Have you heard about non-fungible tokens (NFTs) in the news and are wondering if they will be resourceful for the metaverse in the future? Since NFTs have been around for so long, you have every right to be curious. However, following the multimillion-dollar sales report of NFTs, they have suddenly become a hot topic in town.
These one-of-a-kind crypto tokens guarantee authenticity, allow digital artifacts to be monetized, and track ownership. But first, let us see if they actually power the metaverse or if this is merely a tech bubble.
Non-Fungible Tokens – A Brief Overview
Anything we create and post on the internet, such as animation or live broadcasts, is an immutable token that serves as an authenticity certificate. So, it is an intangible asset that can never be replaced. It can, however, be linked to non-fungible tokens.
You generally get Ethereum NFTs when you associate these assets with a specific blockchain transaction. In a nutshell, NFTs are digital tokens that use blockchain to protect the ownership and legitimacy of a unique asset.
Growth of NFT World Throughout The Decades
The non-fungible token, initially known as “colored coins,” took a long time to gain traction in the crypto industry. Since every business is incorporating more digital assets, NFT provides critical ownership rights that are making their way across the market.
Let us have a look at the value of NFT in the past, present, and future.
Past of NFT
Non-fungible tokens were known as a “tech bubble” until the first-ever NFT, “Quantum,” by Kevin McCoy was sold for $1.4 million in 2014. After that, these non-fungible tokens started to get massive auctions and bids for paintings, films, albums, memes, Twitter posts, and other remarkable digital art.
Present of NFT
NFT hit the $13.7 million mark in the first half of 2020. However, the value of non-fungible tokens reached new highs in the first half of 2021 when it hit $2.5 billion. NFT has been up to a high sales rate ever since it exploded in popularity this year. According to a big non-fungible token marketplace known as OpenSea, the monthly sales rate broke the previous records in June.
According to NonFungible.com, in March, a digital picture for a record was sold as an NFT for $69.3 million at Christie’s. Furthermore, the second most expensive non-fungible token sold at Sotheby’s for $11.8 million and was a “CryptoPunk.”
Future of NFT
According to a report by NonFungible.com, the NFT market grew three times by 299% in 2020. Moreover, the total transactions — be it minting, renting, or breeding — went from $62,862,687 to $250,846,205 in just a year, indicating future growth. The skyrocketing 97% increase was recorded in the actual active wallets in NFT making transactions.
According to experts, the NFT market needs a few more steps to reach its actual worth. But when there is a future, there are amendments. These amendments include diverse operations, more reliable authentication tools, scalability other than Layer-1 blockchain, security, and better accessibility.
What Do Experts Have to Say About NFTs?
Some of the experienced people in crypto mark NFT as a hit, while some see it as a bubble. In an interview, Matt Stephenson, an NFT expert, explains two types of people in NFT — investors and collectors.
The value of the NFT market depends on whether you take it for functional or hedonic value. Investors have the concept of, “what use is this to me in the long run?”, while collectors believe in, “how much do I want this concept?”.
Merav Ozair, a crypto and blockchain expert, thinks the use of NFT will soon increase rapidly as the transactions become safer, easier, and more transparent. On the other hand, Nadya Ivanova, COO of an emerging market firm collaborating with NonFungible.com, thinks anyone can create an NFT on anything over the internet, resulting in some “really bad” tokens.
The investor or collector needs to have an eye for NFTs. She further stated, “That applies to the physical art market as well — it’s usually a space for the knowledgeable. Same thing with NFT art.”
Nicholas Weaver, another blockchain expert, thinks of NFT as a bubble. He believes it has no actual value other than what people assume about NFTs.
Keeping Kobe Bryant’s Legacy Alive Through KB24 NFT – #KB24
KB24.com was originally Kobe’s website, which was used to update his fans about his career and other projects. After his passing, the site went up for auction and was bought by superfans Andy Treys and Sako Waves.
This duo is bringing in a brand new NFT event through Discord, which will present a new art collection that is open for presales. The art collection features digital art pieces with never-seen-before attributes.
The value of the NFTs is created on the Ethereum blockchain by the managers via algorithmic generation of tokens. Every KB24 NFT values for 0.08ETH, which is a great value for fans to access. A total of 10,000 KB24 NFTs are currently available on this blockchain, and each of these represents eight categories of Kobe’s achievements.
Kobe’s fans are excited about this presale, and the hype is real. Over 7,000 reservations have been made already, and fans’ anticipation is at an all-time high. The NFTs will soon be available at OpenSea, which is an accessible platform chosen for fans.
The team has posted a roadmap on www.kb24.com with details regarding the initial auction and further events to come, including courtside tickets to a Lakers game (a dream come true) for one lucky KB24 holder. Moreover, exclusive merch collections and community events will be announced as well.
KB24 NFTs Proceeds
All of the profits and proceeds generated from the KB24 NFT event will be passed along to the Mamba and Mambacita foundation in hopes that it will contribute to young adults who want to pursue a career in sports.
As of this day, the Mamba and Mambacita foundation has not been in collaboration with any NFT related event. However, the managers of KB24 have notified the organization about the sales. For this reason, fans are hoping the foundation will soon respond to the event hype.
NFT is growing massively and making its way through the highest markets. NFT undoubtedly gives the metaverse a new beneficial shape as images, videos, and other digital assets become tangible rather than remaining in virtual entertainment. Lastly, Kobe Bryant’s NFTs are encouraging the rise of collecting digital goods on a larger scale.