NFT’s for Investment
Lets explain what non-fungible tokens are, how they work, and what they’re pros and cons are.
Non Fungible Tokens, if you’ve been following the tech news recently, you’ve likely heard of terms such as
- Blockchain, and more recently
- NFT’s (Non Fungible Tokens).
In the last year, NFTs have become more popular, prompting investors to wonder how to buy them.
Beeple images, Twitter CEO Jack Dorsey’s first tweet, and the pixelated CryptoPunk profiles are all examples of NFTs that have been sold for millions of dollars.
- The first Tweet. As mentioned above, Jack Dorsey, the founder of Twitter, sold the NFT for his first Tweet for $2.9 million
- The ‘Nyan Cat’ GIF. The NFT for the colourful GIF sold for 300 Ether (a cryptocurrency), worth around $561,000 at the time.
- The ‘Charlie Bit Me’ Video. The popular video of a baby biting his brother’s finger was viewed over 800 million times on YouTube. The NFT for the video sold for around £500,000.
NFT is a relatively new movement. It is an early demonstration of the potential crypto must make the digital economy work better for everyone.
Creating and selling digital assets might make a lot of sense for creators. Additionally, blockchain technology provides people the ability to move assets of massive value globally, securely, and in full public view.
Just as blockchain technology established a protocol of trust for the formation of digital currency, NFTs are now guarantying its authenticity, uniqueness, and ownership. When it comes to purchasing NFT, it is not as straightforward as some describe.
Due to my interest in everything internet and the strong followings many activities have, I decided to become involved in the creation of a collection of NFT’s (https://diamondnfts.co/) and while NFTs are still in their infancy, they’re a promising new front in the world of technology.
As with any movement in its infancy, risks are abounded so my advice to you is BE cautious and learn as much as you can about NFTs before diving in.
We will be continually posting about our adventures in the new world of the Metaverse and describe to you what is involved and how you become intrenched in this weird wide world of Web3.0. We live in the Web2.0 sphere currently!
It’s no secret that the value of certain NFTs has skyrocketed in the last year and from this success has drawn a lot of attention from the investment community.
There are, of course many pros and cons when buying and using NFTs as there are in any high $$, high risk investment:
What are the cons of NFTs?
Cons of NFTs
- It’s a speculative market. The big question remains to be seen as to whether there is any true value in NFTs. …
- Digital assets can at this stage be copied. The fact is just because someone owns the NFT of a digital asset doesn’t mean that copies of it don’t exist. …
- Environmental costs. … It uses tremendous resources to run this new found world.
- They can be stolen, as people become more verse in coding and password protection this will reduce but right now it is a fact
What are the pros of NFTs?
Pros of NFTs
- New Revenue Stream for Artists
- Smart Contracts
- Pride of Ownership and Support for the Arts
Non-fungible tokens are certificates for ownership of digital assets. The value comes from the collectability of the asset, as well as its potential future sale value. NFTs can be sold and traded. Art can be used as an example, but not the sole purpose of this great new world, so many marketers are moving into this world.
The development is scaling very rapidly and the world of the Metaverse is enormous. Famous, successful marketers are moving onto the scene and Gary Vee has taken this new form art world and created a para existence of both worlds bringing our Web2.0 back into this new Web3.0 by offering NFT’s as tokens to enter current live events, and digital training video invitations, bringing a real world perspective to the new NFT token world.
Nike and Adidas are moving rapidly into this space and combining both the real world and the metaverse to build their brands and awareness in this new space.
Where will we end up? One will obviously watch very closely to see how quickly this world intergrates with our current existance. It has been compared to that of the introduction of the Iphone when blackberry was so popular, many quoted saying “I won’t change I like pressing the buttons too much!” Technology soon changed that idea!
Let us keep open minded and rapidly changing to work within this new Metaverse and enjoy life.. Maybe we will actually be closer to a world of creating our dreams! Stay tuned…