Over the past 12 months, NFTs have taken off in a big way and in particular in the use case of digital artwork such as the Bored Ape Yacht Club (BAYC) and an increased awareness of one of the first NFT art projects, Crypto Punks.
Over the weekend an NFT from the NFT project, Crypto Punks by Larva Labs, sold for 8000 Etherium (ETH) which at the time of this publication, is the equivalent of US$23 Million!
This is the highest Crypto Punk sale to date! CryptoPunk #5822 is one of the 9 Alien Crypto Punks released in 2017. The Alien Punks have the rarest attribute in the 10000 Crypto Punks collection from Larva Labs.
The buyer is deepak.eth, Deepak Thapliyal CEO of Chain.com, a blockchain technology company. @dt_chain on Twitter.
The majority of the world has not heard of NFTs and even if they have, would have a hard time explaining what they are and may only associate them with very expensive JPEGs!
Digital Artwork in the form of an NFT is just ONE use case of the world changing technology that is NFTs, we will cover many more uses of NFTs that you may not be aware of in future posts and podcast episodes so please opt-in to our updates to get the latest.
In the mean time, please let us know in the comments, do you own any NFT artwork and what are your thoughts in general around the NFT phenomenon?
Crazy!
In my humble opinion, NFTs seems like super high risk madness. 🙂 But for those with a strong ticker and who love extreme risk, go for it. I fear I’m getting too old for high stress risk.
From what I can see, it seems to be driven by opportunists and momentum traders. I have to guess the volume is made up by a high proportion of short-term investors who plan to flip their NFT as soon as practical. This does not give any sense of security with regards to longevity.
Aside from the fun of the gamble (and we all suffer from enjoying the highs and lows of bidding and winning), I really worry for those that are left holding their $5 jpg at the end when no one is interested in playing in their realm anymore, choosing instead the next fad.
When that happens no one knows, but an exodus has to be inevitable for each project as interest wanes in that project. In the meantime if you have the balls to hang on, you could clearly do really well. But hang on just a little too long or come in too late and you could lose everything overnight.
My opinion: If you have some spare change to throw a bet on a number, give it a whirl. I’m sure it’s a heap of fun. Just don’t throw in more than you can afford to lose, because my guess is that in the end, a lot of people will lose a lot.
I gave it a whirl. Bought my first NFT as 1 piece out of 999 of a blown up lambo – car.shl0ms.com/app