What is NFT
NFT stands for Non-Fungible Token, a one-of-a-kind, non-transferable unit of data that uses blockchain technology to prove ownership. The value of NFT resides in the token, not the file to which it is attached.
Value of the Token
Even if the destination item eventually vanishes, NFT can provide proof of ownership in anything it links to. Memes, tweets, digital collectibles, digital artwork, and new media art are all examples of this. Beeple’s work “First 5000 Days,” which sold for $69.3 million, is arguably one of the most well-known examples of NFT in art.
NFT art is regarded as a fantastic opportunity for artists, but don’t get too excited just yet. It appears to be affecting the genuine art market while also providing some new options (like when social media started). However, celebrities and investors who made a passionate purchase are fueling the NFT frenzy.
Ship of fools
Were Raphael and Michelangelo betrayed by the Church since they were guided and paid by it? Did they have any doubts about the Church’s morals? Artists have always benefitted and confined their times by following their leaders or prophets. Should we pause to consider the consequences of the NFT craze on our society, or should we take advantage of it for our own gain?
Art ruled by the financial economy
Through the complexity of blockchain without the sophistication of current art discourse, NFT art might be a vehicle for high-net-worth individuals to build wealth outside of the real economy (and plunge into the financial market). The Internet was created with the intention of promoting open access to information, but what happened next was quite the contrary.
Pros of NFT:
- The artist can sell directly to collectors through NFT.
- NFT makes it easier to verify authenticity and ownership.
- NFT enables artists to earn money in a passive manner (via the secondary market)
- There is a sizable group of supporters.
- Without the need of a gallery, artists can represent themselves.
- It’s all the rage right now.
Cons of NFT:
- Technically challenging
- Transaction costs are excessively high.
- Environmentally unfriendly
- Inefficient in terms of energy
- Under government regulations, the future is uncertain.
- Based on currencies that are extremely volatile
- Scammers and con artists abound.
The economic bubble mechanism arises in this context, and it has been recognized since medieval times: when things are going bad and the economy is declining, the ruling class or elites install an artificial technique to create riches, causing a euphoric impact.
Tulip fever example
Check out the Tulip Fever of 1637, for example, when the value of tulips soared to unprecedented heights. This event, which became the first recorded speculative bubble, occurred when investors were devastated by price drops and Dutch business was severely impacted. The euphoria lasted a year.
A depressive reality
The financial industry is able to produce those bubbles thanks to ultra-liberalism (the most well-known recent example being GameStop), but there are many others. When the art of the finance industry meets the art world in new ways, the tech way, it’s called NFT art. We manufacture value to hide the depressing reality since we can’t expand riches. However, this is exacerbating the problem.
- Take part in the online public discussions (twitter spaces, discord)
- Promote your NFT art on postings from artists, collectors, and influencers that have asked you to do so.
- Create a network of artists whose personalities and work you admire and support them.
- Every several days, promote your unsold NFTs.
- Make and upload your artwork on a regular basis so that people may recognize your style.
- Don’t explain why you need the money; instead, concentrate on the art.
- If you only want to make a sale, don’t appear to be interested in the collector.
- If you haven’t had past communication with a collector, don’t tag them on social media. When you’re forceful, you’re less likely to sell.
- Don’t advertise your work under the name of another artist or collector. It’s impolite and makes you appear bad.