30/05/2022 NFT 2.0: The next generation of NFTs will be streamlined and trustworthy

NFTs are moving into the mainstream, but this requires a streamlined and trustworthy experience for the general public’s mass adoption.

NFT 2.0: The next generation of NFTs will be streamlined and trustworthy

NFTs are moving into the mainstream, but this requires a streamlined and trustworthy experience for the general public’s mass adoption.

Nonfungible tokens (NFTs)have been in the headlines for the past few years. While swaths of the population have tried to get their head around why NFTs exist, demand has soared, institutions have been built, and the lingo has entered our collective consciousness.

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There is an elephant in the room, though: NFTs are difficult to use and a majority of them are digital snake oil. But these problems create the opportunity to provide answers. The accessibility and legitimacy of NFTs are both ripe for change. As funding pours into the space, the market is starting to mature, and that change is gaining momentum. We’re entering a new era of NFTs — NFT 2.0 — where the technology will be more easily accessible by the mainstream, and the underlying value proposition of the NFTs will be more transparent and reliable.

Reflecting on the rise of NFTs

In their short existence, NFTs have exploded onto the crypto scene,topping $17 billion in trading volumein 2021. This number isexpectedto balloon to $147 billion by 2026. Even more impressive is the fact that this volume isownedby fewer than 400,000 holders, which totals a whopping $47,000 transaction volume per user.

Alongside the industry’s meteoric rise, NFTs themselves have gone through enormous changes since their inception. For example, CryptoPunks, which minted for free in 2017, rose to blue-chip status,peaking with an $11.8-millionsale at Sotheby’s last year. A few years later, Larva Labs, the company responsible for creating the Punks, was acquired by the Bored Ape Yacht Club’s parent company, Yuga Labs, for an undisclosed amount.

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The evolution of NFTs

Dismissed as a fad early on, NFTs have shown a tremendous amount of staying power, attracting the attention of major celebrities and brands and even being featured in Super Bowl commercials. Companies such as Budweiser, McDonald’s and Adidas have dropped their own collections, while Nike has entered the space by acquiring RTFKT Studios.

While organizations determine their NFT strategy, the overall space has mirrored the past several decades of technological innovation, just under a significantly accelerated timeline. While the iPhone took about 10 years to reach its current version, NFTs have moved from 8-bit pixelated images and Pong-like blockchain games to high-fidelity 3D animations and complex play-to-earn game mechanics with massive multiplayer experiences in just a couple of years.

While the actual NFTs evolve, the ecosystem of pick-and-shovel solutions is also rapidly advancing. The onslaught of NFT minting platforms and toolings has dramatically reduced the barrier to entry, which has created deep saturation in the market. As of March 2022, there were more NFTs than there were publicwebsites, creating a significant amount of noise that many have found difficult to cut through.

The staying power of the asset class and the gargantuan transaction volumes have shifted the ways that creators approach the space. Many have rushed their Web3 strategy or treated their fans as a source of liquidity, leaving a mess of missteps, rug pulls and abandoned projects. Put simply, most companies and creators aren’t ready to enter Web3, and they require more hand-holding and white-glove services than they do tools.

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Just like email

Ultimately, NFTs appear to be heading the same way as email. There was a time in the 1990s when companies needed to hire specialists to code emails for them. Early adopters founded lucrative agencies that were able to service Fortune 500 companies and execute early digital strategies. The information gap gave these agencies tremendous leverage until technological advancement (and education) made it easier for brands to do it themselves.

Similarly, we are currently in the era where brands are looking to experts to educate and prepare them for a Web3 future, and it is only a matter of time before they fully disintermediate and manage their Web3 strategy fully in-house. Onboarding for NFTs, and crypto at large, is a fairly complex process that many simply cannot handle. Some companies, however, are finding ways to abstract the more difficult aspects of crypto and creating avenues for deeper engagement with their fans.

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Built for the mainstream: NFT 2.0

The current iteration of NFTs is not designed for mainstream consumption. The onboarding system isn’t smooth for consumers; the volatility is damaging to true fans; and itskewsthe artist-fan relationship. There is too much dissonance between the sticker price of an NFT and the value it is able to provide consumers, and many collections are seeing rough demand shocks as they fail to execute on their road maps.

The core NFT buyer is becoming savvier torug pullsand scams, which means they are less likely to mint new collections. And though it’s easy to look at declining volumes and see doom, the reality is that NFTs need a sizable washout in order to knock out those looking to get rich quickly and more properly incentivize true builders in the space. As the vaporware gets wiped out during a bear cycle, the antifragile companies that can weather the storm when shifting from Web2 to Web3 will thrive. Agencies and platforms, if timed incorrectly, will be wiped out, but those prepared for an email-esque shift will maximize high-margin, high-touch projects while capturing long-tail revenue streams.

This has important implications whether you’re building in the space, a potential user or an investor. This space is going to grow up fast and evolve quickly. Don’t blink or you might miss it.

This article was co-authored byMark Peter DavisandSterling Campbell.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

The views, thoughts and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

Mark Peter Davisis a venture capitalist, serial entrepreneur, author and community organizer. He is the managing partner of Interplay, a top-performing venture capital firm based in New York City. He’s also an active podcaster, the author ofThe Fundraising Rulesand the founder of both the Columbia Venture Community and the Duke Venture Community.

Sterling Campbellis the CEO of Minotaur, Web3 company servicing top-tier creators and brands as they develop NFT projects, decentralized autonomous organiations and tokens. He has spent the majority of his career focusing on consumer-focused tech for Blockchain Capital, Lerer Hippeau, Grishin Robotics and William Morris Endeavor, where he also developed talent. Sterling earned his bachelor of science in music industry and business administration from the University of Southern California and his master of business administration from Columbia Business School.

Arts

https://cointelegraph.com/news/nft-2-0-the-next-generation-of-nfts-will-be-streamlined-and-trustworthy

Interesting NFTs
Alex in Wonderland
A figure, Alex, stands mostly naked in the midst of a physical and psychological maelstrom. He is clad only in nostalgic 80’s era socks, on a tenuous island between active waters and a variety of shark denizens. Sharks on the right side of the image are all beached, including a shark with a quartz crystal snout, an orange shark wrapped in a life buoy, and a shark further in the distance wearing an 80’s style shirt with the number “88”. On the left side is the largest shark, wearing bright glossy red lipstick and brandishing prominent teeth with braces. She is cordoned off from the figure by a roped float divider, and within her thought bubble is a warning symbol. Behind the figure, hovering in the air, are Grey aliens emerging from the distance, out of a series of elliptical UFO shaped interdimensional membranes. The Greys take on the visual form of spermazoa ostensibly impregnating the interdimensional thresholds. As is typical, these Greys inhabit a zone just behind the unconscious topology of Alex’s dissociative mind. Though Alex’s bottom half is representative, his top half mutates into a psychological cornucopia. In a manner akin to “Auto-Erotic Sphinx”, a predecessor work, the figure has self suctioned—an act of sensual infatuation, enjoyment, and exploration. Upward exists the figure’s primary conscious eye, adorned with a revolutionary beret emblazoned with a Bitcoin badge. The figure’s summit features the nose of a fighter jet facing off against video game Bullet Bills, one of whom is marked by a communist North Korean star. A cropped section of a UFO observes the contest. Alex’s mind branches both left and right. To the left is more singular embodied consciousness, manifesting two eyes and a Ganesh trunk grasping crayons. The right branch dissociates upward diagonally, emerging into an array of eyes, faces, teeth, tail, a unicorn horn, and much more—all of which participate in expressing his unconscious being; a democracy of psychic factions representing thought impressions and associations. All illumination and darkness– fernal, infernal, high consciousness and corporeal underbelly–reside in this realm. In the distance are relatively languid, light clouds, and against the firmament hovers a colossal distant eye peering over the scene and far beyond. This painting possesses underlying genetic traits with previous works such as “Auto-Erotic Sphinx with Toys”, “Dionysus”, and “Fuku-Shiva”. The work serves also as a nod to an earlier period of art inspiration during late teens and early twenties— born out of the nakedness, vulnerability, curiosity, and wonder inherent to coming of age and all subsequent psychedelic revelation.
Source Code for the WWW
OWNER: Sir Tim Berners-Lee Sir Tim Berners-Lee, b. 1955 Source Code for the WWW 1990-1991 Work includes: Original archive of dated and time-stamped files containing the source code, written between 3 October 1990 and 24 August 1991. These files contain code with approximately 9,555 lines, the contents of which include implementations of the three languages and protocols invented by Sir Tim; HTML (Hypertext Markup Language); HTTP (Hyper Transfer Protocol); and URIs (Uniform Resource Identifiers), as well as the original HTML documents that instructed early web users on how to use the application Animated visualization of the code being written (Video, black & white, silent), lasting 30 minutes 25 seconds A Scalable Vector Graphics (SVG) representation of the full code (A0 841mm wide by 1189 mm high), created by Sir Tim from the original files using Python, with a graphic representation of his physical signature at lower right A letter written in the README.md file (in “markdown” format) by Sir Tim in June of 2021, reflecting upon the code and his process of creating it Non-fungible Token ERC-721 Minted on June 15, 2021, ed. 1/1 Smart Contract Address: 0x86ade256037d80d6d42df8df96d5be21cd25bd8f
The Machine of Real Madrid
Visual Toy honoring the greatness of the most awarded club in the world of football, Real Madrid. Including his top stars of all time including President Bernabeu, a myth in the club's management. This Visual Toy represents the club as a title machine with the Champions League as a great emblem, since it holds the leadership in victories in the maximum European competition. A magical and fantastic mechanism like the history of the club itself. Including the Bernabeu in its last year before the remodeling in 2020, this Visual Toy brings together all the essence and soul of the merengue team. https://javierarres.com
SolPunk_#9335
Rank: 7407 Skin: Dark Type: Male
#87445
By OthersideDeployer