It seems no matter what the critics say the tech is the new future.
The NFT Naysayers
NFTs and the technology currently has a lot of enemies. There are many that are against NFTs, in multiple articles and conversations had by media and communities the technology has been laughed at, insulted, and even questioned. There are some that have used the tech for nefarious means and others who have seen the tech change their lives completely. There is of course the vocal crowd that sees the technology as worthless and a scam, and this is due to the many pump-and-dump schemes that have come about.
What are NFTs for?
NFTs are meant to unquestionably prove ownership of an item without the need to question trust. The purpose of the platform is to create something that cannot be reproduced but how does that translate with those that state you can simply “right-click” the jpg and have the same thing that the person who paid $30,000 or more for? One simply must understand that by right clicking you are simply taking part in the art concept and not the utility. The art projects have a focus just on the image but the use of the art is what is more important. In the end it is the utility that becomes the more important aspect that cannot be simply copy and paste onto another computer.
NFTs are valued depending on which category they exist in primarily. This is a concept that seems to be missed by most that get into the NFT space. There are of course some very cool “art” projects that have nothing as a utility, those projects for the most part are the most dangerous as they have more volatility than projects with true utility.
NFTs are meant to be a bigger revolution than the internet, providing users with real ownership and earning potential.The main focus and main point of NFTs is to create and build trust, to provide a system where you no longer have to wonder about the origin of a product , one that can be traced back to a source completely. Too many entities have taken advantage of people and their trust and have created a society that has people wondering if things are legit. The Bank of America was exposed for allegedly creating thousands of fraudulent accounts costing their customers money, Wells Fargo has had this issue come to light as well, these are major institutions in the country that have taken advantage of the people and their trust. NFTs and the blockchain are meant to help fix that problem.
Imagine not needing to know if the person you are talking to is being honest or not about graduating from a certain school when you can simply find the NFT in their wallet or connected to their wallet to prove a bank account being completely free of human error. Imagine a world where your information and your data is privately yours and all of your content is connected to you and controlled solely by you. Artists can be given a way to earn each and every time their art is used,fairly.There are so many issues dealing with the misuse of trust that NFTs may be able to correct in the future.
Let us break this down into a more simpler aspect, the wallets. NFTs collected and stored in a personal crypto wallet may have a different utility than just the jpeg itself. Owning a NFT gives you access like a membership card of sorts. Copying the image of someone else’s NFT doesn’t carry over the data held within that NFT at all. You can think of the image part of the NFT as simply the placeholder, a visual representation of the information stored within. Your copy may not have the access codes, information, metadata or what have you to even access the utility of the real version.
A Bored Ape or Y00ts would have to be accessed via a smart wallet and the information provided is way more than just a pretty cool picture.
Most art focused NFT projects will probably not have much value in the future, especially not once new methods and use cases for the technology come to light. Projects with real utility will be what make the technology shine. The use of the technology to create a fair system is what is on the horizon and projects that focus on that are the ones that are going to do better.
In the end it is the utility that is the most important. When the Bored Apes came out it was an art project but the utility behind it has been the driving force of the community. The owners of the Bored Apes NFTs are given full access to a thriving community that includes celebrities and influencers. With that community association holders are then able to freely use the art in any way they feel necessary taking advantage of the leverage created by that access and association. There have been music videos by famous artists Snoop Dogg and Eminem. Restaurants created using the IP and even a virtual Gorillaz-esqe new band. Each of these apes belong to their respective owners and only those owners can benefit from their use.
There are other aspects to NFTs, one major part would be gaming. Games and NFTs are meant to be together despite the current outcry against them. The negative press NFTs have been given lately have not helped with the adoption of the technology but once the tech actually gets done correctly it can change the way gaming is today.
Today with gaming most players are just “wasting their time” putting hours into a game that doesn’t give back. Players pay for the base game, shell out money for cosmetic items, and even pay for downloadable content just to continue a story. Players input tons of time, money, and effort into games that give only minimal entertainment. What if all that could change? NFTs can transform the gaming experience into one not only of enjoyment but of profit as well.
Currently the only way to make money from your gaming hobby is to “git gud” at playing a game such as Call of Duty, Destiny, Fortnite, or whatever your poison is. You then need to amass a massive following on platforms such as Twitch, Youtube gaming, or other online streaming platforms. Sponsorships , merchandising and more are also necessary to turn a profit. To really make a living from gaming you need to be accepted by a corporation or a gaming clan that is already established. What if you didn’t need all of that , instead you could make a secondary income or even a living by just playing and gaining in-game items, wouldn’t that be a positive way to play as well?
Imagine the items you earn in game to be uniquely yours and available for trade or sale. You play the game, fight through a very tough dungeon and then you receive an item that is extremely rare. You now have an item that is truly valuable, you can keep it , modify it to become even more valuable or sell it and make a profit, this makes the game more playable, this makes your time more enjoyable and if you want this makes turning your hobby into a way to earn more plausible.
Gaming is just one of the ways that NFT can be correctly used. As more companies build upon the blockchain more offerings and utilities can be created. Some companies have done an amazing job of marrying their existing business practices to the use of web3 technology. One such company is Nike which has seen great success with NFTs lately.
NFTs done right.
To have NFTs be used in the right way one may need to think of how the asset can be used to correct or fix a problem. The NFT can be used to create a solution for something or someone. The solution has to make sense and thus the utility has to be useful and completely solve the issue at hand. NFTs are poised to change various marketplaces completely if used correctly.
Exclusivity is another major part of a successful NFT. Creating a viable community and building upon that is what makes a project stand out from others. Earlier we spoke on how Bored Apes leveraged its community to become as large as it is now. To own a Bored Ape says a lot about you especially if you were to purchase now instead of when it was first available for mint. Back then the most you spent for a Bored Ape was a few hundred, now purchasing an ape could cost you hundreds of thousands. The uniqueness of the community and the exclusivity behind it drive Bored Apes to be one of the strongest NFT brands out there.
A winning combination would be to have great art and amazing utility, some type of utility that empowers the holder while being secure and offering potential for growth or life-changing gains. There are so many aspects to NFTs that can currently solve many issues that have been created by human error or antiquated tech.
NFTs are not going anywhere, they are simply going to evolve. The use of the technology will change as time goes by and more developers understand what can be done with them exactly. Gamers, artists, musicians, writers, developers and more will all benefit from the changes created by NFTs and the blockchain. Though some may lament on the current state of the technology there is no question that the future for NFTs only looks brighter with each passing day, perhaps instead of fighting the future one should think of how that future could benefit them.