NFTs, or Non-Fungible Tokens, are becoming increasingly popular as investors and collectors seek to participate in the latest blockchain craze – and some of the sums paid for them are absurd.
Throughout 2022, NFTs will continue to increase in popularity, with art collections worth millions being sold as digital jpegs and some of the world’s greatest influencers and celebrities becoming involved with their own initiatives.
The concept of an NFT is still somewhat broad, as virtually anything can be an NFT. There are art NFTs, music NFTs, and even poker NFTs. The point is that they are popping up worldwide, in every sector.
With such a meteoric ascent to notoriety, it is not surprising to see certain NFTs sell for hundreds of thousands, if not millions, of dollars. The key reason for this is the project’s hype and community. Most initiatives begin by building a community on social media and Discord before allowing investors to buy a restricted number of tokens. When projects create a lot of interest, the fundamental forces of supply and demand kick in, and the price skyrockets. Projects that do this process correctly frequently enjoy huge returns on investment, generating massive sums from early investors.
Here are some of those that most definitely got it right:
Everydays: The First 5000 Days. Everydays: The First 5000 Days is a digital artwork created by Beeple, an American graphic designer. This NFT was purchased by NFT investor Metakovan through an auction sale at Christie’s in February 2021 for $69.3 million. The NFT is a montage of Beeple’s 5000 previous works. Beeple has submitted a new photograph to his Instagram feed every day for 13 years, beginning in 2007. His “everyday” art pieces are frequently set in post-apocalyptic landscapes and reference current events or pop culture; this NFT collage can be viewed as a symbol of Beeple’s growth as a digital artist.
CryptoPunk #7523. A pixelated photograph will net you millions of dollars in very few cases. CryptoPunk #7523, created by John Watkinson and Matt Hall of Larva Labs, is one such exception. While there are 10,000 other collectible characters like this one, this digital character is one of just nine Alien punks and the only one wearing a surgical mask. It was sold for $11,754,000 at a Sotheby’s “Natively Digital” auction on June 10, 2021. The buyer, Shalom Meckenzie, is an Israeli entrepreneur and the largest shareholder of DraftKings, a daily fantasy and sports betting company.
Beeple’s Crossroad. Beeple’s NFT Crossroads, available through Nifty Gateway, was created in reaction to the 2020 United States presidential election. The piece depicts a depressed man, presumably Trump, lying on the ground, reflecting the former president’s defeat in the election. Crossroads also included two films, one jubilant and one mournful, with Trump. The outcome of the election determined what would eventually play.
Julian Assange & Paks Clock. Julian Assange and Pak’s Clock NFT became the second-most costly single NFT sold in February 2022. The NFT represents a timer that keeps track of the number of days Assange has been imprisoned. It was part of Pak & Assange’s Censored collection, including a dynamic, open edition. Pak has remained nameless throughout their career, despite becoming one of the highest-earning living musicians. They took to Twitter shortly after the sale ended, calling it “a drop with no creator, developer, platform, or middleman share,” implying that it was “from people, for people.” The item was purchased by Assange DAO, an organization whose principal goal is to fight for the freedom of Wikileaks founder Julian Assange.
The Merge.The Merge is the product of renowned digital artist Pak and is the most costly NFT ever sold. The Merge is the most innovative of Pak’s NFTs. The Merge was a collection of ‘masses’ that anyone could purchase rather than a static work of art. The more money people spent, the larger their ‘mass’ got. All of these masses are grouped under the same invention. With total sales totaling $91.8 million, The Merge is by far the most expensive NFT transaction.
Photo Credits: pexels
I wonder if some of the early high $$$ purchases were really about pumping up the market for other NFT’s. A way of creating market vibe so that the masses charge in and the initial investors cash out. Kinda like Bitcoin…..
Anything is possible!