Nft makes no sense

When the Kings of Leon released their new album as a $50 NFT, they only made it available in that form for two weeks, essentially making a blockchain-powered limited edition.

Actually, doesn’t feel quite right selling this. Will pass.

— Elon Musk (@elonmusk) March 16, 2021

So the simplest way to think about NFTs is as collectibles. Just like a small group of people are willing to drop six figures on a mint-condition, first-edition Charizard, there’s a small group of much richer people willing to pay eight figures to “own” a piece of digital art — even if you or I can freely see that art with a quick Google search.

Sometimes, NFTs are completely silly. An NFT of the Bad Luck Bryan meme sold for $36,000. Other times, they’re less so. You may have seen that Christie’s, a high-end art auctioneer, sold an artist’s NFT for $69 million.

Nft makes no sense

Lastly the quality of the creator. You may care for van Gogh and want to support him in his endeavors, or have a wanting towards owning a painting by exactly him.

Examining these qualities in relation to our three options we might get something like this:

quality of: ╔═════════════╦═════════════╦═════════════╗(physical) ║ original ║ replica ║ selfmade ║ ╠═════════════╬═════════════╬═════════════╣painted ……………. ║ Very Good ║ Good ║ Bad ║physical painting …… ║ Good ║ Very Good ║ Bad ║creator ……………. ║ Very Good ║ Bad ║ Bad ║ ╚═════════════╩═════════════╩═════════════╝

The replica in this example is made from more expensive materials, so it actually gets a better score in ‘quality of physical painting’. This is of course speculative.

Anyways…!

Moving into the digital age.

Nft makes no sense reddit

On the other hand, there is no shortage of stories from across the cryptoverse of people losing everything from one shitcoin or another.

So let me summarize like this:

  • Bitcoin is intended to be pure money, aka, digital gold.
  • Altcoins are intended to be useful in some fashion, aka, digital oil.
  • Memecoins are intended to be gambling chips.

Blockchain

The underlying technology, that enables cryptocurrency to exist, is referred to as “blockchain.” I think this is a bit of a shorthand, as there are a number of elements that go into enabling crypto.

Nft art makes no sense

In liquid markets, like bitcoin, where there are lots of available buyers, you know where you stand. Whereas if you are selling your wares on an NFT marketplace, it may take weeks to realize you’ve been snookered.

CryptoKitties — collectible, “breedable” cats on the Ethereum blockchain — were one of the earlier use cases of NFTs.
They were a huge hit after their launch in late 2017, with one of the highest priced cats selling for $155,000 in ether. Six months later, prices were down 95%.

Similarly, buyers of NFTs will be left holding the bag, when people realize what people were convinced were collectibles, are better off being disposables.

Nft prices make no sense

Source: Raf Grassetti / Reproduction)Source: Raf Grassetti

Wise&Trust co-founder and bestselling author Rudá Pellini shared his perspective on the case in an interview with TechWorld: “In practice, each NFT is a unique digital item. It’s like the Monalisa, you can have a copy, but there is only one original.
The difference is that an NFT is digitally programmed, registered through computational code,” he contextualizes.

As for the legal nature of the technology, the specialist believes that suing internet users for replicating images linked to non-fungible tokens makes no sense.

Logan Paul really was. As today’s news story about Logan Paul made millions selling NFT’s tells us, Logan Paul is definitely a very skilled entrepreneur.

He dropped a set of 3000 NFT’s on Feb 19th, 2021 and each of them were selling for 1 ETH or approx $1800 – $2000 Dollars USD. Right on the first day of launch, he sold 1772 pieces of NFT’s , each having a price of between $1700 – $2500 dollars and made around $3.5 million USD in sales. Just the day after he dropped those Cards, the sales skyrocketed to over $5 million dollars, selling a total of a total of 2,586 NFTs.

To thank his fans and all the buyers, he created a contest , where three buyers are going to receive 1st edition pack of Pokémon cards that are worth over $40,000 dollars.

Nft makes no sense8

He says it may be the weirdest donation Coin Center has ever received: “Now I have to explain how we made tungsten cubes a crypto meme, then there was an NFT backed by tungsten cubes that became hotly traded,” he said. “It makes no sense to anyone who doesn’t pay attention to this stuff.”

For those who haven’t logged on to Twitter of late, the cubes became a meme after an idle tweet by Nic Carter of Coin Metrics, who was amused by the existence of tungsten cubes.

“All the reviews are just like ‘yep, it’s heavy. does what it says on the tin,'” he tweeted.

That observation led to several crypto luminaries buying the item from Amazon, and causing supplier Midwest Tungsten to sell out within hours.

Nft makes no sensei

I vividly remember the moment I realized NFTs, or nonfungible tokens, were a thing.

One of my friends is into cryptocurrency, and he was regaling me with a particularly tempestuous tale. He’d invested $300 into an altcoin, one of the thousands of tokens not named Bitcoin or Ether, but the developer vanished.

Then, after months of silence, the developer returned, revealing they had been working on the coin the whole time. That coin became the hot ticket in crypto town, and my friend’s $300 became $30,000.

Typically preposterous crypto things.

“I’m not going to sell,” he told me. “If you hold the coin for a certain number of days, the developer gives you an NFT. So I’ll wait for that.”

I was staggered. I knew NFTs to be nifty-but-worthless pieces of digital art, but my friend was willing to risk a once-in-a-lifetime jackpot to get one.

Nft makes no sensed

If there is no specific value, some specific benefit that only blockchain can provide, then it is likely that “blockchain” is mere hype.

NFT

Non-Fungible Tokens, or NFT, has been much in the news in 2021. We have all heard crazy stories of bits of fugly icons selling for millions of dollars.
My favorite NFT-hype story so far is that a digital art NFT sold for $69 million in 2021, which is $15 million more than what a Monet painting from 1906 sold for in 2014. But that’s the art world, which seems insane to begin with anyhow.

But what is an NFT anyhow? Ethereum.org explains:

NFTs are tokens that we can use to represent ownership of unique items.
They let us tokenise things like art, collectibles, even real estate.

It’s a perfect marriage.

What about business though? Besides artistic work, trading cards, in-game assets, and sports clips, what are the work-cultural implications of NFTs?

Certainly, NFTs bring an unprecedented level of ambivalence. While they pinpoint and codify value, they also add some welcome fuzziness to business.

And in any case, they open up a new space of meaning and value, a place of artificial scarcity that is both logical and absurd.

For one thing, they make invisible work visible by ascribing value to the original act or moment of creation. They say, ‘yes, it does matter (and we can prove)’ who had an idea for the first time.
A Twitter user, for example, may now tokenize and sell an original tweet of theirs that led to a meme or further conversation, or perhaps even material change.

Just before Halloween weekend, CryptoPunk 9998, one of the 10,000 pixelated characters created by NFT forebears Larva Labs, sold for $500 million. Except it didn’t. And that’s exactly my issue.

For what it’s worth, this is by far the most money racked up by an NFT sale — earlier this year, Beeple’s Everydays: The First 5,000 Dayschanged the world when it sold for $69 million and CryptoPunk 7523raked in over $11 million at auction in June.

But CryptoPunk 9998‘s half-billion-dollar sale wasn’t really a sale at all.

Instead, its owner merely utilized a flash loan — an unsecured, decentralized, single-transaction borrowing that uses smart contracts rather than bankers — to artificially inflate the value of the Punk.

No money laundering involved, though, as the loan defaulted and was automatically canceled by the smart contract.

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