NFTs, the next wave of stupidity

johnarb said:
I learned from earlier mistakes when I first bought NFT's on Opensea and Super Rare and "lost" about 4 Eth. Lucky for me, the value of Eth at the time was about ~$300

The reason I consider them "lost" is that there's no real liquidity on those NFT's especially if there's not a "high reputation" for the artist. This can be a very high risk, but also very high reward if you get in on a less popular artist that blows up. You could have bought a beeple, Fewocious or a Trevor Jones last year for very cheap on those platforms

Understanding that liquidity is important, I now only buy NFT's from the Nifiy Gateway platform which is owned by Gemini. There's constant buying and selling of NFT's. In addition, they control the NFT inflation supplies on the platform to a daily drop schedule (as explained by the founders on a CNBC interview). On other platforms, you literally have thousands of artists that have flooded the market place with NFT's

There's truth to what Scataphagos said that there's a lot of crypto riches that's going into this space pushing the prices higher. I've collected 4 pieces and the $ risk is 5 digits which I would not even consider doing so in the past. What's even crazier is that my collection has more than doubled in value (looking at the lowest-priced for sale of each NFT edition and being conservative and pricing at $500 less) and I still have no plans to sell
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fantastic summary. Thanks for posting it.
 
johnarb said:
I learned from earlier mistakes when I first bought NFT's on Opensea and Super Rare and "lost" about 4 Eth. Lucky for me, the value of Eth at the time was about ~$300
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That is the wrong way to look at it. Its value is 1800 right now so you lost 7200 bucks. Never use an appreciating currency for payment.
 
Pekelo said:
That is the wrong way to look at it. Its value is 1800 right now so you lost 7200 bucks. Never use an appreciating currency for payment.
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IRS does not agree with you. I cannot claim a $7200 loss, only the value at the time of the transaction
 
I've been buying ETH for the past couple of months... just bought more today actually... because the rise of NFTs have finally given me an example of "the killer app" that was necessary for me to have the confidence to finally invest in the Ethereum platform. Tokenizing original digital art like paintings, music, and video, etc. is going to be massive.
 
With prices like these
upload_2021-3-19_21-3-47.png

for images anyone can view on a computer for free (assuming "ownership" is more than just manipulating the image),
upload_2021-3-19_21-6-38.png

:D
 
Baron said:
I've been buying ETH for the past couple of months... just bought more today actually... because the rise of NFTs have finally given me an example of "the killer app" that was necessary for me to have the confidence to finally invest in the Ethereum platform. Tokenizing original digital art like paintings, music, and video, etc. is going to be massive.
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Ethereum is a great crypto digital asset (smart contract) platform. There are10's of billions of $ worth of stable coins that have been issued and there are 10's of billions of $ of value locked in Decentralized Finance projects on the Ethereum blockchain

Unfortunately, the Ethereum network is congested and the transaction fees are high and are slow. An upgrade is in the process, but may take time to implement. I sold most of my Eth except what I need for gas fees until there's obvious progress to the solutions for the Ethereum network congestion

If you like NFT's, you'll probably like defi as well, which imo is also a killer app. Exchanges and banking systems running on smart contracts (i.e. Uniswap and AAVE), in a distributed, decentralized, "immutable", censorship-resistant fashion
 
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