Absolute NFT Insanity
Before I forget I really just need to get this message out there...
Have you guys seen this story circulating around?
Early CryptoPunk Digital Collectible Sells for $762K in Ether
Guys...
Guys...
Guys...
GUYS!
GUSY!!!!11
Girls
A single pointless NFT just sold for three quarters of a million dollars on the Ethereum blockchain. What world do we live in?
Some rudimentary pixel art just sold for 605 ETH, or $761,889 at purchase.
605 ETHEREUM!!?!?! WHAT?!!?
Do you know how much Ethereum is in the
ENTIRE WLEO UNISWAP POOL?
AKA NOT 605 ETH
Seriously though who's ready for some napkin math? Imagine 605 ETH got dumped into the wLEO pool... that 605 ETH becomes 58% of the entire pool. Therefore, because 58% was added to the ETH side, 58% must be taken out of the wLEO side and given to the buyer.
1 NFT buys 670,040 wLEO
Not sure if that's 100% correct but close enough... so the final totals come to this:
- 482,871 wLEO in the Uniswap pool...
- 1,041 ETH in the Uniswap pool...
Giving us a ratio of 464 wLEO to 1 ETH.
AKA 464 wLEO = $1400
AKA $3 per LEO...
Yep, if the same amount of ETH that was used to purchase this one single worthless NFT was instead pumped into the wLEO pool, the token price goes x6. How insane is that?
Surely, the NFT must do something.
Oh yeah, my mistake... let me show you what it does.
Only nine such “Alien” punks exist in the CryptoPunks universe, which pioneered non-fungible tokens (NFTs) in 2017 and are the “Holy Grail” for an emerging class of Ethereum-based art collectors.
That's right bro! This is art!
“It’s understandable for folks to be skeptical about NFTs, but in our view, NFTs are the future of not just digital art, but all digital property,” FlamingoDAO said in a statement. “It’s the tip of a very large spear.”
LOL...
The CryptoPunk in question last sold in July 2017 for 8 ETH, or $2,127 at the time. That represents a 75x return on investment in ETH terms (and even greater in USD).
“People see it as a collectible that is pretty significant in the history of NFTs,” said Desai.
Uh huh, okay...
So let's see the art then!
Must be amazing!
https://twitter.com/cryptopunksbot/status/1353058374816944134
You... cannot... be serious... right now...
https://www.larvalabs.com/cryptopunks/search?query=Alien
OMFG they are serious...
https://www.larvalabs.com/cryptopunks
The CryptoPunks are 10,000 uniquely generated characters. No two are exactly alike, and each one of them can be officially owned by a single person on the Ethereum blockchain. Originally, they could be claimed for free by anybody with an Ethereum wallet, but all 10,000 were quickly claimed. Now they must be purchased from someone via the marketplace that's also embedded in the blockchain. Via this market you can buy, bid on, and offer punks for sale. The zoomable image above is connected to the Ethereum network and has been colored to show you the status of every Punk in the market. Punks with a blue background have been claimed. Punks with a red background are available for sale by their owner. Finally, punks with a purple background have an active bid on them. You can click to zoom in on a Punk and reveal its details.
Alright guys... mind officially blown.
I just can't right now. How is this possible? I am thoroughly intrigued, especially now that I've learned that these NFTs predate cryptokitties in addition to every single one of the 10k... 'icons' shall we say... were free in the beginning. Now some are trading for almost a million dollars? More than all the ETH in the entire wLEO pool? Like... what?
Predictions
You know, I was worried that I was overestimating the value of NFTs, but I have clearly massively underestimated them if this is any metric to go by. These idiotic NFTs don't even do anything (yet). Imagine if someone created a game where you could only play if you owned one of these characters. Do we realize how hard that would pump the value of these things? Gaming and gamification is the answer to adding value to NFTs... not... "art".
Sword of a Thousand Truths
Apparently it could cause 120 damage per second with an instant mana burn, and an enchantment that boosted stamina +80!.
Like seriously though.
I do not think many of my dear readers can see where this is going. Because if you were to ask me just yesterday how much the Sword of a Thousand Truths would sell for on the open market place... I would have given reasonable numbers... $100? $200? $1000? Maybe $10k if things got really out of hand.
Ask me again, I dare you.
$10M is my new best guess. If some ETH whale is willing to spend a cool mill on some ridiculous pixilated bullshit that doesn't even do anything? They are certainly willing to spend ten times that on the Sword of a Thousand Truths guaranteed.
Why is that?
Because, with the Sword of a Thousand Truths, you can equip your in-game character and become super badass and slay dragons and whatnot. The dragons that you slay using your investment will then potentially drop even more phat lootz. And you could then theoretically sell those phat lootz to other players in the game and potentially even turn a profit even though you just burned $10M on the sword. Depending on game mechanics, you might even be able to sell the sword back on the market at a profit or loss depending on supply/demand.
RMAH
I saw this go down first hand when Diablo 3 launched and they opened the Real Money Auction House. It was insane. If you got lucky you could find an item that someone else would be willing to buy for $255 (maximum allowed for one transaction). Now, why would someone be willing to spend astronomical amounts more money for a blockchain sword then a Diablo 3 one? Simple: Centralization vs Decentralization.
Centralization.
You see, technically, Blizzard entertainment could create any item and sell it on the open marketplace at a profit, and everyone who plays their games knows this. Also, everyone that plays their games knows that bots are crawling across all servers unfairly farming items without a real person even having to take the time to do the work. This undermines the economy.
Blizzard entertainment, along with every other game company, is a corporation, and they do not have the time or the money to pay a ton of employees to make sure these bots are removed in a timely manner. So what they do is hire a few people and create systems that identify the cheaters, who eventually get banned during the next banning wave.
Banning wave.
So when Blizzard catches a cheater... they don't just ban them outright... they get added to a shitlist to be banned later. That way the community of cheaters won't realize what's going on and defend themselves accordingly.
If Blizzard banned a cheater the second they realized cheating was happening, that cheater would relay that information to the community and the community would take steps to mitigate the vector that was used to detect the cheating. By lumping a ton of cheater accounts into a big pile they can all be banned at the same time and they don't have time to fight back or change their cheating strategy. It's an ugly and inefficient system, but it works well enough (I suppose). Kinda like crypto itself.
Speaking of crypto...
When you have a community that owns and governs itself, guess what? Every player in the game has a financial incentive to report cheaters and get that ban-hammer swung at them instantly before they have a chance to game the system. Unlike a corporation, a crypto community can pay users a tiny amount to keep the platform clean, and that will be plenty.
Networks don't actually have to pay real employees who do it for a living. A community can pay enthusiasts, hardcore gamers, casual players, or anyone else just a tiny bit of inflation to monetize a healthy system that regulates itself... rather than asking HR to hire a person for a living wage who may or may not stay with the company after you train them. Are we seeing the difference between Web2 and Web3 yet?
The darkness!
It's also easy to see how child labor will be exploited from these systems. We can't stop kids from playing these open-source borderless games, and we can't stop them from earning crypto. I can see the headlines now: "Blockchain game capitalizes on child-labor." "Millionaire 8th grader doesn't know how to pay taxes... Parents jailed for tax evasion." Seriously though... don't be surprised.
Insanity
So when I see this kind of craziness on the ETH blockchain: tens or hundreds of thousands of dollars being spend on pixilated hammered dogshit, I can't help but realize how much crazier this is actually going to get. Mark my words: $10M for some badass in-game item (maybe even on the Hive blockchain). Considering Hive has a market cap of like $50M currently, it's hard to even take that prediction seriously... but just wait. Craziness incoming.
Back to CryptoPunks
The actual images of the punks are too large to store on the blockchain, so we took a hash of the composite image of all the punks and embeded it into the contract. You can verify that the punks being managed by the Ethereum contract are the True Official Genuine CryptoPunks™ by calculating an SHA256 hash on the cryptopunks image and comparing it to the hash stored in the contract.
Hm yeah, I don't know what they are actually doing over there at Larva Labs, but I can't believe people are willing to spend so much money for an asset that shouldn't even be on the Ethereum blockchain to begin with. I bet a Hive dev could build this entire system within a week... lol.
Despite my salty jealousy, this is really a clear example of people not really knowing to spend their money on after they make it big. Like... fuck it I'll just spend a million dollars on a cryptoKitty! Really? lol.
Giving these NFTs actual utility will skyrocket their already inflated prices. Again, it's all about gaming... most likely role playing games and other forms of farming games. Many would rather pay other players to grind out the work for them rather than do it themselves. And when all parties know that there is no centralized entity that owns the entire system, and is rather community owned, regulated, and developed... that's when things get really interesting.
Conclusion
I am still reeling from this revelation and need to come back to it later. Sensory overload for sure. Truly, the implications of NFTs being valued this highly with so little intrinsic utility is worth revisiting another time. Mind blown.
I'll just end it here by saying the current run is being fueled by institutional investment and DeFi, but I'm fairly certain the next run in four years is going to be fueled by NFTs and the gaming sector.
Posted Using LeoFinance Beta
You had me at
🤤
and also... like... art... boy I donno
So much art right now.
#deep
In all reality, i have never taken any of these NFTs really serious, look at all that money all that hype and this isn't even the future yet even if NFTs is still young in the game.
Posted Using LeoFinance Beta
How long are people saying it will be before gaming really catching up? I feel like there are a lot of other things growing in the background that only those who dig really deep and understand the implications are aware of.
A while ago I was hearing about the tokenization of property, physical artwork, antiques, stocks etc. Do you know of any projects that are focused on that? I feel like that will be huge as well.
NFT for gaming seems to strike a chord with anyone who is addicted to a game. As far as NFT artwork, it seems kind of silly to me to collect stuff for a digital gallery but I understand a lot of people feel differently. I am still getting into NFT's a little just cause I like new opportunities to support artists (they are underpaid and underappreciated!). It makes me really happy to see artists I've met on hive like @hiddenblade and @soundwavesphoton and @stellabelle make a name for themselves in this space.
These "punks" make me want to get in the game with my MS paint magic.....
cleaning mony is a thing...just saying..
I knew you were dark web...
not dark - just not as green as grass! lol
greener than grass
Now you mention it - I think have been just that - for about this last 40 months or so...Hmmmmm.
like using drug money to buy 'art' then sell the 'art' to the next drug dealer?
pay taxes... money laundered. hm... yep
I don't think many people really understand just how corrupt things are, tbh.(sheltered life, etc.)
There's no way I'm putting my first hand experiences on here (durr), but I've seen people (journalists, law enforcement - and even politicians) engage in blatant corruption , in front of my eyes...
Those cryptopunks are very scarce but I never saw the appeal. I prefer my NFT's with some utility so hopefully GU does something soon once their sidechain makes trades possible again. Posted earlier today about another NFT platform I only put $10 in cause I didn't really see the point due to lack of utility, sold half of them today for $360 and holding the rest after I found out they weren't letting you withdraw yet. I mean they can always add utility later I guess but I'd prefer projects that are up front about it. Blockchain Gaming and Collectibles are just getting started, though, need to start keeping my eyes peeled for some new opportunities and maybe post about it in time this time around so some others may make some good deals too.
it just reminds me that the game i want to make could have stupidly high value for little reason lol
Aggy will be happy to see this.
Posted Using LeoFinance Beta
A real bargain
This painting by Basquiat sold for 110 million
I would be angry, too, if I were sold only for $110 million.
Posted Using LeoFinance Beta
you should check out The Sandbox, it's a lot cooler and you can build games that have a ton of NFT's stacked inside them.
enhancements
You just broke the system. We need to reset the world now thanks to you! Bugger!
This is why I profusely thank the gods of crypto-mechanics for my country only taxing earnings in virtual currency on internet platforms created mainly for recreational purposes (games, for example) when cashed out into fiat, goods or services or virtual currencies external to the platform on which they were earned.
But I should probably thank the lobbying efforts of the gaming industry.
Posted Using LeoFinance Beta
If rare digital items that have no purpose can be worth millions, how much might 100 million Satoshis be worth? They've got uses.
When it comes in HIVE ??
Here are some more thoughts and numbers regarding the potential of NFTs, spoiler...it's just beginning: https://nefties.com/pages/potential.html
You are kidding me, right?
Where the hell have you been the last two and a half years? Certainly not on Steem/Hive. Number one blockchain game, based on NFTs? Nothing? Land expansion incoming to create items and spells, like the Sword of a Thousand Truths? Still nothing?
Alpha NFTs are all already super rare and nearly gone from the market? All items and spells will be 100% created by the owners of the land and never by the game developers? All NFTs have a hyper-deflation? Bots are limited through collection power and can only thrive if the owners invest into the game? The list goes on...
What do you think inspired Steem-Engine and then Hive-Engine? Why do we have a second layer for tokens like LEO? What started it all? Common...
Posted Using LeoFinance Beta
When I see a real decentralized game I'll let you know. One that's developed, owned, operated, updated, and regulated by the underlying community. That game does not exist yet. Not even close.
Said product must have zero friction, no centralized dev team scraping value off the top, a community that gets paid to create content for it... etc etc etc. Does not exist.
True.
Time to sell my cards. 20k USD value is enough for me.
Posted Using LeoFinance Beta
lol is that so? Splinterlands is pretty far ahead of the game. I wouldn't count them out just yet... maybe wait to dump everything until there is actually a legitimate alternative that you'd rather be a part of.
I am not dumping everything. I am keeping a max set of all existing cards plus all my gold foil cards. I am just selling all my extra cards that I have hodled and collected for two years. Getting ETH or LEO or Hive for it sounds more fun in the mega bull run year. I just have way too much right now. One could say I am overinvested...
Posted Using LeoFinance Beta
Lol, SL can be centralized and whatever but is still a potential huge gain for anybody who plays there and for HIVE and LEO. C'mon.
Posted Using LeoFinance Beta
Not sure where you going with this. I love the game and see a potential in it that most other don't. That's why I am holding 20k USD worth of cards, including max Alpha cards. That's why I am creating one of the few upcoming Boss Monsters. That's why I am holding the third largest account of SPT. That's why I am spending my precious time every single day on Splintertalk to curate the best content with Monster-Curator, using 50% of the entire SPT power in existence. That's why I was shocked that this game was ignored in this post and why I brought it up. C'mon...
Posted Using LeoFinance Beta
Yeah I'm precisely trying to support your opinion.
Posted Using LeoFinance Beta
@nftshowroom is much better than ETH based NFTs because of no fees.
They are doing a great trade and have some great art.
I've bought a few, but at tiny prices.
Posted Using LeoFinance Beta
Sadly, I can't envision any form of NFT on Hive being worth even a fraction of these Ethereum tokens. While I love Hive, we're niche in comparison to Ethereum and worth inherently a lot less.
We've been promised native media tokens and contracts for years since the Steem days, until we get them, we can dream and envy other chains where money is flowing like a river.
NFT's are definitely becoming a hot commodity. I have been doing stuff with them over on WAX for about a year now. Nothing on the ETH side because the gas fees are much too high. The volume over there is nuts though. Nothing like WAX which really has a far better system for it. Faster and much cheaper transactions. I think it is only a matter of time before people start realizing that and WAX blows up. I hope anyway. I stand to make some good money if it does.
Posted Using LeoFinance Beta
I loled
I sure if companies like EA and Activision would get into crypto they would try to milk it until the last cent :)
Posted Using LeoFinance Beta
With EA you only buy 50% of the pixels, and have to buy each additional one individually as a DLC :)
hahahah so true :D
I'm quitting programming and learning how to draw. Why go through all this effort when I can make worse art than what @sn0n does in 30 seconds and get paid more?
$30k do I hear $40k?
$30k going once,
going twice...
SOLD!
Plz send as btc to the btc address in my posting metadata.
Best teets on the internet!! One million dollars!!!!
You cand fund "Crypto boobies" and be a millionaire, thank me later if you want lol.
Posted Using LeoFinance Beta
There is no art worse than mine!! That's it... I'm storming showroom!!!
Snap up 2020 minted NFTs while they're still available. Age will become important in the years to come. As the space explodes, and heaps more art is listed/minted, only a very small fraction will have been created before 2021. - https://peakd.com/palnet/@mattclarke/heuristics-scarcity-and-nft-art -
Maybe I am too old but I don't understand NFTs. The earliest version of this I can remember was hunting rare items in Team Fortress 2. When I discovered that some rare items was going for 700+ USD, my first reaction was that it was fake. Then I started selling my inventory with items going 30 - 40 USD each. Its just crazy to me.
Yeah people also get the same feeling when they look at Twitch.TV... even as a gamer Twitch is crazy to me... people pay to watch other people play video games? WHAT?!
NFTs are exactly like that... it doesn't make sense but here we are.
Looooooong time ago my cousin would hook up his Nintendo up through his VCR and record himself playing. I'd give him crap all the time for wasting blank tapes. Who the hell would want to watch someone else play games? Silly me. Only became a multi-billion dollar industry.
I still thinking this is fake
I think any product's value greatly depends on the peer generated value.
This means, who you know and not what you know (or even what grand feat you do) will get you the ability to sell an NFT like this for this much.
It's a game of networking, and as stakes increase exponentially as market price builds momentum the more popular it is thought to be, the more it becomes as scarcity and exclusivity are key features of NFTs.
It's a living art of the dynamics of the value system of this world. Like when that one artist accidentally left their glasses on the floor of an exhibit and everyone crowded around it thinking it meant something.
Accumulated perceptual value. Humans are cultish in behaviour, always have been, always will be - there's a part of our brain dedicated to being in a cult and believing something is true just because those around us believe it - the value of things is no different and nor are NFTs.
So if you want to 'make' an NFT that looks valueless that makes this much money - it would be better to pick up a text book on group psychology, NLP and networking - than it would be to go to art school.
Good luck with your studies! Get out there and signal to the hill!
Seems I'll never understand those NFT's.
Posted Using LeoFinance Beta
@edicted, what I find interesting (and a little disturbing) about this is that communities like NeonMob were pioneering unique and limited edition digital art back around 2013-14... and that was actual art by serious artists, but this smells more like "pixel hype for profit" than anything meaningfully artistic.
Which again (I suppose) just goes to show you that the profit motive is far more important than actual creative expression.... but then again, "value is in the eye of the beholder?"
=^..^=