Could NFTs Drive A 2023 Echo Bubble?

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Today we cover:

• Could NFTs drive a 2023 echo bubble?

• Get entertained and buy NFTs on PleasrHouse, a web3 auction house

• New NFT projects to watch for

• Coolest Tweets today

Could NFTs Drive A 2023 Echo Bubble?

Activity in NFTs has caused the gas usage on Ethereum to spike this month. In recent weeks, NFTs now account for 22% of gas usage, up from 13% before.

More NFT transactions on the blockchain = higher gas prices and transaction fees. This means more Ethereum is burned on a daily basis, adding to deflationary pressures. Could this trigger the start of an echo bubble across crypto in 2023?

(echo bubble = not an actual bull run, but a powerful bear market rally driven by psychology as participants anchor on all-time high prices from the previous bull run)

h/t @Rewkang @glassnode for the chart

Get Entertained & Buy NFTs on PleasrHouse

💲 What to know: PleasrHouse is a newly launched, Web3-native auction house for unique, high-value NFTs.

It was developed by PleasrDAO, a leading NFT collector DAO. PleasrDAO is most well-known for acquiring the picture of the original Doge (yes, the famous internet Shiba meme) and minting it into an NFT. The Doge NFT was once worth billions of dollars.

☘️ In the weeds: PleasrHouse is a live interactive show that culminates in an NFT auction: essentially a combination of the Tonight show (entertainment) + Twitch (streaming) + Sotheby's (art auction).

The first NFT auction on PleasrHouse is from Daniel Ellsberg's Freedom of the Press Foundation, titled "Wouldn't You Go To Prison To Help End This War?"

Daniel Ellsberg is the OG whistleblower, a 91-year-old who previously hand-copied 7,000 pages of pentagon papers and leaked them out to the press. These Pentagon Papers revealed that the US govt had expanded the scope of the Vietnam war without informing its people.

It was sold for 14.69 ETH ($23,000).

🤑 Why it matters: PleasrHouse is built entirely on Web3 rails, which means that bidders only need to connect their wallets to bid and participate in the auctions. No identification or KYC is required, as with the large auction houses today like Christie's or Sotheby's.

More importantly, it is entertaining. It creates a brand new experience for purchasing NFTs and can help to draw attention to special NFT pieces that would otherwise be under the radar. The first episode brought on Edward Snowden and Daniel Ellsberg for a live interview during the auction, where the audience could ask them questions — including if they had tried the forbidden Russian Mcdonalds.

Viewers receive a POAP for viewing the auctions. PleasrHouse's Episode 2 is planned soon.

New & Interesting NFT Projects

🍿 Jonah's upcoming NFT collection

🍿 Createra, the "Asia Roblox" with a16z investment

Today's Coolest Tweets

🐥 Is there next NFT bull market starting?

🐥 Major inefficiencies in NFT lending

🐥 Perpetual loans on Pudgy Penguins

🐥 Important Tip: Keeping your NFTs safe

🐥 The 2023 Echo bubble thesis starts with NFTs

That's it for today folks, see you tomorrow. If you want more, follow us on Twitter (@the_metadata). And if you aren't already a subscriber, join us now to get all the daily alpha you need.

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Disclaimer: This newsletter is for educational purposes only. None of this is financial or investment advice. It is not a solicitation to buy or sell any assets. Minting and buying NFTs is risky. Please do your own research.