if you own something
NFTs provide “Scarcity” as an Attribute for Sale.
Let’s wake up and realize that expensive original art is valued not for its beauty but foremost for its scarcity and appeal. This makes it a perfect hedge against inflation. Cash on the other hand is not scarce and can be increased infinitely. The relatively high price of art reflects a degradation of value in cash vis a vis fine art due to this historical inflation; More so than about the increase in any inherent appeal for these artifacts. Thus, art as a hedging asset is the real story regarding NFTs. Its technology has made possible the creation of authentic scarcity on demand.
What is a NFT?
NFT is the acronym for non-fungible token.
And what is a token? It is an agreed object to represent specified units of subjective value. Each of the units must be reliably calibrated so that the only variable is the number of units that define the object. This is a ticklish calculation. For example, If my piano is assessed to be represented by 1,000 units and your piano is assessed at 1,500 units we must be comparing apples with apples in terms of units.
Secondly, each token must be indistinguishable from any other token in order for the exchange to be transparent. This interchangeability is called fungibility. For instance, a dollar bill is a token. It should be interchangeable with any other dollar bill. This interchangeability is what makes it a fungible token.
Another type of token is a NON-fungible token; an nft. Its purpose is the opposite of the foregoing. Its value lies in its uniqueness. It is verifiably one of a kind. The certificate of ownership for the Mona Lisa, for example, is analogous to an nft. There is only one authentic Mona Lisa. The certificate of title proves its authenticity.
However, ordinary certificates can be forged. Until now. Modern Blockchain computer technology makes it possible to render the certificate inviolable. Therefore, anyone with an NFT of the Mona Lisa could rest assured that he owned the real deal.
And since increasing numbers of buyers would want that specific nft, its price would keep going up due to the economic principle of supply and demand.
With this illustration, we see that the entire purpose of NFTs is the sale of uniqueness.
Therefore, an nft is primarily an investment. It is simply a provably unique title to something. Therein lies its value. This title is immutable because it is written in blockchain computer code. Buying an nft is like buying title to your house. The value of the title to the house is based on someone’s interest in the house. That interest could be speculative or aesthetic. Same with any NFT. Who wants a poorly illustrated image of an ape? Only a wise investor understands that it’s not about aesthetics but about uniqueness. No two such images are identical. That’s the object lesson.
The new PoC concept at work
Beeple
For example, the artist Beeple’s work has had a significant impact on the digital art and NFT space. Here are a few notable projects and achievements:
Everydays: The First 5000 Days
- This piece is a collage of Beeple’s first 5,000 consecutive daily artworks. It was sold as an NFT for $69 million at Christie’s auction house in March 2021, marking a historic moment for digital art and NFTs.
CROSSROADS
- Another famous NFT by Beeple, CROSSROADS, is a dynamic piece that changes based on the outcome of the 2020 U.S. Presidential election. It sold for $6.6 million on the secondary market, making it one of the highest-selling digital artworks at the time.
Human One
- Beeple created a hybrid physical and digital sculpture titled “Human One.” It’s a continuously evolving artwork displayed on four screens, presenting a person walking through different landscapes. The piece was auctioned at Christie’s for nearly $29 million.
Political and Social Commentary
- Many of Beeple’s daily artworks feature satirical and thought-provoking commentary on current events, politics, and popular culture. His distinctive style often includes futuristic and dystopian elements.
Collaborations and Influence
- Beeple has collaborated with major brands and musicians, including Louis Vuitton, Nike, and Katy Perry, creating visuals and animations for various projects.
Beeple’s work continues to push the boundaries of digital art and inspire a new generation of artists in the NFT space. His success has brought significant attention to the potential of digital ownership and blockchain technology in the art world.
Bansky
There are Banksy NFTs A! While Banksy himself hasn’t directly created any NFTs, his artworks have been turned into NFTs by others A. For example, in March 2021, a blockchain company called Injective Protocol bought a Banksy artwork titled “Morons (White)” and burned the original piece, replacing it with a digital NFT version.
Additionally, there have been innovative projects involving Banksy’s art and NFTs, such as Particle, which has loaned a Banksy artwork to global museums using fractionalized NFTs , This allows art enthusiasts to own fractional shares of high-value artworks through blockchain-based tokens.
Would you like to know more about any specific Banksy NFT project or how NFTs are impacting the art world?
Basquiat.
Jean-Michel Basquiat did not create NFTs himself, as he passed away in 1988, long before the advent of blockchain technology and NFTs. However, there was a controversial attempt to auction an NFT of his artwork, “Free Comb with Pagoda” (1986), which led to significant backlash A. The Basquiat estate intervened and the NFT was pulled from sale because the seller did not have the rights to the artwork A.
The idea of creating NFTs of Basquiat’s work has raised many questions about intellectual property rights and the ethics of digitizing and potentially destroying original artworks B.
Basquiat
”Irony of a negro policeman, 1981”
Acrylic and crayon on wood, 183x122cm
AMA Collection
Haring NFTs
The Keith Haring Foundation has auctioned off a collection of five unique digital drawings created by Haring on an Amiga computer in the mid-1980s A. These works were previously accessible only via floppy disks but have now been minted as NFTs (non-fungible tokens) and sold at Christie’s for $1,587,600 A.
The proceeds from this sale support the charitable initiatives of the Keith Haring Foundation A. It’s a fascinating blend of vintage digital art and contemporary technology.
Haring’s art is so vibrant and full of energy—it’s no wonder that even his digital works have found a new life as NFTs. The world of NFTs is incredibly dynamic and offers a unique way to own and appreciate art.
Are you interested in collecting NFTs, or are you just curious about how artists like Keith Haring are making their mark in the digital space?
Others
- Bored Ape Yacht Club. Bored Ape Yacht Club (BAYC) is the #1 NFT to buy right now. …
- Pudgy Penguins. …
- Sorare. …
- Solana Monkey Business. …
- NodeMonkes. …
- Crypto Punks. …
- Azuki.
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