I encourage experimentation wherever possible. In my opinion, it is the best way to learn about something. That’s why this week, I bought an NFT, as well as minted my own (with the help of some artists). It is through this experimentation that I hope to learn more about the hype behind NFTs. I also would like to discover what (if any) underlying value is present within this new world. This letter details my journey with NFTs in the last week.
We Bought Snoop Dogg’s NFT
We figured we should probably own an NFT at some point. If only to say we did, and can. If you’ve been reading my other letters, then you know I am a big fan of Crypto.com. So when they launched their own NFT platform1, I was excited for the opportunity to buy an NFT through an already well-established platform. I was familiar with Snoop Dogg, and I enjoy him as a character. So rather than buy a random NFT off of Rarible, or OpenSea, it felt right to own something that supports someone I like.
Edition 397 of 20,000
One of the things I learned is that there can be multiple editions of the same NFT. In this case, there were 20,000 “Diamond Joint” minted. I bought edition 397 (because #420 was taken, and 397 is a prime number). This fact that there could be multiple editions of the same token was a bit of a new concept for me to wrap my head around. If you’ve ever traded baseball cards, then this is actually a pretty common occurrence. So what the NFT space is really doing, is digitizing what is already a familiar experience to collectors and investors of rare items. The NFT I own is unique because it is stamped with the “397” edition.
The NFT is a Song
Diamond Joint is a song that was released only on the Crypto.com NFT platform. That being said, the MP3 is likely all over the internet now. So owning the NFT of the song doesn’t mean I have exclusive listening rights over the track, it simply means that I have ownership over one of the NFTs, and the crypto.org chain proves it. If this seems a little circular or redundant to you, then we’re on the same page. Why would you buy an NFT if you can just listen to the thing that the NFT represents?
I Minted an NFT on Binance
Even though Ethereum is the most popular platform for minting NFTs, it is also the most expensive. To mint a single NFT, you can pay as much as $200. This, by necessity, makes artists have to sell their art for high prices, and makes it less accessible for artists just starting out. The entire process of minting an NFT on Binance cost me about $1.50. Below, you can see the NFT that I minted on Binance.
We Were on the News Talking about NFTs
To top it all off, we were on our local news station (CTV News Atlantic). With NFTs gaining so much attention, a local reporter was looking for someone in the region to speak to the craze. We were referred to by local entrepreneurs and in the span of 2 hours, were contacted by the reporter, and had her come over to record the interview in our apartment. You can view our interview on NFTs as well as meet Ankur and Amruta, the artists behind the NFT we minted on Binance.
My Opinion on NFTs
I wanted to clarify our position on NFTs one more time. We’re not for, or against them. Rather, we’re fairly ambivalent. We’re interested in seeing where they go, and open to where the world wants to take them. The CTV interview definitely made us look a little more pro NFT than we would have liked. The intention with our recent NFT activity is purely to experiment and create an avenue for our artist friends to showcase their art on a unique platform. Ultimately, it is in the pursuit of knowledge and understanding.
The Future of NFTs is Yet to be Decided
One thing is for sure - NFTs are here to stay. They are yet another invention to come out of the cryptocurrency space. I think there is a real utility to them, but I don’t necessarily think that any one company or organization has truly captured it yet. For example, I would love to see NFTs that represent ownership over more real world assets. NFTs that are the deed to a house, or the ownership over a physical painting. The reason why we started looking into NFTs in the first place, is because we think there is something here.
All The Best,