeFi etc) combined with high enough quality artwork to really stand out and survive a bear market. I'd really like to see the money move away from PFP projects and into more creative art and music.

There are individual artists and musicians/producers (including myself) making one-off pieces but they aren't attracting the volumes the PFP projects are. Hopefully this will change.

[d000hg]

The world is broken; i want to get off.

I could say contractors should be the last ones to challenge the perceived monetary value of resources

[jayn200]

There are 2 people buying NFTs, first is people who just don't understand there is no value in them, no rarity, a lot of those people don't understand you aren't actually purchasing any IP or copyright or trademark. The second people are people who understand there is no value there but are just speculators who understand that regardless of whether or not NFTs have no inherent value they are trendy and there are enough idiots and other speculators out there to drive up the price enough for them to make some cash.

[Whorty]

you hoping something will grow?

Hes hoping for a quick spurt

[Whorty]

They are unique digital assets. Currently mostly digital art that's trading for fairly large amounts. I've bought s few 4 figure ones and am building up quite a nice collection, will sell some but keep some of the rarer ones.

They have utility and use cases that are still being discovered. Some are just unique jpegs, some are online game characters/spaceships/in-game items. Some of the ones I have will give me airdops of other tokens/NFTs and some even generate passive DeFi income. Some are characters/items from play-to-earn games that are still in development.

At the moment most of them are PFP (profile pic) collections which are usually a collection of typically 10,000 images with randomly generated mixtures of a set of traits. EG - 10,000 'apes' with randomly generated backgrounds, skins, hairstyles, accessories etc. Some of these traits are common, some rare and some super rare. Combinations of traits make up an NFTs rarity and value.

If you ever played 'Top Trumps' it's like that. If you ever played MMO games like WOW and played the auction house (scouring for underpriced items then relisting them for profit) that's how you can play the NFT flipping game for real money.

They are in a bubble right now that will probably pop when this market cycle does so if you want to flip some JPEGS I'd get your skates on. Also they are illiquid - you can't just sell it back to the market when you want, someone else has to buy it.

Beyond digital art and PFPs the potential is huge, especially for music, legal contracts and way more.

Thanks for the post ... I assume it made sense to somebody, but that went way over my head!

[Jog On]

Sotheby’s Brings in $26 Million with Bored Ape NFT Bundle

The sale only had two lots on offer. One was a bundle of 101 Bored Ape Yacht Club NFTs. That lot realized $24.4 million. Bored Ape Yacht Club (BAYC) is a profile-pic project (à la the popular Crypto Punk series) with 10,000 unique Apes, each has traits of varying rarity. The Apes exploded in popularity and price since they were released in April. Just last week, Bored Ape #3749, sporting a sailor’s cap, gold fur, and lasers coming from its eyes, sold for $2.6 million on the NFT trading platform OpenSea.

Those apes launched for 0.08 Ethereum each - $241.38 at today's price.

The Gecko in my profile pic I bought for 4.3 SOL (Solana), the floor price (cheapest on offer) for a Gecko with the 'aggressive mouth' trait this one has is currently 21 SOL so almost 5x what I paid for it last week. 1 SOL is around $142 right now, reached $215 earlier this year and could go as high as $500 this bull run.

Scoff all you like and yes please stay out of NFTs - thanks