An article to understand the recent NFT buying boom

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WebX实验室
3 years ago
This article is approximately 1483 words,and reading the entire article takes about 2 minutes
Today, the development of the NFT market has reached a new inflection point, including technology, community, and activity, all of which have shown strong potential without exception.

Editors Note: This article comes fromWebX Labs Daily (ID: gh_3bc595acebaf), reprinted by Odaily with authorization.

Editors Note: This article comes fromWebX Labs Daily (ID: gh_3bc595acebaf), reprinted by Odaily with authorization.

An article to understand the recent NFT buying boom

Today, the development of the NFT market has reached a new inflection point, including technology, community, and activity, without exception, showing strong potential. (From the changes in NFT from 2020 to 2021, you can see

Another wave of NFT boom in 2021

) Such potential energy has also attracted the attention of the capital market, including Grayscale Fund, hedge fund Coatue Management, CoinFund and other institutions have entered the market one after another, forming an investment boom for the NFT industry.

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KOL forward-looking grayscale aims at NFT investment boom

In the list of four newly registered trust funds announced by Grayscale recently, the Flow public chain, which focuses on NFT encrypted games and encrypted art, is included. Obviously, the NFT infrastructure represented by Flow is being paid attention to by well-known investment institutions, and even attracted the interest of crypto asset trust fund giants. This choice points to an indirect shot in the arm for the development of the entire NFT infrastructure. With the influence of the market on Grayscale, NFT assets have also taken advantage of the trend to find a very bright value export.

In addition to Grayscale, many leading investment institutions have all focused on the NFT field. In the past two weeks, the fantasy football game Sorare received US$50 million in financing, NFT blockchain game development team Dapper Labs received US$250 million in investment, NFT loan platform NFTfi completed US$890,000 in financing, and interactive content creation platform Playcent completed US$1 million Financing, decentralized autonomous organization Yield Guild Games completed $1.3 million in financing, NFT creation platform Curio completed $1.2 million in financing, and NFT trading platform Mintable received investment from billionaire and Dallas Mavericks owner Mark Cuban...including Coatue Management, Coinbase, Coinfund, Future Perfect Ventures, Benchmark Capital, a16z, Digital Currency and other well-known investment institutions in different fields lead or participate in the investment.

From the perspective of project investment amount, NFT has achieved gradient multiple growth. According to previous reports, in July 2020, Sorare completed a seed round of financing of 4 million US dollars. In December 2020, Sorare received 430 million dollars invested by FC Barcelona star Gerard Piqué. The last time, Sorare’s total financing amounted to 60 million US dollars. This kind of continuous investment and the remittance of multiple-level funds show to a certain extent that the market is optimistic about the project itself and its industry. From the perspective of the number of investment and financing events, investment events in the NFT field have become more and more frequent, and compared with the scale of nearly one million dollars in financing of DeFi applications, the investment volume of NFTs of tens of millions of dollars is obvious. more favored by capital.

Looking back at the entire NFT investment thread, CryptoKitties game collection can only be regarded as a personal carnival. The small test of the investment boom in 2020 can only be regarded as the hidden line of investment in DeFi, and the non-stop investment events since this year From the perspective of the frequency of occurrence, NFT has become an essential rule in the investment community. The investment balance in various vertical fields of the blockchain is constantly tilting towards NFT, and it is an industry behavior oriented by giant institutions. The investment melody throughout the year set the mainstream tone.

The entry of capital will push NFT out of the circle

A pair of socks sold for $160,000, a tweet fetched $2.5 million, and thats not the end of it. The recent NFT market transactions have ushered in an explosive spring, and more and more new records have been broken and created. For such an unstoppable market purchasing power, we can use the NFT whale WhaleShark to explain on twitter, Digitalization is also a An economic choice. All these trends point to the natural migration of human beings towards digitalization. In this process, technology is required to confirm the source and rarity of assets, and provide real ownership and management rights. The future of NFT is so bright, I need to do Good sun protection measures.” It is certain that digitization is becoming an inflection point mileage for the future industry, and NFT happens to be an available grip on this inflection point.

Since Ethereums decentralized financial application (DeFi) has been proven to be a sustainable profitable business model, and NFT is a very unique existence, and has created success one after another. According to data from DappRadar, the average price of NFT reached a peak of 4334.21U on February 22, 2021, which is 40 times that of half a year ago. Various data show that the industrys interest in the NFT market is increasing. In particular, the entry of well-known institutions including LVMH, the owner of luxury brands such as Marvel, NBA, and LV, has created an unprecedented value pull for this NFT outbreak, which has strongly promoted the further growth of the NFT market value. With the strong market penetration brought by IP rendering and market influence, more and more small and medium-sized people will be attracted to join this business transformation.

  • In essence, the reason why NFTs that have been opened all the way are needed and eager to be ignited is that the value of NFTs begins to really play a role. Different from the sensation created by CryptoKitties in 2017, the entire market in 2021 is showing a fast, accurate and ruthless pace. After three years of dormancy and waiting, NFT has experimented with possible scenarios and continuously pushed the value zone Pushing forward to a wider space, this kind of value expression not only shows a huge space for creation and imagination in intellectual property, art collections, game props, etc., but also forms a creative space for the encrypted world in IP, physical industries, and sports zones. , and a unique and sharp forward-looking yearning. In terms of objective development, the volume of NFT in the entire encryption world is insignificant, but in terms of the development of the entire industry, NFT is the most likely intermediary to introduce real entities into the chain, and it will become a DeFi replica tradition A different kind of innovation after the financial scene, breaking away from outdated forms such as idling and nesting dolls, and forming a very distinct market value expression structure, which ultimately exists in all aspects of our daily lives and is the target value of various entities in the digital age.

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An article to understand the recent NFT buying boom
  • Which projects to focus on next?

  • The NFT field includes infrastructure, developer tools, market transactions, virtual reality, games and other upper-level applications. According to incomplete statistics, it has reached 175+. There are also 100+ various NFT tokens. Therefore, as far as the entire ecology is concerned, there is a trend of contention among a hundred schools of thought. So, among so many projects, which ones can we focus on?

  • Flow: Backed by many investment institutions, it has a strong ability to integrate resources

Flow is another public chain focusing on NFT encrypted games and encrypted art in 2021. It was created by the former CryptoKitties game development team Dapper Labs and is a cutting-edge public chain that is highly appreciated by capital. Different from other public chains, Flow has superior expansion speed and throughput performance. In terms of architecture design, nodes are responsible for participating in one of the links of collection, consensus, execution, and verification, rather than investing in the verification link of the entire transaction. Greatly improved network speed. Flow has achieved remarkable results so far. It has successfully attracted traffic by virtue of its developed card project NBA Top Shot, which has become the development infrastructure for many NFT applications. In February this year, Flow announced that the NFT trading platform Opensea will be included in the ecosystem. It can be said that both capital and technology are very strong. Flow is advancing at full speed and may occupy an important position in the future market.

  • Opensea: The worlds largest encrypted digital collection market or the next Uni

  • Polygon: Race to Lay2 Track Aggregator Focuses on Games and NFTs

An article to understand the recent NFT buying boom

Polygon plans to become the first Layer 2 solution aggregator on the Ethereum chain, building a modular, universal, and flexible expansion framework for Ethereum, which is used to establish and connect Ethereum-compatible blockchain network protocols and frameworks. Since Polygon is upgraded from Matic, it has a small scale in ecological construction. According to statistics, there are more than 100 projects in the Polygon ecosystem, and it is gradually building a diversified ecosystem from games, NFT to DeFi and other subdivisions The system, especially in the field of games and NFT, has developed very significantly, occupying more than half of the ecosystem. Popular applications such as the virtual reality game platform Decentral Games and the immersive NFT digital collection platform Terra Virtual are all developed based on Polygon.

This article is from a submission and does not represent the Daily position. If reprinted, please indicate the source.

ODAILY reminds readers to establish correct monetary and investment concepts, rationally view blockchain, and effectively improve risk awareness; We can actively report and report any illegal or criminal clues discovered to relevant departments.

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