Former President Donald Trump launched a new NFT series in December, just before Christmas. They sold out within a day of their release and prices have gone up ever since.
The digital trading cards bearing images of Trump were originally priced at $99 each and traded on OpenSea. They raised a total of over $4 million. The most traded Donald Trump NFT card sold for 37 ETH or $43644, according to reports.
The digital trading cards have cartoon images of Trump in various avatars. Among the offers are Trump as an astronaut, Nascar driver, sheriff and even the face of Trump on Mount Rushmore. The cards are the digital version of the baseball or basketball card games. Clark Mitchell, whose work using the Star Wars universe is widely recognized and who has worked on celebrity NFTs, designed the cards.
The NFTs were launched on Polygon, an Ethereum scaling network. Volume increased on the secondary market, surpassing even the popular NFT Bored Ape Yacht Club on December 16. However, by December 29, sales were down 98%. Even though the price and volume have plummeted, the cheapest Trump NFT is still floating around for around double the asking price.
What are NFTs?
Non-fungible tokens (NFTs) make digital creations unique. But what are NFTs? Are NFTs a buy now?
Making digital copies is easy. Whether on a desktop or mobile device, users can copy and paste, creating replicas with just a mouse click. These copies are cheaper too – when broken down, it’s just classic economics where supply and demand determine the price. The more copies we make, the lower the price of each copy will be. The law applies to both the real world and the virtual world.
On the other hand, an original Renoir painting or a unique opera performance has no copies and commands a high price because it cannot be imitated. They are not expendable.
So what happens when we want to make a digital object (digital art, digital awards, digital certificates) unique?
Non-Fungible Tokens or NFTs are digital inventions that make digital creations unique. NFTs are digital certificates of authenticity. Due to the blockchain technology that underpins NFTs, property rights are resistant to tampering and immutably recorded on a block.
NFTs can be traded on exchanges. However, the trading volume and total sales of NFTs have plummeted with the cryptocurrency market. He JPG NFT Index it is down to 33.04 from its peak of 92.70 in April. So are NFTs a good buy now?
Most of the current NFTs run on the Ethereum blockchain and have the programmable features of smart contracts. Since NFTs are digitally generated tokens, they can be used to secure ownership of both tangible and intangible items. In addition to artwork, collectibles, and real estate, NFTs can also be generated for tweets and various other types of Internet content.
Battleground for the best media players
NFTs are already a new venture for major streaming content players. walt disney (DIS) Y Netflix (nflx). These leaders know that their premium content alone is not enough. They have had to reinvent themselves over and over again to attract viewers and maintain their lead.
The growth of viewers is a number closely watched by these companies. Disney+, Disney’s streaming service. is on track to reach 260 million subscribers by 2024.
On the other hand, Netflix saw subscription numbers drop for two consecutive quarters earlier this year as it increased the price of its standard package. Subscribers have always been on the lookout for the high price that prime content commands and have also been wary of price hikes. They have been ready to opt out when plans become too expensive.
Netflix finally turned around and just increased its subscriber base by 2.4 million in the third quarter ahead of their lower-priced ad-based package. The leading provider of streaming content is following an early move from Disney+ to launch a cheaper ad-based package later this year.
The main shift towards on-demand content began with Alphabet‘s (Google) YouTube and broke through etsy‘s (etsy) Y ebay‘s (eBay) print on demand, SoundCloud, Spotify (STAIN) and finally to streaming video content dominated by Netflix, Hulu, Amazon Prime and Disney+.
NFT in the Metaverse: Next Big Thing for Streamed Content
At Netflix or Disney, NFTs would allow content creators to continue the digital rights to the content being streamed. This could lead authors to offer their content independently without a curation intermediary. Viewers can also sell their opinion on a show in a tweet and turn that into an NFT as well.
But just as important, NFTs can be a new way to engage viewers by letting them say how much they liked a show. For the third season of “Love, death and robots”, Netflix thrown out an NFT treasure hunt on OpenSea. NFTs are sold for a fraction of an ETH so they are not expensive.
But the relative price of each NFT sale will show how much viewers liked it compared to other shows on Netflix. That kind of data can help the streaming giant gauge viewers’ likes and dislikes and curate its content more effectively.
Disney has also partnered with VeVe Digital Collectibles for their NFT collectibles. But it also chose cryptocurrency firm Polygon to explore a theme park metaverse for “next-gen narrative.”
He has other plans, including partnering with Lockerverse for storytelling via augmented reality which has its own NFTs and Flickplay, which discovers NFTs connected to real locations that users can experience and share via augmented reality.
NFT adoption is likely to grow, although NFT sales volume is low at the moment. Major NFTs like CryptoPunks and Xmon can still command a huge price tag. But NFTs as a whole have yet to regain the momentum they had in 2021 and earlier this year. However, as companies see new ways to use NFTs, interest is likely to rise, making them good buys.
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