NFT price : Why Crypto Art is more expensive than your house?

What is an NFT?

NFT stands for non-fungible token. Ok… but that doesn’t make the definition any clearer. Non-fungible means that we can’t replace them: it’s unique. For example, cryptos like bitcoin or ether are fungible, you can trade one for another. But it’s not the same with nft crypto art. Once you own an nft, you are the only one with this model. It’s blockchain-based digital art that’s why no one can control it. If you want to know more about blockchain check out our article here. In this article, we’re going to see the purpose behind the nft price.

How do they work?

Now, what is the point of buying NFT art?

When you buy crypto art, you don’t own the copyright for this nft. In addition, we can’t print them it’s digital: you own artwork at a specific URL. So why people would buy them?

Well, the way they operate confers benefits on anyone who has them.

The buyer can be passionate.

Some people purchase art just for their house or just for fun. Eh Bien … it’s the same here. You can just buy a piece of crypto art for your enjoyment and that’s all. People all around the world are passionate about all sorts of art and nft crypto art isn’t an exception. They form communities around their passion for digital art and can support the creators too. This contributes to socialization and reuniting people with the same interests.

The buyer can be a collector.

We can collect all sorts of things like luxury bags, cars, watches, and in some cases nft crypto art. Art collectors are always looking for unique pieces to purchase. Nfts are perfect because we can’t copy them. You buy 1000 nfts from a specific collection and all 1000 will be unique. After the sale, the price can go up and you can sell it or not.

But wait … I’m an artist!

Don’t worry we got you. This market is growing and it is constantly changing. If you want to monetize artwork, this can be a huge opportunity for you. You can sell your digital work or buy them on marketplaces.

How much do they cost? The price for some nft might surprise you!

Now that we understand what is an NFT and how it works, we’re going to discover the price. NFTs can be for free like CryptoPunks were in the beginning but the best projects are worth millions of dollars. You can be lucky and find the bestproject before it blows up.

Best nft crypto art collections

These are the best NFT project since the beginning of the hype.

• CryptoPunks. I know at this point you might be wondering if they sponsored me. But hear me: they are one of the biggest crypto art collections currently on the market. We can’t mention nft art without mentioning CryptoPunks. As we told you below, Larva Labs made this iconic collection in 2017 and it was free for a short period. Now, one of the top-selling nft was bought at $7.58 million. Some NFTs are on sale on the CryptoPunk website.
• CryptoKitties. For my cat lovers! They were the second NFT project to catch the public eye after the CryptoPunks movement. Cryptokitties is a game around collectible and adorable creatures. Like Axies, you own them and you can earn rewards with Kitties.
• Bored Ape Yacht Club. This project is a collection of 10,000 Bored Ape digital collectibles. The NFTs, in particular, give their owners access to an online club. Inside the Bored Ape Yacht Club, owners can adopt a dog. This is a limited collection. But you can buy the Mutant Ape Yacht Club collection on the same website.
• Punks Comic. This is my favorite NFT project. Punks Comic is a Pixel Vault project where every punk has a background history. Inspired by the 16 main characters in Punks Comic, Metahero universe is a well-designed NFT collection of heroes, villains, and mutants. This collection takes the NFTs to the next level. The buyers will be able to use every Metahero in future gameplay. You can buy Punks on Opensea or other marketplaces.

Examples of NFT sales

The NFT movement makes people spend millions. People can buy collections of nft crypto art or just a single one but the price is still expensive.

• The Nyan Cat. The iconic GIF turns 10 this year and Chris Torres, the artist behind the Nyan cat, decided to let his work go for an auction. The Artwork was sold as one-of-a-kind crypto art for $500.000. If you find this quite expensive, wait until you see the next sale.
• The Beeple NFT. This is by far the most expensive NFT on this list. Beeple is an artist who has more than 2.5 million followers through social media. He first sold one of his nft crypto art at $3.5 million. But his huge piece of art was sold during an auction at Christie’s for $69 million. Noah Davis, a specialist in contemporary art at Christie’s saw the Beeple’s collage and eureka!
• The Charlie Bit My Finger NFT. You may have seen this video on Youtube like nearly 1 billion people all around the world since 2007. The NFT for this video cost around $760,999. The buyer is a music studio 3F music, which also won the auction for other NFT memes like the Disaster Girl.
• The Jack Dorsey’s first tweet. Jack Dorsey is one of the founders of Twitter. His first tweet, published on March, 21 2006, was “just setting up my twttr” kinda simple words, right? This tweet was sold for $2.9 million to a Malaysian businessman. This NFT was also auctioned off for charity.

Are NFTs mainstream now?

Yes …but no! My mom still doesn’t know the purpose behind nft crypto art. Some people know what is an NFT but don’t understand the hype. Big brands like Taco Bell or Marvel launch their NFTs but this is for the fans and the collectors, not the crypto-lovers. NFTs are not mainstream like Star Wars. They could be one day but not as the digital art. Non-fungible Tokens can be more than just crypto art.

NFT crypto art use cases

For NFTs to become mainstream, we must find their other utilities. So, let’s talk about it.

1. NFTs can be related to real-world assets. In the future, we will be able to tokenize our assets in the real world. For instance, you want to buy a house. No need for some third people to help. All the information related to your house is on the NFT and on the Blockchain. Your buyer will just buy the NFT and your house is sold! Now the tokenization aspect is still in the preparation phase. Not many companies have dared to test this on a large scale but we hope to see more of this in the future.
2. NFT project in the Metaverse. Mark Zuckerberg’s new project introduced the Metaverse to the public. NFTs will play an essential role there. In September, Coca-Cola launched a line of virtual clothes. They are meant to be worn by avatars in the Metaverse. Gucci also launched a clothing line in the metaverse game Roblox. NASCAR just follow the trend by launching a car collection on the same game. NFTs will play a huge part in our lives in the Metaverse.
3. NFTs and DNA. The genetic testing company 23AndMe has faced a lot of criticism for the resale of their customer’s data. By using NFTs, changing the data would be impossible because they live on the blockchain. They will finally prove that they take privacy seriously.

These use cases show you how much the nft price no longer seems exaggerated at all.

Conclusion

Many factors come into play when it comes to buying or selling NFTs. The digital aspect of this 21st century art form is questionable. What is certain is that they are not exploited to their full value.. The future of nft crypto art may be perceived as unclear but the fact that they can represent real-world assets makes them indispensable for the future. The benefits they offer justify the nft price. Buying crypto art now could be an investment for years to come.

Originally published at https://luxgaleries.com on December 17, 2021.