More than half of 2021 has passed. If we want to summarize a few semi-annual trendy words, then "NFT" has flashed into our minds at the moment of thinking. All kinds of trendy digital skins, limited edition NFT refresh our perception time and time again with unexpected prices. Nowadays, it seems that you don't understand "cyberpunk", and if you don't collect 1-2 NFTs, you will fall behind.
A pair of UniSwap's NFT socks once sold for a "sky-high price" of US$160,000, and an NFT collage of Beeple's "Every Day: The First 5,000 Days" won Christie's auction house's first auction of blockchain art. Prices over $69 million were sold. Is it really so magical for NFT? Amazing enough to help everything stand out? Is our next chance to get out of the circle is NFT?
A pair of UniSwap's NFT socks once sold for a "sky-high price" of US$160,000, and an NFT collage of Beeple's "Every Day: The First 5,000 Days" won Christie's auction house's first auction of blockchain art. Prices over $69 million were sold. Is it really so magical for NFT? Amazing enough to help everything stand out? Is our next chance to get out of the circle is NFT?
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EZ
From the perspective of the blockchain field or the encryption field, NFT is a term for data, but it is actually a new technology name for the market, and it needs to have clear usage scenarios and advantages.
At present, the most suitable application scenario for NFT is to empower artists. Before the popularization of the Internet, there was a limit to the number of physical artworks, but in the virtual world, the original files could be quickly copied and pasted countless times. It is also for this reason that many pirated works of art have flowed out, while the real ones have become free because of the large-scale depreciation of pirated works. Therefore, artists are forced to exchange free works for large-scale traffic, and then monetize through advertising, while it is difficult for those high-end niche artists to monetize through this model.
NFT can bring your product back to the physical age with limited release and direct sales. Although offline is more real than online and can be touched, there will be counterfeit products offline. Even with anti-counterfeiting measures such as watermarks, some people will make more counterfeit products. When your work really becomes an online NFT, it is based on an algorithm to formulate a unique code for the NFT, and you can openly and transparently check on the chain how many NFTs are issued by you and where they are transferred to. This is an offline entity. Things that can't be done. Now there is a new function that allows your things to enter the secondary market faster, and give the creator of the work a part of the income through smart contracts.
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CryptoArt.Ai QIN
At present, there is a popular term called Metaverse. I think NFT is the power stone of the metaverse. Human society is now transitioning to the digital age where virtual reality coexists. Against this background, the timely emergence of NFT endows digital assets with scarcity and solves the problem of digital asset confirmation. This is equivalent to the emergence of a new productivity tool. With the development of the digital economy, it can be said to be an industrial revolution, which has laid the foundation for the improvement of productivity, solved industrial problems, and stimulated productivity.
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Seascape Nicky
What I want to express is more from the perspective of combining what we are currently doing with the game. When we first came out to start a game company, one of our driving forces was to see CryptoKitty, and we also owned CryptoKitty at that time. We also really feel that whether it is props, skins, game assets and NFT in the game, it is a natural fit. For gamers, the concept of NFT will soon be accepted.
For example, if you bought a hero skin in the game, does this skin really belong to you? the answer is negative. This is just a centralized data belonging to the game publisher or game developer. So what are the characteristics of NFT game assets? If we make it into a game asset, it is really your hero skin. You can use this NFT in the game to put this skin on your hero, or you can go to a third-party trading platform to trade and sell this hero skin to other players who want it. This is also what we are doing, which can subvert the current business model of games.
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HashKey XIAO
As an investment institution, our feeling is that NFT is the most out-of-the-box blockchain application. HashKey Capital's philosophy is to link the traditional financial world and the blockchain world. Our investment philosophy is also to invest in large-scale infrastructure or landing applications. We strongly feel that NFT can lead the blockchain to other worlds and integrate. We also often communicate with leading companies and investment institutions in the traditional field. They are most familiar with the blockchain is Bitcoin, and the second is the concept of NFT. But their understanding of NFT is still different from those in the blockchain industry.
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Qinwen
I mentioned NFT to many people before, and I also introduced CryptoKitty to many people in the art industry. At that time, it was difficult to introduce. Until today, this situation has changed. We spoiled that there will be a cooperation with an outside art institution in September or October. At present, whether in the circle or outside the circle, the popularity of NFT is relatively high. It also includes many traditional artists "tucao" saying that they feel abandoned by the times.
Interestingly, Instagram artists are different from Opensea artists. Instagram artists put their paintings on Web2 social software, and then wait for buyers to contact them for purchase. However, the entire transaction on Opensea is very smooth, and everyone will be given a second dividend. Since the era of the media renaissance, this is the moment when the artist has the highest status. This is definitely a moment that liberates the artist's productivity.
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Seascape Nicky
Let me talk about the practical application of NFT from the perspective of games. NFT makes things impossible in traditional games possible. The props or assets in the game become NFT. We hope to allow players to create more, so we have created some methods of casting NFT in the game, which has not happened in the traditional game industry. I believe that in the future, more and more games will use blockchain technology to NFT their game props at the beginning of creation. We also believe that there will be more cross-game cooperation in the future to realize the audience ability between games. Share results with each other.
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HashKey XIAO
Let me first define two characteristics of NFT. First of all, NFT is the container of all information. At this level, common avatars, artworks, music, etc. are all a manifestation of content on NFT. At the level of content, NFT can reduce the barriers between systems. For example, NFT assets in one game can be circulated to another game, and NFT can help all information flow faster and easier.
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CryptoArt.Ai QIN
Let me give a case of NFT empowering traditional artworks. In July of this year, the NFT digital art platform CryptoArt.Ai and Golden Harvest Auction jointly planned an event, combining two of Yayoi Kusama's most representative and historic works "Infinite Net (1959 C.1979)", "Infinite Net (MGPP)" constitutes a combined target, and will be auctioned in the form of an independent special session "One Thought Eternity Yayoi Kusama's "Infinite Net" original work and blockchain digital deposit special session". All circulation records, exhibition materials, publication catalogs, certificates and other authentication materials of the works are encrypted and cast into a complete NFT and stored on the blockchain. This NFT is finally donated to the collector who won the auction, and will be recorded and confirmed in each subsequent circulation. These two masterpieces were finally hammered down at RMB 91.5 million, plus a commission of RMB 105 million.
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EZ
When I come here, I want to pour cold water on everyone. From a technical perspective, everything can be empowered, but what we should discuss is "should everything be empowered?" Which NFT applications are meaningful? Now there is a big bubble in the online trading of art - the valuation of the art itself has fluctuated greatly from the experts who specialized in art to the public, plus the price bubble of cryptocurrency.
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Qinwen
There are two points above that I don't particularly agree with. The art industry has a history of hundreds of years since the Renaissance. In fact, NFT has its own valuation system, including a sound system in the traditional market, from colleges to galleries, the primary market, and then the secondary market. Many artists in the auction system are relatively marginalized, and of course it is not ruled out that some artists have their own unique routes. What is particularly different about NFT is that it is inclusive. For example, public artists, or artists who had no chance to be in the system, have entered the NFT industry. The art circle does not regard designers as artists, but in the vast digital world, designers related to creation are also recognized as artists, so there is still a very sound logic for the existence of the art market.
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Seascape Nicky
Recently, what everyone knows should be NFT+ games, largely because Axie Infinity is very popular in the NFT field. We have known the Axie Infinity team for a long time. They have been working on this game since 2017. The entry threshold for users of Axie games is also relatively high. For example, you must first buy 3 Axie pets before you can enter the game. But this high threshold has also contributed to their current popularity. Axie’s transaction volume is very high, and its high income has surpassed Glory of Kings a while ago. This is a statistic that I find quite surprising recently.
Another case is that seascape launched a blind box series of zombie killing on the NFT section of the centralized trading platform some time ago. This is also the character image of a zombie game we are going to do next. We sold a total of 20,000 NFTs of different qualities, and they were sold out in less than 2 seconds, which was beyond my expectation. There is also our own game. During the two or three months of its launch, players have minted 80,000 NFTs independently. Later, we launched an NFT staking game. Users can pledge the NFTs we made in other games to this game (Staking Saloon) to earn income. We found that two-thirds of the 80,000 NFTs are After saving in the Staking Saloon, the activity and participation are very high. As our projects grow more and more, the NFT minted by users at the beginning will become more and more rare. We also made a concept of "generation", of course the inspiration comes from Cryptokitty, which is the NFT of the creation generation. There will be more and more characters in the future, but the characters of the zeroth generation may have stronger abilities. These NFTs will become more and more rare, and its acquisition methods may no longer exist on BSC and Ethereum, and users can only purchase them through the marketplace.
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HashKey XIAO
Talk about growth data in three dimensions. First, in Q2 last year, most of the market was talking about encrypted art. At that time, there were about 20,000 to 30,000 active addresses related to NFT. Recently, it has reached nearly 180,000. This increase in a year is amazing. . A year ago, everyone was paying attention to crypto art, and now NFT assets from all walks of life are taking off, especially the game industry, which may be one of the TOP3 industries with the most active NFT assets.
The second data reflects the degree of trading activity and market liquidity. In the past 3 days, the daily trading volume of Opensea has exceeded 100 million US dollars, especially yesterday (8.23) the entire 24h trading volume was even close to 200 million US dollars.
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CryptoArt.Ai QIN
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EZ
To give an example, the blind box of NFT issued by the top centralized trading platform is not available. We analyze it because it is cheap. Selling top-level works Premium will not disappear in seconds, because it is too expensive to afford. If you have an investment mentality, you can grab as many cheap ones as you can. Anyway, even if the price does not increase in the future, there will be no loss, so the transaction volume should be compared with the price. But now there is a problem that people who have already bought it may have opinions in the community, and the appreciation space is to be discussed.
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Qinwen
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Seascape Nicky
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HashKey XIAO
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CryptoArt.Ai QIN
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Qinwen
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Q5. Selected answers by guests
1. Is NFT a product of the social circle or an upgrade of artwork?
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Seascape Nicky
I also bought the NFT in the Alipay payment code myself. Therefore, I think it will exist for a long time, with usage scenarios, and more and more different NFTs, which can be artworks, game props, or something that can have usage scenarios.
I feel that NFT has experienced a round of ups and downs, starting from CryptoKitty, gradually becoming quiet, and now gradually becoming popular again, and now it is beginning to be combined with more projects and usage scenarios, such as games, DeFi, encrypted art, etc. Now, Visa is also holding NFT, more and more celebrities are also starting to hold NFT, and many companies such as Tencent and Alibaba are also researching NFT. I think NFT will hold a heat for a long time, but this heat will have certain ups and downs.
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HashKey XIAO
I think whether the popularity of NFT can continue mainly depends on the practicality behind NFT, and whether the use keeps pace with it. As mentioned just now, NFT has many uses, such as a passport for some private domain traffic, DeFi combined with financial scenarios, or as assets in games. For NFT, it becomes a pure speculation or consumption behavior.
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CryptoArt.Ai QIN
Then I will talk about my opinion from the perspective of encrypted art. From the perspective of art history, changes in the medium of artistic creation will not affect the height of art. In the creation of the new generation of artists, more and more people use numbers to create. Before, most of them could only engage in the design of the traditional commercial field and could not become an artist. However, the emergence of NFT gave them a new Opportunity. For example, a Montreal artist on our platform is a CG worker and a special effects designer for four episodes of Odaily Wars and Game of Thrones. Two freely created works uploaded were quickly sold.
With the rapid growth of artists and collectors in the Z era, I think more and more such people will enter this field. I think this is just the beginning. NFT brings more freedom and broad creative space to artists, and Fairer and more just market returns. Compared with the solidified and mediocre traditional art market, encrypted art carries more people's expectations for artistic change.
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EZ
Let me make an irresponsible prediction first. I think the word NFT will gradually disappear from the public view, just like the current Internet https. Everyone will use the Internet now, but everyone does not need to understand what https is. Anyone can go online. . Everyone has O2O software, e-commerce software, etc., and NFT will eventually evolve into a real product. For example, the encrypted art just mentioned, but the physical art will become a nostalgic toy that everyone likes to play now. It will even be reversed, so that the virtual body first appears and then the entity appears. This is something that has already happened in the game.
The other is the concept of non-artistic NFT. I think everything in Metavesre's concept may become NFT. In the future, everyone may not talk about the word NFT. Instead, it will evolve into a basic unit in the Metaverse, and it will even be completely invisible.
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Qinwen
I think it is divided into two parts, one is the part that just mentioned art, and the other is non-art assets. For art NFT, he does not necessarily need to be useful. For example, if you buy a Picasso, it may have the purpose of accumulating assets. But for many collectors, it may be an asset allocation, and it is not necessarily necessary for this thing to generate income. Art is useless to him. On the other hand, in terms of intangible value, art has achieved recognition of people's emotional and value identities. This is why people will buy Punk, because it represents the group of people in the digital world, and Punk is only limited to 10,000. Maybe only those 10,000 people can own the avatar that represents identity in the digital world.
Therefore, art has been useless since ancient times, and it will be even more useless in the future, but NFT will bring more dimensions to confirm rights. There may be more usage scenarios in the future, such as 3D, music, and science fiction scenarios, which are impossible to achieve in normal times and today. As for the digitalization and confirmation of rights at a data and asset level, I think this application can be carried on, which is also the need for a digital world infrastructure. It can also be applied to traditional compliance fields, including the acceptance of digital assets, legal deposits and withdrawals, etc., to see if more such applications can be done.
