A few days ago, I participated in a forum discussion on NFT in Shanghai, and came up with some interesting views. I also met many friends in the industry. I sorted out what I said in this event, and gave you a reference. I hope it can bring you some new thoughts.
Q: What is driving this emerging trend of NFT? Beyond revenue, what are these digital transformations bringing to creators?
A: We can see that since the beginning of the year, the popularity of NFT has been on the rise, and it has become a new hot spot this year to replace DeFi, especially after the Chinese New Year. Since the explosion of NBA Top Shot, NFT has made people crazy for a while, from artworks to blind boxes. As far as card games are concerned, the gameplay of NFT is still being explored. Some projects that appeared last year have become the mainstay of the NFT category this year, especially some NFT platforms led by Decentraland, The Sandbox, OpenSea, and Rarible. With the number of uses being constantly refreshed, coupled with factors such as the epidemic and the catalysis of the digitalization process, the concept of NFT, which is not new, has begun to sweep the world and enter the vision of traditional artists.
All of this is not accidental. Under the influence of the epidemic, traditional artists cannot obtain income through traditional forms of creation. Many offline exhibitions have been forced to close under the influence of the epidemic, even in many countries outside China. , NFT has become the best form for them to seek breakthroughs. It brings people the ownership of art back to the creators, instead of being robbed of most of the income by intermediaries. Before I entered this industry from tradition, I met too many artists because With limited monetization channels and changing careers, NFT can alleviate this situation, and make creation without borders, and obtain equivalent benefits due to the value of the creation itself.
Therefore, a fair channel itself is extremely important to artists, and at the same time, it will bring effective feedback to artists such as the degree of preference of direct buyers, and a small community may be born naturally.
Q: Blockchain applications such as DeFi and NFT have reflected their actual value, and have even begun to infiltrate mainstream users. So when NFT approaches DeFi, will NFTfi become another industry hotspot?
A: The biggest problem with NFT is its liquidity. Even though this concept has been around for more than 3 years, the connection with finance is still missing. The main reason is that the pricing method of most NFT assets is mainly ETH, and the price of ETH is relatively low. If you buy from time to time, NFT assets will gain double benefits with the growth of their own value and the price of ETH. However, if there is a sharp drop in the market, the NFT assets in your hands will be affected by the price of ETH and cause losses. More importantly, it is difficult to find buyers. .
The form of NFTfi allows these assets to be exchanged for corresponding tokens to participate in other things after they are purchased. Just like a traditional pawnshop, I put an item in a pawnshop as a mortgage to exchange the corresponding money, and then It can still be bought back with money. The difference is that the mortgage in NFTfi has a time limit. I think this method can attract many people who dare not enter NFT. With mortgage loans, I don’t have to worry about buying NFT for a year. It is confusing that none of them can be sold, but whether this will become a hot spot depends on the segmentation of NFT assets in the market and the proportion of non-art assets in the market.
Q: By enabling the digital representation of tangible assets, what developments has NFT made in reshaping the infrastructure of the modern financial system?
A: In terms of reshaping the financial structure, I think it is to show more IP value and generate more new IPs on the chain. In reality, many IPs are To B, which cannot generate value for the public. And NFT can enable these IPs to open up To C channels, but this kind of asset is a challenge to the traditional system, which means that I can put my social credentials, souvenirs, etc. on the auction shelves in the future, and these things were all before the emergence of NFT. It will not produce actual value, and its appearance will also force countries around the world to introduce new policies, because it represents a brand-new financial form, and everyone can easily buy their favorite assets without considering the distance. However, if someone uses NFT assets to launder money, how to avoid this risk is what all countries need to consider, and the gradual outbreak of this form will also accelerate the global digitalization process.
Q: How should NFT develop in the future to ensure its high liquidity and realize the perfect combination with the physical world?
A: Take the art industry as an example. It is a very niche industry in the traditional field. The artistic atmosphere in many first-tier and new first-tier cities is relatively good. Free exhibitions in museums always attract many people, but in a paid exhibition When it was open, the number of participants was not as many as imagined. If the label "NFT = art" can be removed, it can truly go to the public and integrate with the physical world, mainly because everyone now thinks that NFT is art , art is a high-end and incomprehensible thing. As for how to promote and combine NFT to create more value, I personally think that "NFT+game" is a very good entry point, because it is now the fastest way to accept encrypted assets. , The largest group of people is the post-90s and post-00s, continue to break down from these groups, how many people have never played games, if there is a fun blockchain game, and let everyone see their reality when playing games The familiar scenes in the game will greatly improve its operability and playability.
Of course, as a high-level product of culture, artworks, coupled with NFTization, also means that the dimensions have been reduced. Works that can be distributed and have a more vivid touch, and the communication method is more lively, will also bring many new expressions.
Q: Are there any other scenarios for providing financial services in art finance?
A: Art finance is the better development of the industry in the future, the rapid development of value, the effective support of value and the significance of finance. Then what I can think of is whether to start from the most fundamental creation. I personally think that we can also start with the art design port. There are art trading platforms and brokers dedicated to artists, but there is a lack of a training base for encrypted art. For example, if a traditional artist or institution wants to transform into encrypted art, art Ideas and thinking are indispensable. When we were in school, we had art classes or teachers in art schools to guide us. The presentation forms of encrypted art and traditional art are different. If there is a professional organization that can guide artists where to start Encryption art can even be cultivated as an elective course. I think this scene will be more interesting.
