Non-Fungible Tokens, or NFTs, have exploded in popularity in recent years, with many people looking to invest in or collect these unique crypto tokens. However, not all NFTs are created equal – some are more valuable than others. One key factor that determines the value of an NFT is rarity. In this article, we will explore what NFT rarity is, how it works, and how to determine the rarity of an NFT. By understanding these concepts, investors can make more informed decisions when it comes to buying and selling NFTs.‍

What are Non-Fungible Tokens (NFTs)?

Non-Fungible Tokens (NFTs) are a type of cryptocurrency token, like Bitcoin or Dogecoin. However, what sets NFTs apart from other crypto tokens is their "non-fungibility," meaning that they cannot be mutually exchanged. In other words, every NFT is unique and has its own set of properties, making them distinct from one another.

NFTs have become a popular market, with some tokens having high value compared to others. This has led to a surge in interest in NFTs, with many people wanting to invest in or collect them.

What is NFT Rarity?

One factor that determines the value of an NFT is rarity. NFT rarity refers to how common a specific NFT is within a collection. Typically, the rarer the NFT, the higher its price.

In simple words, NFT rarity refers to the uniqueness or scarcity of a non-fungible token (NFT). Each NFT is created with a unique identifier that makes it distinct from all other NFTs. However, within a collection of NFTs, there can be variations in the rarity or scarcity of the different tokens.

These variations can be based on a variety of factors such as the number of tokens in a collection, the design or artwork of the token, or the properties and attributes assigned to the token. Rarity can impact the value of an NFT, as collectors and investors may be willing to pay more for a rare or highly sought-after NFT. Additionally, NFT creators and collectors may use rarity as a way to create excitement and interest in a particular collection or token.

How Does NFT Rarity Work?

To understand how NFT rarity works, it's important to know that when a new NFT is minted, it has a set of unique properties, known as traits, that cannot be changed. While NFTs can share a trait, no two NFTs are typically identical in a randomized collection.

NFTs with rarer features are more likely to sell for a higher price than those with more common features. As the floor price of a collection increases, the rarer NFTs also tend to increase more in value than the average of the entire collection.

How to Determine NFT Rarity?

Knowing how to spot rarity beforehand can give investors an advantage when it comes to NFT collecting. This can save them time and money, and give them an edge over other traders in the marketplace with information about the value trajectory of a specific type of NFT over time.

There are a few different ways to determine the rarity of an NFT. One way is to use NFT Rarity sites like Rarity Tools. This can help you find if an NFT is rare and in high demand.

Another option is to use a Rarity Ranks Extension, such as the Rarity Ranks extension. However, installing extensions may be risky and steal your confidential data.

Another way to determine NFT rarity is to use a tool like OpenSea, which allows users to create, buy, and sell NFTs. By viewing an entire collection when clicking on an NFT, users can get a sense of the rarity of a specific token. The average collection size is 10,000 items, though this can vary for different projects.

Best NFT Rarity Checker

Determining the rarity of an NFT (Non-Fungible Token) is an important aspect of the NFT market. It can help buyers make informed decisions about the value and potential appreciation of a particular NFT. While there are several NFT rarity checkers available, it's difficult to identify the "best" one as different checkers may use different algorithms and data sources. Some popular NFT rarity checkers include Rarity.tools and Rarity Sniper.

Rarity.tools is a widely used platform that allows users to check rarity scores for a variety of NFT collections. Rarity Sniper provides a rarity score for each NFT, along with data on its trading history and price trends. Ultimately, the best NFT rarity checker depends on individual preferences and needs.

Why is Rarity Important for NFTs?

Rarity is important in the NFT market because it can affect the value and demand for a specific token. Because each look is limited to a specific number across the collection, some are statistically harder to come by – just like a Shiny Pokémon in the Pokémon universe. An NFT with a combination of rare attributes is more likely to sell for a higher price than those with more common traits.

Conclusion

In conclusion, NFT rarity is a key factor in determining the value of an NFT. By understanding how to spot and assess rarity, investors can make more informed decisions when it comes to buying and selling NFTs.

Tools like the NFT Rarity App and the Rarity Ranks Extension can be helpful in determining the rarity of a specific NFT. With this knowledge, investors can make more strategic decisions about their NFT investments and potentially maximize their returns.

Disclaimer

The information provided on this website does not constitute investment advice, financial advice, trading advice, or any other sort of advice and you should not treat any of the website's content as such.

Token Metrics does not recommend that any cryptocurrency/NFT should be bought, sold, or held by you. Do conduct your own due diligence and consult your financial advisor before making any investment decisions.

The most expensive NFT sale to date was Beeple's Everydays: The First 5000 Days, which sold for $69.3 million. This highlights the growing interest in NFTs and the potential for them to be used as a vehicle for sharing virtually any form of media using the blockchain.

But what is an NFT? Let's find out.

What is an NFT?

NFTs, or non-fungible tokens, are unique digital assets with blockchain-managed ownership. They are stored on a blockchain and cannot be replicated or destroyed, making them resistant to tampering. NFTs can represent a wide range of items, including game items, digital art, collectibles, event tickets, and even ownership records for physical assets.

Unlike traditional cryptocurrencies, which are interchangeable and can be easily replicated, NFTs are non-fungible, meaning they have unique qualities that make them one-of-a-kind. This is why NFTs have gained popularity in the art world, where they can be used to verify the authenticity of a digital artwork and ensure that it cannot be copied or stolen.

How Can We Ensure Unique Authenticity?

When someone purchases an NFT, they not only receive the artwork itself, but also a digital receipt that proves that the piece is original, unique, and authentic. This receipt is stored on the blockchain and can be easily accessed and verified by anyone who wants to confirm the ownership and authenticity of the NFT.

While it is technically possible for someone to take a screenshot of an NFT and claim that they own it, this does not give them legal ownership of the artwork. Just like taking a picture of the Mona Lisa at the Louvre does not mean that you own the painting, taking a screenshot of an NFT does not give you ownership of the artwork.

To legally own an NFT, you must purchase it using cryptocurrency and store it in a virtual showcase. This allows you to own and display your artwork in a way that is secure and verifiable, and it ensures that you are the legal owner of the NFT.

NFT Basics You Need To Know

Non-fungible tokens (NFTs) are unique digital files that are stored on a blockchain. A blockchain is a decentralized, public digital ledger that records every transaction that takes place on the decentralized web. This means that the entire history of an NFT, including its creator, properties, transactions, and smart contracts, is backed by a powerful blockchain.

NFTs are different from fungible tokens, such as Bitcoin or Ethereum, which are interchangeable and store value. In contrast, NFTs store data on the blockchain, making them unique and non-replicable.

Important Traits Of NFTs

Some key characteristics of NFTs include:

• Digital ownership: NFTs are owned and controlled by the individuals who hold them in their digital wallets.
• Permanent: The data associated with an NFT is permanently stored within the token itself. This can include images, messages, signatures, or any other data.
• Permission-less: NFTs can be built on a permission-less blockchain, such as Ethereum, meaning that anyone can create and use them.
• Programmable: Because an NFT is just a piece of code on a blockchain, it can be programmed to have various attributes. For example, an NFT artwork might be programmed to pay the artist royalties on every secondary sale of that artwork.
• Unique: The uniqueness of an NFT can be verified on the blockchain, ensuring that it is one-of-a-kind and cannot be replicated.

How to Own One? 

To create an NFT, there are several steps that you can follow:

1. Get your media ready: NFTs support a variety of file types, such as MP3 audio, JPG and PNG images, and 3D files like GLB.
2. Set up a non-custodial wallet: This will allow you to securely store the cryptocurrency that you will use to buy, sell, and create NFTs. Wallets are also necessary for signing in and creating accounts on NFT marketplaces.
3. Buy Ethereum or other fungible tokens: You will need to purchase cryptocurrency to cover the cost of minting your NFT.
4. Connect your wallet to an NFT marketplace: Popular options include Rarible and OpenSea. Connect your wallet by tapping the "Connect" button in the top right corner of the screen. This will create your account and allow you to start creating, minting, and selling your NFTs.
5. Upload your file and describe your asset: Once you have connected your wallet, you can upload your file to the marketplace and provide a description of your asset. Decide if you want to create a standalone piece or multiple copies of the same NFT.
6. Mint your NFT: The minting process requires Ethereum for transaction approvals. Once complete, your digital artwork will be ready to be traded and purchased on the marketplace.

Once you have created your NFT, there are several things that you can do with it:

• Buy and sell it on a marketplace
• Trade or gift it to others
• Use it in apps or games
• Showcase your public NFT inventory on a platform or social media.

The Secondary Markets for NFTs

NFT minting platforms enable creators to create non-fungible tokens (NFTs) to retain more control over their creative output. These NFTs can be sold on the following secondary marketplaces:

• OpenSea: The first and largest marketplace for NFTs, OpenSea is committed to using open protocols like Ethereum and interoperable standards like ERC-721 and ERC-1155 to enable new digital economies. The platform allows consumers to trade items freely, creators to launch new digital works, and developers to build marketplaces for their digital items. It recently launched the beta version of its Solana-based NFT marketplace.
• Coinbase NFT: Coinbase recently opened its NFT marketplace to the public in beta. The marketplace acts as a social media platform where users can buy, sell, and interact with NFTs. It aims to make minting, purchasing, showcasing, and discovering NFTs easier.
• Solanart: Solanart is the first and largest fully-fledged NFT marketplace on Solana. Users can easily access digital collectibles and explore, buy, and sell NFTs that run on the Solana blockchain.
• Rarible: Rarible is a do-it-yourself NFT marketplace where creators can mint NFTs with ease. The platform's native governance token, "RARI," is used to incentivize users and give the community a voice. However, unrestricted access means that Rarible has become a place for people to mint counterfeit versions of existing NFTs.
• Nifty Gateway: Owned by the Gemini crypto exchange, Nifty Gateway is a popular NFT marketplace that focuses on user-friendly and viral drops by celebrated artists.
• SuperRare: SuperRare (SR) is one of Ethereum's first crypto-art NFT marketplaces. Only accepted artists can participate in the platform, where users can discover, buy, and sell tokenized digital art and showcase their collections.

The demand for secondary NFT sales is growing rapidly, leading to increased competition among these marketplaces. Like the early days of Web 1 and 2.0, the emergence of Web 3.0 has created an open market where these platforms must find ways to attract and retain customers.

Some Notable NFT Projects

The thriving NFT market has led to the launch of several high-value projects, including the following companies:

• Yuga Labs: a blockchain technology company that develops Ethereum-based NFTs and digital collectibles. Yuga's first project, Bored Ape Yacht Club, is one of the most valuable NFT collectibles in the space. The company has also rewarded its holders with free NFTs and other perks. Yuga Labs recently acquired Larva Labs, which brings high-value projects like Cryptopunks and Meebits under the Yuga brand. The company is backed by investors like Coinbase, Samsung, and Mark Cuban.
• Doodles: a collection of 10,000 Ethereum-based NFTs featuring unique visual traits designed by BurntToast. The Doodles collection includes rare heads, costumes, and colorways, and the universe is ever-expanding. Owners of Doodles have exclusive access to new products, merchandise, and events.
• Okay Bears: a collection of 10,000 Solana-based NFTs. Ownership of an Okay Bear grants access to a virtuous community that will extend beyond the internet into the real world.

‍The Future of NFTs

Blockchain technology is known for its ability to represent assets and prove ownership. NFTs take this a step further by enabling people to potentially purchase non-fungible assets like land and gold. The global market cap for gold and real estate is over $300 trillion, so even a small percentage of that being tokenized would greatly increase the total crypto market cap. Tokenized real estate offers ordinary people the opportunity to invest in real estate, which has traditionally been difficult for the average person to participate in.

NFTs also have applications in other industries. For example, Nike recently filed a patent for NFT-enabled sneakers called "CryptoKicks." In 2019, Louis Vuitton announced plans to use NFTs to track the ownership of luxury fashion items. NFTs can also be used to tokenize certifications, degrees, and licenses, as well as sensitive data like medical records. The potential for NFTs to show ownership of any non-fungible commodity, whether real or virtual, is vast.

In conclusion, the use of non-fungible tokens (NFTs) has expanded beyond digital art and collectibles to include a wide range of real and virtual assets. The ability of NFTs to represent and prove ownership offers exciting possibilities for industries such as real estate, fashion, and even healthcare. As the technology and market continue to evolve, the potential applications for NFTs are endless.

If you are wondering about the future of cryptocurrency, we did some digging to answer that, and more.

Cryptocurrency has gained popularity and value in recent years, with the most well-known cryptocurrency, Bitcoin, reaching an all-time high in late 2021. However, the future of the crypto market is uncertain and the subject of much debate. Some analysts predict continued growth, while others foresee a potential crash. In this article, we will explore the potential future of cryptocurrency, including potential growth, crashes, and the role of regulation. We will also discuss predictions for specific cryptocurrencies, such as Bitcoin and Ether, as well as altcoins and decentralized finance (DeFi) and autonomous organizations (DAOs).

Will cryptocurrencies take off? Understanding the potential future of the crypto market can help investors make informed decisions about their investments.

11 Significant Crypto Predictions for 2023

By examining the past trends and indications in the crypto market, it appears that the future of crypto holds exciting opportunities for investors. Here are some notable crypto predictions to keep an eye on in 2023:

Continued Popularity and Growth

Some analysts predict that the popularity and value of cryptocurrencies, particularly Bitcoin, will continue to rise in 2023. This could be due to increased acceptance by businesses and higher demand for Bitcoin exchange-traded funds (ETFs).

Steep Crash

However, others believe that the crypto market is unstable and vulnerable to a crash. In 2022, Bitcoin's price fell by roughly 40% due to factors such as slowing economic growth and rising interest rates. This bearish market may continue into 2023, leading to a potential crash.

Volatility and Regulation

Regardless of whether the market experiences growth or a crash, it is likely that Bitcoin and other cryptocurrencies will continue to be volatile. This volatility could be mitigated by increased regulation of the crypto market, which some predict will play a more significant role in 2023.

DeFi and DAOs

The shift toward decentralized finance (DeFi) and autonomous organizations (DAOs) is expected to continue in 2023. DeFi aims to remove the need for middlemen in traditional financial products, while DAOs are a new type of internet community based on blockchain technology. These developments could help to increase the stability and growth of the crypto market.

Bitcoin's Price

Some analysts predict that Bitcoin's price will continue to rise, potentially reaching $100,000 by the end of the year. Others believe that the market is unstable and could experience a crash.

Increased Adoption

It is predicted that over 500 million people worldwide will invest in and own Bitcoin by the end of 2023. This could be due to increased awareness and acceptance of the cryptocurrency.

ETF Approval

The approval of the first spot Bitcoin ETF in the US is possible in 2023. This would allow investors to have direct exposure to the cryptocurrency itself, rather than just tracking Bitcoin futures contracts.

DeFi and DAOs

The shift toward DeFi and DAOs is expected to continue and could become the highest growth areas of the crypto market.

Ether's Performance

Some analysts predict that Ether, the second-largest cryptocurrency by market value, will outperform Bitcoin again in 2023.

Regulation

It is possible that regulation of the crypto market will play a more significant role in 2023, potentially helping to stabilize the market.

Altcoins

The performance of altcoins, or alternative cryptocurrencies, is uncertain. Some may experience growth, while others could struggle. It is important for investors to carefully research and evaluate individual altcoins before making any investments.

Key Takeaways

When we see crypto from the growth perspective, there is a fair chance of getting the climb in 2023, especially for Bitcoin. However, Ether can take over the throne owing to the stats of 2022.

If you are seeking expert research and analysis to inform your investment decisions, consider signing up for Token Metrics. Our platform can provide you with access to the best performing cryptocurrencies with just a click. Explore our plans to learn more.

In this article, we will explain what crypto burning is, how it is done, and why it is done. We will also discuss the potential benefits and risks of burning crypto, as well as the role of developers and miners in the process. By the end of this article, you will have a better understanding of how crypto burning works and whether it is something that you may want to consider for your own crypto investments.

What Does it Mean to Burn Crypto?

Crypto burning is the process of removing cryptocurrency from the blockchain. This concept originated from traditional stock markets and is facilitated by smart contracts. When tokens are burned, it can increase the value of the asset and make it more attractive to investors. It can also have benefits for tax regulations.

How is Crypto Burned?

The process of burning involves sending tokens to an invalid wallet address, where they cannot be accessed. This is typically done by developers or miners to manipulate the supply of tokens and potentially increase their value.

Why Burn Crypto Coins?

Developers burn tokens for many reasons, including to increase the value of the asset, create hype, and improve the business model. By decreasing the supply of tokens in circulation, they can also help to combat the effects of inflation and make the market more stable.

Can You Burn Crypto?

Technically, anyone can burn crypto. However, it is not advisable for individual investors to burn their own tokens as the coins will be permanently lost. Instead, they may want to consider staking or trading their crypto.

What is Crypto Buyback?

Crypto buyback is the process of repurchasing tokens from circulation. This is typically done by developers to decrease the supply of tokens and potentially increase their value. Buybacks are regulated by smart contracts, which ensures that the removed tokens will never resurface. This can be a good way for investors to encourage long-term holding (HODLing) of the tokens.

In today's world of decentralization and blockchain technology, creating your own cryptocurrency has become a viable option for individuals and businesses alike. But how exactly does one go about creating a cryptocurrency? In this post, we will explore three methods for creating a cryptocurrency, ranging from the most difficult to the easiest. Whether you want to create your own blockchain, fork an existing one, or launch a token on an existing platform, this guide will provide a comprehensive overview of the steps involved. Let's dive in!

How To Create A Crypto Coin?

We are going to explain three ways to create a cryptocurrency, from basic to advanced.

Create your own blockchain (advanced)

• Choose a consensus mechanism: Determine how transactions will be validated on your network
• Design the blockchain architecture: Define who can create blocks, validate transactions, and access data
• Create a user interface: Make sure the user experience is enjoyable
• Audit crypto and code: Hire experts to review your code to ensure security and compliance

Fork an existing blockchain (intermediate)

• Choose a blockchain to fork: Decide on an existing blockchain that aligns with your goals
• Clone the blockchain: Create a copy of the chosen blockchain's code
• Modify the code: Make any necessary changes to the code to suit your needs
• Launch your blockchain: Deploy your modified blockchain and begin mining

Launch a token on an existing platform (basic)

• Choose a blockchain: Decide on a blockchain that supports the creation of tokens, like Ethereum
• Follow the platform's instructions: Each platform will have its own process for creating and launching a token - you can also use sites like Token Factory to launch your token
• Promote and distribute your token: Once your token is live, market and distribute it to potential users.

What is the Difference Between a Coin and a Token?

A coin and a token are both types of cryptocurrency, but they have some key differences. A coin is a cryptocurrency that runs on its own blockchain, meaning it has its own independent infrastructure and user base. Examples of coins include Bitcoin and Litecoin.

On the other hand, a token is a cryptocurrency that is built on top of an existing blockchain, using the infrastructure and user base of that blockchain. Tokens are often created to represent a specific asset or utility, such as rewards points or event tickets. Examples of tokens include Tether and Shiba Inu.

Another key difference between coins and tokens is their relative scarcity. Since there can only be one coin on a given blockchain, the supply of coins is limited. This can give coins a certain level of value and scarcity, which can make them attractive to investors. In contrast, there can be an unlimited number of tokens on a given blockchain, which can make them less scarce and potentially less valuable.

It's important to understand the differences between coins and tokens when creating your own cryptocurrency. Depending on your goals and requirements, you may decide to create a coin or a token, or even both. With a clear understanding of the differences between the two, you can make an informed decision and choose the right approach for your project.

A Few Things to Consider Before Designing Your Crypto Coin:

There are several important things to consider before designing your crypto coin. These considerations will help you make informed decisions and increase the chances of success for your project.

First, you should consider the utility of your cryptocurrency. What value does it offer to users? Why would someone want to buy and use your cryptocurrency? What problems does it solve? Answering these questions will help you understand the potential value of your cryptocurrency and determine its utility.

Second, you should consider any regulatory and legal requirements. Cryptocurrency is a rapidly evolving field, and laws and regulations can change quickly. It's important to understand any compliance issues in your area and make sure your project adheres to all relevant regulations.

Third, you should consider the tokenomics of your cryptocurrency. Tokenomics is the study of the economics of a crypto project, including factors such as initial pricing, supply, emissions, distribution, market capitalization, and potential value. Understanding the tokenomics of your project will help you make informed decisions about how to structure your cryptocurrency and maximize its potential value.

Overall, it's important to carefully consider these factors before designing your crypto coin. By taking the time to understand your goals, requirements, and the economics of your project, you can increase the chances of success for your cryptocurrency.

In the world of cryptocurrency, the terms "bullish" and "bearish" are commonly used to describe an investor's confidence in the potential growth of a particular crypto asset. But what do these terms really mean, and how do they apply to the crypto market? In this article, we will provide a comprehensive explanation of these terms, including the concept of a "bull run" and how it applies to both cryptocurrencies and non-fungible tokens (NFTs).

What Does Bullish Mean in Crypto?

The terms "bullish" and "bearish" are commonly used in the financial market to describe the confidence an investor has in the potential growth of a financial asset. In the context of the crypto market, a "bullish" investor is one who believes that a particular cryptocurrency or non-fungible token (NFT) will rise in value. This confidence is often seen when the market is experiencing growth and gains are being made.

What Is Bull Run

A "bull run" in the crypto market is a period of time during which there is high demand for cryptocurrencies and NFTs, leading to an increase in prices. This increase is driven by confidence in the market, as investors are more likely to buy when they believe prices will continue to rise. A bull run typically includes an increase in the value of well-known cryptocurrencies such as Bitcoin, Ethereum, Binance, and Solana, as these have the highest market capitalizations.

Bullish On NFTs

The concept of a "bull market" also applies to the market for non-fungible tokens (NFTs). In this context, a bull market is characterized by high demand for NFTs, which drives up their prices. Factors that can lead to increased demand for NFTs include strong marketing and community support from the development team, as well as the utility and scarcity of the NFTs. A collector, trader, or creator may feel bullish about a particular NFT project if they believe it has strong potential for growth. This bullish sentiment can lead to higher prices for the NFTs and a decrease in market supply.

Final Thoughts

It is important for investors to understand the terminology used in the crypto market in order to make informed decisions about their investments. The terms "bullish" and "bearish" are commonly used to describe confidence in the potential growth of a crypto asset. A "bull run" is a period of time during which there is high demand for cryptocurrencies and NFTs, leading to an increase in prices. In the NFT space, a bull market is characterized by high demand for NFTs, which drives up their prices.

You may have heard of CryptoPunks, Bored Ape Yacht Club, and VeeFriends, but you may not understand what they are. These names may sound like random combinations of words, but they actually represent some of the most valuable non-fungible token (NFT) projects that have emerged in the past few years.

The world of crypto art and NFTs may appear complex and mysterious, with a mix of celebrities, influencers, and internet experts. But it's not as confusing as it seems. Let's start from the beginning.

What Is An NFT?

Nearly all crypto art that has been introduced to the market has been done so through the minting of non-fungible tokens (NFTs). NFTs are digital assets that have verified proof of ownership. While "fungible tokens" like the US dollar can be easily traded (like exchanging 4 quarters for a dollar), each NFT is unique and cannot be easily traded. For example, imagine a sketch of "Starry Night" by Vincent Van Gogh that has been authenticated by a fine art appraiser as an original. This sketch would be non-fungible because you could not easily exchange it for, say, an original sketch by Leonardo da Vinci. This concept is easy to understand with tangible items like art pieces or collectible cards, but when digital assets can range from a celebrity tweet to an iconic meme to a picture of a pimped out animated ape, it may be confusing.

How Can We Ensure Unique Authenticity?

This is where NFTs enter the scene. Say you are a graphic design artist who just finished your newest 1-of-1 piece of work and you want to sell it as an NFT. Whoever purchases this piece would not only receive the artwork but they would also receive a “digital receipt” that proves that this exact piece is original, unique and authentic.

“But What If I Just Screenshot This Digital Artwork? Wouldn’t I Technically Own the Piece as Well?”

This is the first question that many have mockingly asked on social media and internet forums. The easy answer: yes, you can screenshot practically all digital artwork, but no, that does not mean you own it.

For example, millions of people swarm into the Louvre every year, waiting patiently amidst a giddy crowd, just to capture a picture of the priceless Mona Lisa. Obviously, a picture of the Mona Lisa saved on your iPhone camera roll does not mean that you own that painting.

NFTs work the same way.

Just as the Louvre paid millions of dollars to own, maintain, and display the Mona Lisa in their museum, NFT buyers do the same. However, the main difference is that instead of paying dollars to house the art in a fancy museum, they are paying with cryptocurrency and housing their art in a virtual showcase, so to speak.

This is the basis for how NFTs, cryptocurrency, and blockchain technology are establishing a new and lucrative market for digital art and artists.

The Art of Being Digital

In a 2021 interview, Gary Vaynerchuk (founder of Vayner Media and creator of VeeFriends) made the following statement regarding NFTs. The interviewer remarks on the tangibility of NFTs stating, "the digital aspect, like, you can't see it" — Gary jumps in:

"Well, you can't see a blue check on Instagram? I don't walk around the world with a blue check tattooed on my forehead, but everybody sees it. You can't see my 9 million followers on Instagram, or can you? I would argue the reverse. I would argue that people can't see most of the fancy things you have in your house; that people can see more digital than real life."

And he's onto something, and I'd like to call that something "The Art of Being Digital". In our highly digitized world, our online outreach and interconnectivity is wildly amplified. Gary Vee currently has 9.9 million followers on Instagram — but without access to the internet — he has no way of interacting with that community and tapping into the true power of those 9.9 million people.

Why Do NFTs Have Value?

The value of an NFT is determined by the collective intentionality of those who are willing to buy and sell them. In other words, the value of an NFT is based on what people are willing to pay for it. This is similar to the way that the value of traditional art is determined by the market, with the value being based on factors such as the artist's fame and the rarity of the work.

The Tom Brady example illustrates this idea. On the surface, it might seem strange that someone would pay $430k for a digital picture of a cartoon ape. However, if we consider the fact that the buyer was Tom Brady and the seller was the well-known digital artist Trevor Jones, it becomes clearer that the value of the NFT was determined by the collective intentionality of those involved in the transaction.

Furthermore, the digital art of NFTs offers more than just a digital file and a high price tag. NFTs provide the ability for digital artists to monetize their work and for collectors to own and trade unique digital items. This opens up new opportunities for artists and collectors alike, and has led to the growth of a vibrant and exciting market for NFTs.

Join The Club

Celebrities such as Tom Brady, Post Malone, Steph Curry, and Jimmy Fallon have been buying Bored Ape NFTs. Bored Ape NFTs were introduced by the Bored Ape Yacht Club (BAYC) in April 2021 at a price of 0.08 Ethereum (ETH) each, or about $190 at the time. Since then, the price of Bored Apes has increased significantly, yielding substantial returns for early investors.

In addition to the potential for financial gain, buying a Bored Ape NFT also grants the buyer access to the BAYC community. This includes access to the BAYC Discord, where buyers can connect with other members of the club, including celebrities, and collaborate on NFT-related projects. BAYC also gives members priority access to future NFT drops, allowing them to expand their collections.

Minting and selling NFTs can also be highly lucrative for those who create their own NFT projects. This is another reason why celebrities and others may be interested in the NFT market. Creating and selling NFTs allows artists and other creators to monetize their digital work and gives collectors the opportunity to own unique digital items. The growth of the NFT market has created new opportunities for both artists and collectors, leading to a vibrant and exciting market for NFTs.

Blockchain, Smart Contracts, and Secondary Sales

Blockchain technology is used to record the conversion of traditional currency into cryptocurrency, such as Ethereum (ETH), in the NFT market. This transaction is recorded on the blockchain as public information that is easily accessible to anyone who wants to view it. This ensures transparency and helps to prevent fraud in the NFT market.

Smart contracts are programs stored on the blockchain that allow NFT creators to stipulate the conditions of resale. For example, a creator could draft a smart contract that allows them to earn a 10% commission on any subsequent resales of their NFT. This allows creators to continue to benefit from the success of their work, even after the initial sale.

Smart contracts also facilitate secondary sales in the NFT market. When the value of an NFT increases, the smart contract associated with that NFT can automatically distribute any profits from the sale to the relevant parties, such as the creator or the NFT platform. For example, if the value of Tom Brady's Bored Ape NFT increased from $430k to $530k, the smart contract could automatically distribute the $100k profit to the Bored Ape Yacht Club, if that was stipulated in the contract.

This use of smart contracts helps to ensure that all parties are fairly compensated for their contributions to the NFT market, and it allows for efficient and transparent transactions without the need for intermediaries.

The Future Of Crypto-Art

Grammy-winning artist Tyler, the Creator recently questioned the value of NFTs, stating that most of the examples he has seen are not "beautiful art." While art is subjective and many NFTs are AI-generated, there are still many ways in which NFTs can offer value in the real world.

First, NFTs can be used to represent tangible experiences and achievements. Instead of framing a concert ticket or a season pass, these items could be represented as NFTs, allowing individuals to proudly display their experiences and achievements in the digital world. This could be especially beneficial for VIP experiences and exclusive memberships.

Second, NFTs can provide a level of authenticity and scarcity that cannot be achieved with physical items. This is especially useful for limited edition items and collectibles, which can be authenticated and traded easily on the blockchain.

Third, the use of smart contracts can ensure that all parties are fairly compensated for their contributions to the NFT market. This allows for transparent and efficient transactions without the need for intermediaries.

Overall, while some may dismiss NFTs as "silly little digital artworks," they have the potential to reshape not just the art world, but the world itself.

If you are wondering what is WETH, short for Wrapped Ethereum, this is the place to be.

Cryptocurrencies have gained a lot of popularity in recent years, with many investors looking to invest in the digital assets. However, the use of these cryptocurrencies on decentralized applications (dApps) can be limited due to compatibility issues. This is where wrapped tokens come in. Wrapped tokens are tokenized versions of cryptocurrencies that can be pegged to the value of the original coin and used on different blockchain networks. In this article, we will explain what WETH is and how it works.

What is WETH or Wrapped Ethereum?

WETH is the abbreviation for Wrapped Ether, which is a tokenized version of the cryptocurrency Ether (ETH) that is pegged to its value. This means that the value of WETH remains the same as ETH, but it allows for increased interoperability between Ethereum and other blockchain networks.

How Does Wrapped Ethereum Work?

In order to create Wrapped Ethereum, a custodian must hold the collateral (in this case, ETH). This custodian can be a merchant, multi-signature wallet, or a smart contract. To create WETH, an investor sends their ETH to the custodian, and in return, a wrapped version of the ETH is created. This process is similar to how stablecoins are created, as they are essentially "wrapped USD" that can be redeemed for fiat dollars at any time.

What Makes Wrapped Ethereum Unique?

Wrapped tokens like WETH allow investors to hold onto their ETH while using it on other blockchain networks. This increases liquidity and capital efficiency, as investors can wrap their assets and deploy them on other chains. Wrapping Ether can also reduce transaction times and fees, as Ethereum often suffers from high gas fees. However, using wrapped tokens also means relying on a custodian and taking on additional risks.

Are ETH and WETH Different?

Yes, ETH and WETH are different. ETH is the original cryptocurrency, while WETH is a wrapped version of ETH that is ERC-20 compatible. This means that it can be easily used on a wide range of decentralized applications (dApps), but it is equivalent to ETH in terms of value. Investors may need to convert their ETH to WETH in order to use certain dApps.

Do you want to know what causes crypto to rise? This is the place to be.

Cryptocurrency prices are highly volatile and can fluctuate rapidly, which can be both good and bad for investors. To understand what causes crypto to rise in value, it's important to first understand how cryptocurrencies differ from traditional government-controlled currencies. Unlike fiat currencies, which are backed by a central authority and have value because consumers trust them, cryptocurrencies are decentralized and not controlled by any one entity. This means that cryptocurrencies gain value in different ways than traditional currencies. In this article, we will explore some of the factors that can cause the value of cryptocurrencies to increase.

What Causes Crypto to Rise?

Let's find out what causes cryptocurrencies to rise in value.

Supply and Demand

The value of cryptocurrency is determined by supply and demand, just like any other asset. When demand for a particular cryptocurrency is higher than the supply, its value will increase. For example, if there is a scarcity of a certain cryptocurrency, its value will rise due to the unequal balance between supply and demand.

Each cryptocurrency project typically announces its plans for minting and burning tokens, which is the process of creating and destroying tokens to control the supply. Some cryptocurrencies, such as Bitcoin, have a fixed maximum supply, while others, such as Ether, have no limit on the number of tokens that can be created. Some cryptocurrencies also have mechanisms in place to burn tokens in order to prevent the circulating supply from growing too large and causing inflation.

The demand for a cryptocurrency can increase for a variety of reasons, such as increased awareness of the project or increased utility of the token. So, one factor that can cause the value of a cryptocurrency to rise is consumer demand for that particular coin.

Exchange Availability

Popular cryptocurrencies like Bitcoin and Ether are typically available on multiple exchange platforms, which makes them easily accessible to a large number of investors. However, smaller cryptocurrencies may only be available on a few exchange platforms, which can limit their reach and make them less attractive to investors.

If a cryptocurrency is listed on many exchange platforms, it can increase the number of investors who are able to buy it and drive up demand. As we know, when demand for a cryptocurrency increases, its price will also rise. So, another factor that can cause the value of a cryptocurrency to increase is its availability on exchange platforms.

Competition

There are thousands of different cryptocurrencies and new projects and tokens are being launched all the time. Because the entry barriers to creating a new cryptocurrency are relatively low, the most important aspect of a cryptocurrency's success is building a network of users. Applications built on blockchain technology can help to build networks quickly, especially if they have an advantage over competing applications.

In a situation where a new competitor gains traction, it can take value away from the incumbent cryptocurrency, causing its price to drop as the new competitor's price rises. Overall, competition is an important factor to consider when looking at the value of a cryptocurrency.

Internal Governance

Cryptocurrency networks typically operate according to a fixed set of rules. Some cryptocurrencies, known as governance tokens, allow stakeholders to have a say in the future of the project, including how the token is used or mined. In order for changes to be made to the protocol of a token, there must be agreement among stakeholders.

For example, the Ethereum network upgraded from a proof-of-work to a proof-of-stake consensus mechanism, making much of the expensive mining equipment obsolete. This will likely have an impact on the value of Ether.

In theory, governance tokens should rise in value as stakeholders see fit. However, the slow process of improving protocols and updating software can limit the appreciation of cryptocurrency values.