How to Assess the Value of an NFT?

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The Emerging Trust economy

Courtesy: ATC Comm Photo

What is value?

How to Assess the Value of an NFT?

1. Subjective Quotient

2. Provenance

3. Utility

Examples

  • Genies, a virtual identity platform, recently decided to host a large fundraiser to create digital avatars and wearable goods.
  • The largest game on Ethereum, Axie Infinity, is modeled as a Pokemon-Esque monster collecting game, where players battle and breed for glory and profit. All these NFT items can be traded and sold. In addition to this, it is also one of Ethereum’s most used applications.
  • Yet another game on the Ethereum ecosystem is Gods Unchained, a trading card game similar to the game Magic: The Gathering. In Gods Unchained, those who play form decks of cards of different fantasy beings and battle them with others. The winner takes renowned and tokenized prizes on the blockchain network.
  • As many people know, virtual reality has been a reality for several years now. Ethereum is the first technology that truly allows virtual reality projects to make their real estate items scarce and easily tradable around the world. For all these reasons, the virtual reality projects lead to a new sort of internet, defined by virtual worlds, called a metaverse.
  • An example of one such virtual reality system is that of Cryptovoxels. This project on Ethereum has formed its name through taking good care of its development team and creating an enjoyable system for users. Within this virtual reality project, users can buy parcels as an NFT and then develop and build digital installations at the top of them, such as an art gallery.
  • A fashion platform, RTFKT, made $3 million dollars in revenue in only seven minutes. They were selling virtual sneakers.
  • In another virtual reality world, Somnium Space, the user can own land or is able to produce sellable avatars. From land to avatars to digital art pieces, every single item purchased is a non-fungible token.

Conclusion

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