This blog post may contain references to products or services from one or more of our advertisers or partners. We may receive compensation when you click on links to those products or services.
As of 2021, NFT is considered one of the fastest-growing financial markets. It is almost impossible to mathematically calculate the total market capitalization since NFTs are not traded on the exchanges but are distributed through specific NFT platforms, fan sites, and in-game deals.
According to the Non Fungible service, the CryptoPunks project has raised over $186 million since its inception, the SuperRare service is about $55 million, and the Decentraland virtual world is more than $49 million. The total capitalization of NFT in all areas amounted to about 570 million US dollars.
Become an Insider
The sharp boom in non-fungible tokens and the huge amounts of transactions have attracted thousands of new investors who are confident in the future success of the NFT.
NFT Investment Perspectives: Is It Worth Your Money?
Is the industry really so promising? Unfortunately, the lion’s share of the population is not yet ready to accept the possibility of digital ownership of intangible products. After all, what prevents you from saving an expensive picture on your PC in two clicks? Even the famous Mona Lisa can be set as wallpaper on your desktop, or you can take a picture of the original in the Louver in Paris, but that doesn’t make you its owner, right? The same happens with digital works, which don’t suffer from malicious copyists and even benefit by increasing their cultural and material value.
In addition to the problem of assessing the need to own virtual things, NFT is also characterized by other disadvantages. For example, there is a lack of demand for tokens among popular games and auctions, dependence on the ETH blockchain development, which is not yet suitable for such widespread use, excessive hype, vulnerability to hacker attacks, and even global warming. You heard right because NFTs operate based on Ethereum, which requires huge capacities and electricity. As a result, it causes irreparable harm to the ecosystem.
It would seem that the project should be closed as soon as possible. But thinking of the same crypto-currencies previously seemed incredible and fleeting. They are still actively functioning today. Crypto also has many drawbacks, but they have not stopped developers from all over the world who are constantly working to improve the system. The creators of the NFT also follow this strategy. They know all the difficulties and don’t stop trying to create an improved version of the tokens.
It is incredibly difficult to predict the dynamics of the NFT market for sure, but one thing is certain: non-fungible tokens are gaining momentum at a breakneck pace. To participate in this adventure or not is entirely your decision. But remember that Bitcoin was once worth less than one cent.
NFT tokens have become a real breakthrough, allowing access to exclusive products. Today, these tokens have found their calling in computer games, art, media space, and collecting. Users of the Internet community are divided into two subcategories. The first considers the project unpromising. The second category of users perceives NFT tokens as a full-fledged and integral part of the modern digital world, placing great hopes. Everything will be clear soon.
Editorial Disclaimer: The editorial content on this page is not provided by any of the companies mentioned and has not been endorsed by any of these entities. Opinions expressed here are author's alone
The content of this website is for informational purposes only and does not represent investment advice, or an offer or solicitation to buy or sell any security, investment, or product. Investors are encouraged to do their own due diligence, and, if necessary, consult professional advising before making any investment decisions. Investing involves a high degree of risk, and financial losses may occur.