BigONE View: Are you willing to pay for NFT?
If you have $1,000,000, would you spend it on NFT?
NFT made headlines in 2021 after a digital artwork sold for more than $69 million. Soon after, Twitter CEO Jack Dorsey sold the first Tweet NFT for $2.9 million, propelling NFT back to the top. The introduction of NFT thrills the art world and crypto asset enthusiasts because it presents a fresh answer to a problem that has troubled numerous people: how to prove the ownership and provenance of a work of art that is easily copied? The fundamental challenge for many artists in the digital age is that they can’t make money from their creations, even if they’re highly successful and shared a lot, but NFT can change that.
What is NFT?
NFT, a non-homogeneous token can also be called an irreplaceable token, a unique encrypted token stored on the blockchain.
Blockchain: You may have heard of blockchain, which is the technology behind Bitcoin and other cryptocurrencies. It is a bit like a huge, encrypted ledger or database that cannot be destroyed or tampered with. Digital currency is an application of blockchain technology, but it is not the only one. You can also use the smart contract system to record agreements in the ledger. These contracts allow creators to show that they have ownership of the work of art. If the work of art is resold, the creator will claim royalties. All this information is stored in a token or a blockchain ledger.
Non-fungible assets: Fungible assets are interchangeable. For example, the value of a dollar bill is the same as another dollar bill. In contrast, irreplaceable assets are unique-such as Van Gogh’s original paintings. Or, you created a cartoon-like dog, which proved to be very popular and shared by millions of people. NFT allows you to claim authorship and sell original cartoon dogs. Even if there are copies on millions of hard drives, NFT will make the original file unique, like the difference between having a Van Gogh painting and a print of the same painting.
According to BigONE data, the value of the NFT market in 2020 is more than $250 million US dollars, which is three times the value in 2019. According to DappRadar data, as of August 2, 2021, the trading volume of CryptoPunks NFT, the first NFT project on Ethereum, has increased by 1,270% in the last 7 days, surpassing US$120 million. The market has tremendous potential.
Can NFT sell for $100,000,000?
So far, there are only a few NFT artworks whose prices have exceeded ten million U.S. dollars. If you want to understand why NFT artwork is sold at such a high price, think of it as the unpredictable value of artwork multiplied by the unpredictable value of cryptocurrency. BigONE believes that more than 100 million US dollars of NFT will be sold in the future. Historically, it is difficult for art to be given value. The world is currently in a blockchain frenzy because people guess anything related to the blockchain has potential value.
BigONE has compiled a list of the top NFT art sales:
⦁ Mike Winkelmann, a digital artist, known as Beeple, was able to sell “Everyday: First 5000 Days” at Christie’s for more than $69 million
⦁ The mysterious Pak (no one knows who Pak is) sold “Pixel” for $1,355,555
⦁ Digital artist Fewocious sold “Eternal Beauty” for $555,000
⦁ Crypto art leader Trevor Jones sold “Bitcoin Angel” for $188,888
The value of NFT is not only embodied in art. Some of the earliest NFTs are CryptoKitties, which is part of a simple game in which users can buy, sell and breed digital cats with different rarity levels. Moreover, because each cat is unique, these cats can be bought and sold. The most expensive cat so far has sold for more than $100,000.
Musicians are also exploring the potential of NFTs. Kings of Leon made nearly $2 million by selling a set of NFTs called “NFT Yourself.” The series includes artworks and a limited edition vinyl record of the latest Kings of Leon album.
If you are a collector of trading cards, you can buy unique clips of your favorite basketball moments on the NBA’s Top Shot platform. These upgraded cards sell for as low as $9, but the most expensive moment exceeds $200.
Where can I buy NFT?
If you want to buy NFT, you don’t have to go to Christie’s auction house. However, just like buying cryptocurrency from a reputable cryptocurrency exchange, please try to choose an excellent NFT platform to buy, such as INFLUXO, Opensea, SuperRare, and Nifty Gateway.
BigONE hopes you keep in mind that, like cryptocurrencies, many aspects of NFTs are continuously growing. Whether you are an art buyer or seller, you will notice that many NFT exchanges require transactions in USDT, BTC, and ETH, the world’s three major cryptocurrencies. Before you can begin your journey into the realm of NFT, you must first acquire these three coins. NFTs, like many areas of the crypto market, have a lot of potentials, but there are also a lot of risks. Before you invest your hard-earned money, make sure you thoroughly understand them.
About BigONE
BigONE is a global cryptocurrency exchange that provides a platform for trading various cryptocurrencies. It was founded in 2017 and registered in the Netherlands. The group operates in Russia, Brazil, Vietnam, Seychelles, Singapore, Japan, and Indonesia, providing marketing, investment, and blockchain technology research & development.
