All's Whale That Ends Whale
Dear Future Whales,
There's still ample time for the NFT market to make a recovery before year-end and, ideally, put an end to the wave of negative news surrounding NFTs and web3. In case you missed it, recent headlines have suggested that a staggering 95% of NFTs are now deemed worthless. In today's note, I aim to present some compelling counterarguments to challenge this assertion.
For all you imaginative individuals out there, I highly recommend exploring the complimentary course provided by MINTangible, which is designed to help you protect your intellectual property. Additionally, I'm closely monitoring a promising new mint. And yes, I'm still buying JPEGs. Let's dive into the specifics!
Summary:
5% of NFTs have some worth!
Free Creator Course
Upcoming Mint
👇 5% of NFTs have some worth!
Recent headlines have taken a critical stance on NFTs, suggesting that a whopping 95% of them have plummeted in value. To be honest, this doesn't come as a surprise. I've had plenty of so-called "friends" warning me that all NFTs would eventually become worthless. However, that's far from the whole truth!
Firstly, let's explore the factors contributing to some NFTs losing their value:
Unlimited Open Edition Mints: The presence of unlimited open editions doesn't necessarily render all of them valueless. Far from it. These open editions serve various purposes, such as community building, whitelists for future mints, and some have even achieved substantial success and maintained their value. Take, for instance, the example of "Checks."
Lack of Runway: The lack of runway is a common challenge that many projects face, despite their best intentions. Often, they fail to secure enough capital to weather a prolonged bear market. This is a scenario that occurs frequently with startups in various industries and should not necessarily be interpreted as an indicator that the project is fraudulent or a "grift."
Better Creator Tools: Platforms like Manifold.xyz have revolutionized the NFT landscape, making it easier for individuals to express their creativity, whether for profit or not.
Rugs: Scams and bad actors are unfortunately part of the territory in this wild west of NFTs, just as they are in other emerging industries.
However, it's important to note that many genuine projects and artists are actively working to provide utility and build infrastructure that bestows value upon these tokens.
For those inclined to defend the space, here are some compelling examples:
Early and Historical Art:
Cryptopunks: A floor price of 46 ETH as of 9/25.
Chromie Squiggles: Valued at 9.9 ETH as of 9/25.
Beeple Everydays: A floor price of 199 ETH as of 9/25.
Futureverse Ecosystem:
Flufs: Held close to 1 ETH during this bear market while simultaneously developing the ROOT network.
Portals (Solana): Continuously improving the user experience, offering one-click, browser-based metaverse interaction, arguably the best in the field.
Ordinals are still alive and "Rock" prices are soaring higher; a recent sale saw a Bitcoin Rock going for $73k!
So, despite the skepticism and the headlines, there's still plenty of life, innovation, and value in the NFT space.
What are my web3 peers saying?
🖼 Free Creator Course
MINTangible, a key integration partner of SegMint.io, is currently offering a complimentary introductory course on safeguarding your intellectual property (IP).
This course delves into the critical significance of IP for digital artists, offers insights into the legal protections for creative content, and explores how NFTs can enhance artists' capabilities for monetization and asset safeguarding.
Discover MINTangible's groundbreaking method for incorporating IP and royalty terms directly into NFTs, granting artists the confidence to prioritize their creative pursuits and community engagement, all while ensuring robust legal protection for their artistic creations.
Sign up here.
⬇️ Upcoming Mint
Polygon experienced a significant surge in trading volume recently, thanks to Courtyard.io's groundbreaking move of selling Pokémon cards directly on the blockchain last week. Collectors had the exciting opportunity to acquire packs for just $5, with the tantalizing possibility of finding a PSA900 graded card inside. Some of these graded cards have been known to fetch over $500 in certain cases!
Now, in a mere two days, Courtyard.io is set to release their "Premium Packs," which not only include sought-after Pokémon cards but also feature the elusive "Grails that got away." This is a development worth closely monitoring, as I anticipate these premium packs will be in high demand and may sell out rapidly!
Authored by Matt Bartlett, CAIA. Follow Matt on x.com @MattBartlettVE
NOT INVESTMENT ADVICE
Please note the author has invested in all NFT projects mentioned within this article. The Author own assets created by the Futureverse team and ecosystem.
Please note that SegMint may offer investments products that invest in the asset class(es) or industries included herein.
The information herein represents the opinion of the author(s), but not necessarily those of SegMint, and these opinions may change at any time and from time to time. Non-SegMint proprietary information contained herein has been obtained from sources believed to be reliable, but not guaranteed. Not intended to be a forecast of future events, a guarantee of future results or investment advice. Historical performance is not indicative of future results. Current data may differ from data quoted. Any graphs shown herein are for illustrative purposes only.
This is not an offer to buy or sell, or a recommendation to buy or sell any of the securities/financial instruments mentioned herein. The information herein represents the opinion of the author(s), but not necessarily those of SegMint, and these opinions may change at any time. Non-SegMint proprietary information contained herein has been obtained from sources believed to be reliable, but not guaranteed. Not intended to be a forecast of future events, a guarantee of future results or investment advice. Historical performance is not indicative of future results. Current data may differ from data quoted. Any graphs shown herein are for illustrative purposes only.
In consideration of the receipt of non-fungible tokens (“NFTs”) from SegMint, you represent, acknowledge, accept and agree that: you received the NFTs as a gift from SegMint. You did not pay any consideration, monetary or otherwise, for the NFTs.
The NFTs are not an investment. Rather, the NFTs are digital memorabilia intended solely for entertainment purposes. As entertainment memorabilia given to you as a gift, the NFTs have no value and are not intended by SegMint to ever have any value. Neither SegMint nor anyone else will take or not take any current or future action that is designed in any way to maintain the value of the NFTs, or to cause their value to grow or increase. You must not attempt to obtain an NFT from SegMint if you view it as an investment.
As a condition of receiving the NFTs, you shall hold the NFTs for your own personal benefit, and you shall not act, and are not acting, on behalf of any other person or entity; except that, if you are an affiliate of an entity or person whose relationship or affiliation you have made SegMint aware of prior to your receiving the NFT, and SegMint consents to your receiving an NFT, you may receive an NFT. You shall not sell, assign, alienate, lease, lend, fractionalize, re-gift, convey or transfer in any way the NFTs (or any interest therein) to any other person or entity, even an affiliate. Any sale, transfer, assignment, or other action covered in the preceding sentence shall be void. You must not attempt to obtain an NFT from SegMint if you plan to sell or transfer it. The above content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice. Nothing contained in this email constitutes a solicitation, recommendation, endorsement, or offer by the Author or any third-party service provider to buy or sell any securities or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the securities laws of such jurisdiction.
Cryptocurrency is a digital representation of value that functions as a medium of exchange, a unit of account, or a store of value, but it does not have legal tender status. Cryptocurrencies are sometimes exchanged for U.S. dollars or other currencies around the world, but they are not generally backed or supported by any government or central bank. Their value is completely derived by market forces of supply and demand, and they are more volatile than traditional currencies. The value of cryptocurrency may be derived from the continued willingness of market participants to exchange fiat currency for cryptocurrency, which may result in the potential for permanent and total loss of value of a particular cryptocurrency should the market for that cryptocurrency disappear. Cryptocurrencies are not covered by either FDIC or SIPC insurance. Legislative and regulatory changes or actions at the state, federal, or international level may adversely affect the use, transfer, exchange, and value of cryptocurrency.
Investing in cryptocurrencies comes with a number of risks, including volatile market price swings or flash crashes, market manipulation, and cybersecurity risks. In addition, cryptocurrency markets and exchanges are not regulated with the same controls or customer protections available in equity, option, futures, or foreign exchange investing. There is no assurance that a person who accepts a cryptocurrency as payment today will continue to do so in the future.
Investors should conduct extensive research into the legitimacy of each individual cryptocurrency, including its platform, before investing. The features, functions, characteristics, operation, use and other properties of the specific cryptocurrency may be complex, technical, or difficult to understand or evaluate. The cryptocurrency may be vulnerable to attacks on the security, integrity or operation, including attacks using computing power sufficient to overwhelm the normal operation of the cryptocurrency’s blockchain or other underlying technology. Some cryptocurrency transactions will be deemed to be made when recorded on a public ledger, which is not necessarily the date or time that a transaction may have been initiated.
· Investors must have the financial ability, sophistication and willingness to bear the risks of an investment and a potential total loss of their entire investment in cryptocurrency.
· An investment in cryptocurrency is not suitable or desirable for all investors.
· Cryptocurrency has limited operating history or performance.
· Fees and expenses associated with a cryptocurrency investment may be substantial.
There may be risks posed by the lack of regulation for cryptocurrencies and any future regulatory developments could affect the viability and expansion of the use of cryptocurrencies. Investors should conduct extensive research before investing in cryptocurrencies.