NFTs have suffered Everything from ridicule and scams to a significant drop in demand due to the crypto winter. Sometimes it seems as if some projects in space simply continue on the basis of hopes and dreams. However, the sector has persisted through the recession, and the recent momentum in cryptocurrencies has made investors, community members, and viewers alike interested in NFTs once again.
Sure, NFTs get a lot of attention for all the monkeys, rocks, and silly JPEGs people spend millions on, but there’s a widespread belief in the industry that there’s a lot of value behind the concept and the different use cases it brings.
“I think NFTs are just crypto cultural artifacts at this point. When people have fun, it’s easier to use a JPEG file than just a token,” Ilja Moiseevs, co-founder and CEO of NFT marketplace Tensor, told TechCrunch+.
Most people keep their NFT tokens regardless of their monetary value, according to Yat Siu, co-founder and CEO of Animoca Brands. Making money from NFTs validates their owners’ convictions, but Siu believes there are more important factors driving continued ownership.
Similar to why people buy diamonds, there is a sense of value in investing in NFTs because it makes users look good or boosts their social standing, Seo said.
“Some of them are basically just fraternity clubs. “Just people who enjoy similar interests,” Moiseevs said. “It’s not a crazy idea, but NFTs are what make it happen [the experience] More powerful by connecting them together. You either lose money together or you make money together.
And it seems like more people are jumping in to be part of the “Make Money Together” group: In the past 30 days, there have been about 120,000 more NFT buyers than sellers, and sales volumes have increased by 72.7% to about $1.66 billion. According to NFT Aggregator CryptoSlam.