Cointime

Download App
iOS & Android

What It Takes To Survive The NFT Bear Market

The public’s sentiment towards NFTs has hit rock bottom as they are widely considered to be scams, ponzi schemes, and overpriced pictures of monkeys. The collapse of FTX made it all worse. Most people outside the industry believe that NFTs have gone downhill, with many scams and rug pulls being exposed and only delusional individuals remaining.

This perception is not far off from the truth, as a good majority of projects were not built to last and never had the right intentions in the first place. That being said, there are legitimate projects and builders who are working towards a better Web3, which will eventually be adopted.

There are several reasons why people misunderstand NFTs:

1. The complexity of the securitised ownership

Whether it’s digital art, gaming tokens, or avatars, each use case has endless possibilities, and it takes time to see the actual implications of NFTs.

2. The usability of blockchain technology

Additionally, the blockchain technology behind NFTs is not easy to understand, with wallets, transactions, gas fees, decentralisation, permissionless, and provenance being just a few of the complicated terms that need to be grasped.

3. Complicated UIUX

The complicated user interface and user experience of NFTs can also be a hurdle for newcomers, with gas fees, gas wars, and on and off ramps being a particular challenge.

4. Security Risks

Furthermore, security is a major concern, with hacks and scams being all too common in the NFT space.

5. Short-lived Trends

The rapidly changing trends in the market is extremely hard to keep up with. Just in 2023 alone, we have seen the Japanese meta, the Open Edition meta, and the Blur airdrop hitting the market. And we are barely more than a month into the new year.

6. Volatility and Uncertainties

Besides the market volatility, every project carries uncertainties and it takes a huge leap of faith in the concept of NFT, and in a team’s execution, for investors to put their money behind a project.

7. The Right Mentality

Not every investor or speculator is ready to take on this unpredictable market. Not only do they have to deal with all the complexity, there is also the emotion side of things like fear of missing out (FOMO) and fear, uncertainty, and doubt (FUD) that they have to deal with on a daily basis.

In summary, the NFT space is:

  1. Technically complex and difficult
  2. Unbelievably risky and rife with danger
  3. Hilariously early and an absurd new concept
  4. Unbelievably inundated with content
  5. Often overwhelming, and moves at light speed

Given these complexities, those who still believe in the future of NFTs should be commended for their perseverance. What others may not understand now, may make sense in the future, and only time will tell.

Get the latest news here: Cointime channel — https://t.me/cointime_en

NFT
Comments

All Comments

Recommended for you

  • BTC Rises Above $78,000

    Market data shows that BTC has risen above $78,000, currently priced at $78,118, with a 24-hour decline narrowing to 0.82%. The market is experiencing significant volatility, so please ensure proper risk management.

  • BTC Falls Below $77,000

    Market data shows that BTC has fallen below $77,000, currently priced at $76,983.55, with a 24-hour decline of 2.36%. The market is experiencing significant volatility, so please ensure proper risk management.

  • Israel Claims It Is Ready to Restart War with Iran

    On April 23, Israeli Defense Minister Katz stated at the end of a situation assessment that Israel is prepared to restart the war with Iran, 'just waiting for the green light from the United States.' (CCTV News)

  • Iranian Source: Breakthrough in Iran-US Negotiation Preparations Possible 'Tonight or Tomorrow'

    On April 23, an Iranian diplomatic source told RIA Novosti that preparations for negotiations between Iran and the United States in Pakistan may achieve a breakthrough 'tonight or tomorrow.' (Xinhua News Agency)

  • Anthropic's Secondary Market Valuation Reaches $1 Trillion, Surpassing OpenAI

    On April 23, Anthropic's valuation on private equity trading platforms like Forge Global has risen to around $1 trillion, surpassing OpenAI's $880 billion. It is reported that the valuation of this artificial intelligence startup has rapidly increased due to buyers competing to purchase the increasingly scarce secondary market shares of Anthropic. (Dongxin News Agency)

  • BTC Surpasses $78,000

    Market data shows that BTC has surpassed $78,000, currently priced at $78,000.81, with a 24-hour decline of 0.14%. The market is experiencing significant volatility, so please ensure proper risk management.

  • Bitmine Allegedly Acquires 100,000 ETH Worth $233.7 Million

    On April 23, according to monitoring by Lookonchain, three new addresses suspected to be associated with Tom Lee's Bitmine (0xB6a8...9c9E, 0xc2e0...2831, 0x4e5C...276c) received 100,000 ETH from BitGo, valued at $233.7 million.

  • Musk: AI Chip Shortage Expected in the Future

    On April 23, Tesla CEO Elon Musk stated during an earnings call that the company initiated the Terafab chip factory project due to an anticipated severe shortage of AI chips in the future. He remarked, "In terms of industry growth rates, logic chips, and even more so storage chips, we expect to encounter bottlenecks if we do not manufacture chips ourselves. This is the reason for the birth of Terafab." (Dongxin News Agency)

  • US Spot Bitcoin ETF Sees Net Inflow of $331.9 Million Yesterday

    On April 23, according to monitoring by Trader T, the US spot Bitcoin ETF experienced a net inflow of $331.9 million yesterday.

  • US Spot Ethereum ETF Sees Net Inflow of $96.43 Million Yesterday

    On April 23, according to monitoring by Trader T, the US spot Ethereum ETF saw a net inflow of $96.43 million yesterday.