With regard to NFT, we need to know in this field:
The digital art “right place right time” sold for us $100000The design concept is worth seeingThere will be something new. But art in the real world is a minority investment category. At present, virtual assets are also minority investment products. It seems that the minority in the minority will be more difficult. If you apply it to popularMultiple content copyright、Domain name of website homepage、insurance contract And other areas may be more likely to spread widely.
However, compared with defi, the current NFT market is obviously difficult to accommodate large funds, or it is difficult to become a key direction to pull the whole market. However, any proposition that can break out needs a long time of deliberation, and NFT is already on the way.
Where is the boundary of art? During the Renaissance, artists broke the shackles of painting only gods and began to create around people. Their masterpieces were Mona Lisa and the statue of David. Later, Impressionist artists broke the soy sauce color and rigid line style, and began to use bold colors and images of distance from reality to show the spiritual world. Their representative works are water lily and starry sky. Later, when everyone was comparing whose art was better, Dadaism appeared. He said that everything in life was art, and his representative work was Duchamp’s fountain, the famous urinal placed upside down.
Each expansion of artistic boundary represents a break of the confinement of human collective spirit, followed by the rapid development of unrestrained productivity. And those who hold art are guardians of the evidence of human spiritual change.
Now people are used to living on the Internet. What will be the breakthrough of art boundary in this stage? What works of art will be created to mark humanity? Will it be generated in the next block?
After the great success of the defi market, the encryption related twitter seems to have suddenly turned its attention to the next shiny new thing: NFT, the heterogeneous token.
But NFT is not new. In encryption technology, this concept has existed for more than five years. But in this market cycle, they become more interesting in nature. Today, I’ll briefly summarize what NFT is and delve into one fascinating aspect of the market: high end encryption art.
What is NFT
Two homogenized things can be replaced by each other arbitrarily. For example, any five dollar bill can effectively buy the same hot dog. Bitcoin, Ethernet and your messari.io Almost all of the encrypted assets you see on are “replaceable” assets.
Irreplaceable items are unique and cannot be exchanged one on one. The simplest example is art. Try to get people at the Louvre to trade your 5-year-old painting with the Mona Lisa, and you will experience the real irreplaceable.
Therefore, in the encryption world, NFT is a token that only represents unique things. Not surprisingly, NFT anchoring unique digital works of art will become more and more popular.
The artistic scene of cryptocurrency
Many encryption schemes only reproduce the existing human behaviors in pure digital environment, such as market, trading, borrowing and speculation. It is no surprise, therefore, to reproduce the market for digital art transactions and speculation.
Like NFT, the crypto art market has existed for many years. And like the entire NFT and defi, the underlying technology is more mature in this cycle. Add in the fact that there’s a lot of new wealth created in defi’s casinos this summer, and you’ll find a crypto art market heating up. After all, investors need to put all of these DFI earnings somewhere.
Matt Kane entitled “Right Place-Right Time” works perfectly with the advanced technology and wealth display, and has been sold successfully on the Async Art platform for nearly 100 thousand US dollars.
Right Place-Right Time
Matt Kane’s work looks like a cool bitcoin artwork. What makes it interesting? Kane wrote an algorithm binding with BTC pricing source. The algorithm updates the segment every 12 hours according to the bitcoin volatility of the day, which can be seen in this GIF.
In addition to the growing art, there are other factors that make this interesting. On the one hand, Kane retains the ownership token, allowing him to fine tune his work at any time – a novel artwork based on NFT, which allows artists to exercise a certain degree of control over the work. Works of art no longer have to remain static, but can adapt and develop with the passage of time.
Second, as the work reflects the rhythm of bitcoin’s volatility, it will cast 210 separate NFTs based on important trading days. For example, assuming BTC reaches $20000, a new NFT will be cast and sold based on that day’s price. Whoever buys NFT is entitled to obtain the physical printed version.
The next interesting point is the right to sell. The work was purchased by a collector named tokenangels. With the production and sale of the new NFT, tokenangels will receive 21% of each sale. Therefore, in addition to increasing the value of the work, it is also a productive asset.
The change of distribution
Traditional art is a $65 billion market, with power entirely in the hands of wealthy collectors.
In the 1970s, a collector named Robert scull held a notorious auction of contemporary art. He bought works from living artists around the world for between $600 and $10000 and sold them many times more. Overall, scull’s total collection was sold for $2.2 million (today’s inflation adjusted $14.7 million).
Although the auction was seen as a sign of the birth of a highly speculative market for contemporary art, scull was criticized for making too little money for the artists. For example, SCU bought a work called “thaw” from an artist named Robert Rauschenberg for $900 and sold it for $85000, but Rauschenberg didn’t get any royalties.
NFT brings more friendly conditions for artists, which leads to a change in the balance of power and interests between artists and collectors. Note that tokenangels gets 21% of the remaining NFT sales from Matt Kane’s work, instead of 100%. Similarly, an NFT art market called superrare receives a 10% creator royalty Commission on all secondary sales – which Robert Rauschenberg would have appreciated in 1973.
Artist friendly terminology and select markets such as superrare and async art are attracting a large number of new artists into the field.
In addition to Matt Kane, we’ve seen early signs of a new artist. Another popular artist is Pak. Pak is completely anonymous, and people speculate whether their art is the product of one person or the wisdom of a group of engineers. Pak has more than 140000 followers on Twitter and has sold more than $350000 of his works, including recent ones that sold for $10000.
Given that this is a cryptocurrency market, there is also a need to pay attention to market manipulation: imagine how easy it would be for a whale to buy an encrypted artwork for $10000, sell it to a friend for $25000, buy it back for $50000, and then sell it to unsuspecting speculators for $100000. Swiping has become a problem on a platform called “rational.”. Rarible recently introduced platform fees to curb brush behavior, although this may not be the best solution.
What’s the next step
Regardless of the deal, all this shows that NFT hype is not worthless. These are new markets with unique new behaviors built on Ethereum, and encryption art is just the beginning of NFT.
NFT can also be used to represent other irreplaceable things, such as music, which are less obvious but equally attractive are financial contracts such as insurance. Imagine a policy for an artwork to ensure that the private key of the work is not lost.
The integration of defi primitives into NFT space is accelerating rapidly. For example, with a platform called nftfi, you can now publish NFT as collateral and withdraw eth denominated loans. Niftex is another platform that allows NFT holders to divide their assets into multiple tradable tokens. While these applications are new, it’s not hard to see that they may take off with other encryption technologies and NFT markets.
For decades, the rise of the Ethereum art market can be compared with the introduction of the speculative contemporary art market by Robert scull. But the key difference is that this time the artist will be well compensated. Perhaps future masterpieces will be exhibited in virtual world galleries like decentraland, each protected by NFT policies – borrowed from collectors, and artists can still get royalties for years after their work is released.
ChinaDeFiIt’s ChinaThe first investment research brand focusing on defiFrom nearly 900 articles from more than 500 high-quality information sources around the world every day, we look for more in-depth and systematic content to provide investment support suggestions to the Chinese market at the fastest speed. Welcome to communicate with Gavin and iris and join the China defi community, and continue to pay close attention to the projects at home and abroad that really use blockchain to create value.
- Call for translation enthusiasts: if you are willing to get closer to the future truth of blockchain and have stable time to learn and translate high-quality overseas content, you are welcome to join us for common progress.
- Content data source tools: chinadefi is trying to implement our content source and data source to provide more reference and inspiration for in-depth readers, blockchain authors and technicians. Please pay attention to us.