The vast majority of NFTs are now worthless, new report shows
The vast majority of NFTs are now worthless, new report shows
Two years after tech trend that swept up artists and celebrities, researchers estimate 23 million people hold worthless investments
Gee, if only there was some way to have seen this coming before hand...
Actually I didn't have many hopes in humanity when it started to happen. It's a bit comforting, not much though with other things around.
🌍👨🚀🔫👨🚀
Were they worth anything to begin with?
A better question would be, did anyone ever even buy them to begin with?
This means that 79% of all NFT collections – otherwise known as almost 4 out of every 5 – have remained unsold.
That is, most of the NFTs included in the OP statistic were listed for sale by their creators, and never recorded a sale. Another important detail is that even for the ones that did record sales, there's no real way of knowing if those sales were real. You can easily make another crypto wallet and buy an NFT from yourself. For more elaborate wash trading, you can find someone with an established wallet to collude with. There are obvious reasons to do this too; building up a history of increasing sale prices could potentially dupe someone into thinking an NFT is a good investment, or you could launder money by selling an NFT to a 'dirty' wallet you also control.
Probably some portion of the market was "real", but the volume is almost certainly much lower than anyone is reporting. Statistics like what the OP article is quoting are just about totally meaningless.
Just because something is unique doesn’t mean it’s valuable.
Some people are just discovering this.
It's not even that it's unique. It's just one particular system associates you with something. It's basically those star registry scams. Except you're not associated with a star by one particular scam organization. You associated with an image of a cartoon ape by a scam organization! But there's a trendy technology involved so idiots think that makes it somehow legit.
6444&'"_@@¶&5tyj7tfsdyoohoof
Behold my one of a kind unique string of characters. Me I own this tangible property. But lo! For only 0.42069lol "BTC-lts33" (a REAL and stable currency that is NOT speculative AT ALL) I will maintain a CSV on my server (
192.168.6.9/wp-admin/test/test2/myPage.php) I will serve you a guaranteed locally unique identifier (starting at "3" (I'm holding on to the other two strings for a rainy day)) that points to the row with this string, so you can show off that YOU are the sole owner of this totally unique investment property.This server is guaranteed up, with 100.00000% uptime since this morning
Try telling that to sports memorabilia collectors though.
"Look at my hockey jersey!" "Yeah, so? I have the same one." "Yeah but you're wasn't signed by Wayne Gretsky."
Or even trading cards, or comics. Or hell, even plain w-shirts with a brand logo on it for $250. People assign arbitrary values to stuff all the time. I don't understand it at all, but there's a whole ton of people that just eat that shit up like it's candy.
That arises at least somewhat more organically around a real interest that millions of people have been enjoying and obsessing over for generations. So it's not fair to say it's totally arbitrary.
The logo stuff is weird though. That's definitely more "Veblen" like the high price point is itself a flex and desire for, if not true luxury, then the appearance of opulence.
Each one of my shits is unique, but just as valuable as an NFT
It can have real value if you use it to fertilize a square meter of dirt and plant corn on it. Shit + water + seeds = food.
They were always worthless
Not to the people targeting the suckers out there…
And they still are!
🔫️ Always have been
If value is completely dependent on speculation how the fuck do people expect to make money?
Crypto Booms: "This is the future of money. You can't lose."
Crypto Busts: "I'm just interested in the tech it's not about money."That is some high grade cope. Highly refined. 99.99% pure cope.
Those are two different communities that are interested in crypto. Some of the crypto bros used the pro-decentralized peoples logic to cope… but there are both.
I’m surprised there aren’t more of the decentralized endorsers here, amongst a community of technically literate people using FOSS software.
Of no surprise to anyone.
Wait. They were actually worth something!?
To be real, even cryptobros would tell you the vast majority were useless as soon as they were minted.
It's why they pushed them so hard. They hoped we were stupid enough to buy into it and make them richer.
Pumped, dumped, done.
Perhaps they’d have retained value if they had been attached to quality art rather than awful-looking algorithmically generated complete trash.
No, they wouldn't have. Because owning a link to a thing doesn't mean anything, no matter what that thing is. They were only valuable because people didn't understand NFTs and wanted to get rich quick.
Who would have thought?
They always were.
Now?
O rly! 🦉
Always have been
This is the best summary I could come up with:
Tens of thousands of NFTs that were once deemed the newest rage in tech and dragged in celebrities, artists and even Melania Trump have now been declared virtually worthless.
NFTs, or non-fungible tokens, are a form of crypto asset that is used to certify ownership and authenticity of a digital file including an image, video or text.
The report comes nearly two years after the craze for NFTs swept up celebrities and artists alike, with many rushing to purchase NFT collections of the Bored Ape Yacht Club and Matrix avatars.
The drastic downward market shift surrounding such crypto assets “underscores the need for careful due diligence before making any purchases, especially one of high value”, the report said.
Researchers identified 195,699 NFT collections with no apparent owners or market share and found that the energy required to mint the NFTs was comparable to 27,789,258 kWh, resulting in an emission of approximately 16,243 metric tons of CO2.
In order to survive market downturns and have lasting value, NFTs need to be either historically relevant such as first-edition Pokémon cards, true art or provide genuine utility, they said in the report.
The original article contains 650 words, the summary contains 189 words. Saved 71%. I'm a bot and I'm open source!
69,795 out of 73,257 NFT collections have a market cap of 0 Ether
LMAO!
Grass is green...
Given that they can be generated effectively for free, this is hardly surprising or particularly meaningful. I can generate ten thousand new images with my AI art generator for basically zero cost and I don't expect any would be economically valuable, but that doesn't mean there aren't some images that are valuable.
I hope someone got paid a lot of money for this ground breaking report.
Actually their value is completely unchanged. Price and money are made up and do not reflect value.
Not Fart Token
Cryptobois be like
How to say, "I'm a rube," without saying it out loud. Not a tear will be shed for these doofs.
Ehhh. The ones that were always worthless are now actually valued. The ones with some purpose for existing, I assume not as much (see: none that are just simple files).
