NFTs = The New Stores of Value

The versatility and power of NFTs to generate attention will be leveraged in almost every consumer industry.

Author

The Metadata
February 08, 2023

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Today we cover:

  • Marketplace Update: NFT Aggregators

  • NFTs = The new stores of value?

  • Today's Coolest Tweets

  • New Projects Corner

Market Update: NFT Aggregators

This chart by @hildobby shows how fickle NFT traders are. In a short span of a year, the aggregator marketplace of choice has shifted from Genie to Gem and now to Blur. We like to think of aggregators as shopping platforms that help you find the best prices.

This shows how switching costs are low. It's easy to use a new aggregator platform as they connect directly to your Ethereum wallet. There's no need to create a new account. This leaves a lot of room for competition and innovation to happen.

NFTs = The New Stores of Value?

πŸ’² What to know: Derek Edws, Managing Partner at Collab+Currency, released a well-received blog post on how digital objects like NFTs can become the new stores of value.

Collab+Currency is a VC firm that invests in the intersection of Consumer & Web 3

☘️ In the weeds: We highlight a couple of key takeaways β€” A TL;dr if you don't have time to read it in full.

On Attention

  • Attention is a major factor in determining the value of an object. It is a scarce resource.

  • NFTs have unique attention-generating abilities: online networking, free mints, no copyright reserved (CC0), economic games, marketplaces, and curators

On Products/Services vs Store of Value Assets

  • Individual products are capped at the value the product generates, while store of value assets retain purchasing power

  • NFTs that have many external dependencies (e.g. product expansion and marketing) should be viewed as products & services

  • NFTs that have minimal direct creator or third-part reliance, like art, have a stronger path to becoming a store of value

πŸ€‘ Why it matters: Derek's view is that over the coming years, "natively digital objects power virtually all major consumer product/service use cases". We tend to agree. The versatility and power of NFTs to generate attention will be leveraged in almost every consumer industry: entertainment, gaming, art, music, social and more.

We love his ending quote: "I believe we're in the midst of a fundamental, once-in-human-history transition from physical stores of value to digital stores of value."

You can read his full post here.

🎁 Solana Sentiment Survey

If you've bought and collected Solana NFTs, Ali is doing an anonymous survey on the Solana ecosystem and is looking for responses. It takes just 1 - 2 minutes. He'll share the results once it's completed, we think it'll be very interesting for everyone to see.

You can access the survey here.

Today's Coolest Tweets

πŸ₯ Bitcoin NFTs: A summary

πŸ₯ Bitcoin NFTs: Taproot Wizards lead discord member count

πŸ₯ Digital Art platform on Ordinals

πŸ₯ High number of bids accepted for Generative Art

πŸ₯ The state of Digital Fashion in 2023

πŸ₯ The Great Wave is actually an open edition

New Projects Corner

🍿 (Art) New curated marketplace for Art editions

🍿 (Art) Free on-chain generative art mint

🍿 (All) Website to track Japanese free mints

🍿 (Art) New art platform

🍿 Blur giving away $50K worth of 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.

We're looking to improve the newsletter and make it as relevant as possible for you. If you have any feedback to share β€” please just reply to this email and let us know. Or even to just say 'Hi' πŸ₯Ή

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.