Non-Fungible People: A Utility-Based 3D NFT
https://www.youtube.com/watch?v=mVE1JazN2KQ
What a week it's been for NFTs! PFP collections have been popping off with Alien Frens, CrypToadz, Doodles, and Cool Cat NFTs leading the charge. https://read.cash/@wholelottajuju/alien-frens-a-fun-take-on-the-nft-universe-e899654e
Although PFP NFTs may seem lucrative at the moment, I believe 3D NFTs are the next wave. The sheer utility 3D models can bring to the metaverse is vastly superior to PFP collections.
Non-Fungible People (NFP) is a next-generation project that shows tremendous potential for growth inside of the metaverse. I'm hyped about this project and hope to mint today in the morning.
Enough of the chit-chat; let's get into the collection.
What are Non-Fungible People?
NFP are 3D human models that can be integrated within various platforms. It was designed for individuals who want to implement their unique 3D model within games, apps, movies, animations, software and other outlets across mobile, desktop, and VR/AR.
Furthermore, NFP is a project trying to ease the process of learning how to use 3D characters in the metaverse via Software Development Kits (SDKs), informational videos, and written documentation.
In terms of utility, there's no doubt this collection delivers. Just take a look at the list of their partner organizations. You have big names like Unity, Unreal Engine, Sandbox, Decentraland, and so much more.
They even just recently announced a partnership with Ova, the creators of StellarX — a tool to create simulations and collaborative spaces without the need for any previous coding knowledge.
You can also customize your NFP to your liking! The dev team will provide kits to help you with this process.
The team behind the project
Before we get into the details of the team, I want to point out how active they have been in their Discord and Twitter over the entirety of the project. Their giveaways, replies, Twitter Spaces, and involvement in AMA and FAQ Discord channels have been a constant since the start.
Something like this shouldn't go unnoticed.
The studio in charge of the project is Daz3D, one of the largest 3D modelling studios in the industry. Their product, Daz Studio, allows you to create custom scenes and characters within seconds. As a result, they're positioned to become a market leader in creating assets for the metaverse.
The team is also comprised of Tafi members, the parent company of Daz3D. Tafi is a 3D avatar creator that can be integrated within several tools like games, apps, VRChat, Samsung Galaxy's AR Emoji Store, and Daz3D's character assets in Unity.
What I'm trying to get at is that this isn't a run-of-the-mill team with amateur developers and first-time community engagers. Instead, this team has the best of the best for 3D modelling.
You can take a further look into each team member here. https://nfp.daz3d.com/#team
The collection
Now we've reached the fun part! Let's talk about the collection.
NFP will contain 8,888 NFTs with a focus on promoting "self-expressive women and non-binary people in breathtaking 3D", as stated on their website. Pretty badass if you ask me. https://nfp.daz3d.com/#welcome
There are 30,000 traits and accessories that will be randomized with each NFT. Make sure you use software like rarity.tools to check your NFP's rarity. The higher the score, the more you can sell it for! https://rarity.tools/
Rarity also comes from the *number* of traits each character has. As one of the developers mentioned today in a Twitter Space, rare ones could have up to 18 slots, whereas basic ones may only have six slots.
A quick mention: There are 16 ultra-rare NFPs, with only nine being released to buyers. The rest will go to the project's creators. If you land one of these, you could make more than just a buck.
Pricing
The **pre-sale for WL** occurred from December 21 to December 22 in a period of 36 hours. The details were:
Price: 0.05 ETH and at 0.08 ETH (depending on which whitelist you are on) + Gas fees
Quantity: 2 per wallet
Owners of Daz/Tafi NFTs: 2 per every Daz/Tafi NFT you own
Today (December 27 at 2pm EST) is the **public sale**. The details are:
Price will be 0.2 ETH+ Gas fees
Quantity: 3 per wallet
Just a quick note: 400 supply will be held for giveaways!
Taking a look at the past week's floor, we could see that the floor remained below public mint price. This generally isn't a good indication of what's to come for the project.
But this hasn't stopped me from being bullish on NFP. Yesterday it surpassed the .2 ETH floor in anticipation of public sale. Also, out of the 4,200 items released pre-public sale, 1,900 are held by owners! I believe they will be able to surpass that god almighty 50% holder ratio that every project wants to obtain.
Final thoughts
When I first began researching this project, I was ecstatic yet reserved about the prospects of NFP. It seemed like they had the perfect set-up for success, although it was missing two key ingredients: Unminted items sitting below floor price and a lack of community engagement.
The first concern has already been ruled out in the past 24 hours. The floor is now sitting at a nice 0.25 ETH, which in my opinion, is still undervalued. Even the dev team predicted that volume would increase between pre-sale and public mint!
The second concern was something that I thought was weird for such a project. The team is constantly engaged on Twitter and Discord, so why is there a lack of community engagement?
To be frank with you, I don't know why. Maybe it's because the team admitted it was their first time promoting the project via Twitter? Or maybe people didn't understand the concept behind the project.
Either way, the Discord has been exponentially growing in the past couple of days. It now sits at 41,000 members! Unfortunately, their Twitter page is still lacking, but I believe this has to do with the marketing team's lack of experience on Twitter.
Besides all this, I believe this NFT has *the* best utility out of all other NFTs, with backing from a market leader. Their Discord is enormous and the mint price and floor are still relatively low.
This isn't even the tip of the iceberg! I barely talked about the project's roadmap, but they're doing something good within the community. https://nfp.daz3d.com/#roadmap
On a final note, if you choose to purchase and hold NFP, you will have a chance to receive giveaways and participate in an exclusive Decentraland party in January.
Anywho that's it from me! GN.
*Sources:*
https://maketafi.com/unity
https://ova.ai/stellarx
https://nfp.daz3d.com/#welcome
https://twitter.com/NFungiblePeople
*I am not a financial advisor. Please do your own due diligence before making a decision based on my article, as I am not responsible or liable for your investment decisions.*
OpenDAO and $SOS Token: Why Twitter is Going Crazy Over This Project
Merry Christmas to all my readers! Today, like any other day, I woke up, made myself a fresh pot of coffee, and went on Twitter to check what was going on in the NFT world. Did the Alien Frens floor push up yet again? Is Coolman Universe still on its trajectory to parabolic gains? https://read.cash/@wholelottajuju/alien-frens-a-fun-take-on-the-nft-universe-e899654e
Yes, and yes! With @garyvee joining in on the fun, even more recognition has been set out to the "cutsie" PFP NFT community. https://twitter.com/garyvee
But these aren't the only headlines that have been disrupting Twitter all morning.
OpenDao's $SOS token has been rewarding the NFT community in ways that other platforms have yet to do. https://www.theopendao.com/
Let's get into the project and the hype behind it.
What is OpenDAO and The $SOS Token?
OpenDAO is the Decentralized Autonomous Organization behind the $SOS airdrop. Simply put, OpenDAO is a group of like-minded individuals with its inception traced back to open-source code. DAOs function without the traditional hierarchy seen throughout international economies. The DAOs' managing rules are embedded into their code, thus eliminating the need for management.
The goal of DAOs is to become a vehicle for investors to send money anywhere around the world, while providing them with rewards for their participation in the ecosystem.
You could compare DAOs to Venture Capital funds (VCs) as they provide investment opportunities and funding for individuals and projects. Bitcoin was an example of a DAO, though the Proof of Work (PoW) consensus mechanism has been proven to establish hierarchy and thus control over to those with the most potent hardware on the market.
Initially, OpenDAO is fulfilling the notion of DAOs. As you can see in the Twitter post above, OpenDAO will only have a fair airdrop for **anyone** who has used OpenSea **since day 1**. Say goodbye to pre-sales and public sales!
OpenDAO isn't run by a VC or LP either. Since the contributors of the project are volunteers like @9x9x9eth, an influencer in the NFT space who created 721DAO, a DAO with a vision to create a decentralized entertainment metaverse, there is no sort of monetary incentives from the "managing" team. https://twitter.com/9x9x9eth
So What's OpenDAO's Goal?
Taken from its Twitter page: https://twitter.com/The_OpenDAO
$SOS is grateful to all NFT creators, collectors and markets for nurturing the entire NFT ecosystem. The token to pay tribute, to protect, to promote...
Ok, cool... but what does this mean? How will they pay tribute to the NFT community?
First, take a look at this pie chart to wrap your head around OpenDAO's goal with its token:
Currently, OpenDAO is airdropping $SOS tokens to those who have conducted transactions through OpenSea. To be exact, 50% of the 100 trillion supply with be airdropped!
Not all airdrops will be the same, though. The amount given to individuals depends on the total number of transactions + transaction volume on OpenSea. Therefore, those who have fulfilled hundreds of transactions with big-ticket NFT items will receive more $SOS tokens than newbies with only a couple of transactions in the >1 ETH range.
Nice! What's going to happen with the other 50% of the distribution?
For one, 20% of the token distribution will be allocated towards the DAO treasury. OpenDAO pledges to use the liquidity to compensate scam victims on OpenSea, support emerging artists and NFT communities, and provide funding for those using $SOS for their projects.
Another 20% will go towards staking! Who doesn't love to earn passive income through crypto? Yield farmers galore.
The last 10% will be used for LP (Liquidity Pool) incentives.
Questions and Concerns
This is a new, one-of-a-kind project that hasn't been tested before. There is still confusion circulating in the community: Is it legit? Is it listed on major exchanges? Does OpenSea support the movement? Will there be a burn mechanism since it has such a high supply? What are its prospects?
Is it Legit?
Thankfully, the project is legit. I mean I wouldn't want to ruin the start of my blogging career by writing about scams 😂. @nftllama.eth, a prominent figure in the sphere said this about $SOS: https://twitter.com/NFTLlama
Here are the links to check for yourself:
https://tac.dappstar.io/#/
https://etherscan.io/token/0x3b484b82567a09e2588a13d54d032153f0c0aee0#balances
And well, almost **all** influencers have received their airdropped $SOS. And they're holding too!
Is it Listed on Major Exchanges?
Yup. It's listed on CoinBase, KuCoin, UniSwap, Sushiswap, Huobi. The more, the merrier!
Does OpenSea Support OpenDAO?
Unfortunately, OS had this to say about OpenDAO:
*Link to the Tweet* https://twitter.com/opensea/status/1474802522304831489
In the replies, you can see that the NFT community is enraged over OS' lack of involvement for a project *built* by the community, for the community. We are still waiting for Coinbase to step up and drop their own NFT marketplace 🤞.
Will There be a Burn Mechanism?
This is probably one of the most asked questions about the project besides "Is it legit?" in the Twitterverse.
At the moment, nothing has been established. My best guess is that there will be a roadmap proposal to see how holders would want the token to work. Some say that OS competitors could burn 2.5% in $SOS for fees, thus creating a deflationary supply, instead of following the status quo. https://twitter.com/9x9x9eth/status/1474664521063190530
A decreasing supply = higher demand = higher price per token.
This would be a step further into the succession of Web 2.0. A DAO'd NFT marketplace.
The Future of $SOS
The first OpenDAO improvement proposal occurred within the last couple of hours. Holders had the chance to vote for their preferred staking schedule, resulting in 64.36% of holders voting for a 1-year staking lock-up. I can almost guarantee that the APR will be incredibly high with such a long term.
Aside from this, there isn't must else we know about the future of OpenDAO. It is changing the game and revolutionizing the NFT world. Let's hope it continues to remain decentralized at its core.
If you would like to claim your $SOS tokens, click here. https://www.theopendao.com/
*Sources:*
https://www.altcoinbuzz.io/nft/what-is-opendao-and-sos/
https://www.theopendao.com/
*I am not a financial advisor. Please do your own due diligence before making a decision based on my article, as I am not responsible or liable for your investment decisions.*
*Originally posted on* *LeoFinance**.* https://leofinance.io/@wholelottajuju1/opendao-and-usdsos-token-why-twitter-is-going-crazy-over-this-project
Alien Frens: A Fun Take on the NFT Universe
Say hello to my very own Alien Fren #1045! Isn't he kinda cute?
Well, maybe the fact that he looks dead and a snake is slithering around his head may not be appeal to you, but hey... it's the thought that counts.
In this article, I'll be going over Alien Frens, a PFP collection that has risen to the top 30 in OpenSea rankings!
What is Alien Frens?
As the name suggests, Alien Frens promotes friendship. It puts the community first at all times. Just join its Discord server and follow the project's Twitter page and you'll see what I mean.
By forming a close-knit community, the dev team aims to create the most profound connections with its owners in the entire NFT space. For example, on January 15th, the team will be hosting a private event in Los Angeles for all frens!
But before we get into the details of the roadmap, let's chat a bit about the NFT.
Minting occurred on December 20th for 0.02 ETH. With 10,000 in supply, you could say that the project was pretty accessible at that price and quantity.
This is where the fun begins. Each NFT is randomly generated, with the exception of the body property that affects the overall rarity of the NFT. There are 4,000 green *Xenos,* 3,000 yellow *Femi*, 2,000 purple *Lochias, and 1,000* red *Olu*.
As you can imagine, Olu is the priciest of the bunch, treading at around 1 ETH on the secondary market.
Although the body colour predominantly affects the rarity of your Alien Fren, other properties can also affect the demand for said NFT. Everything from the background to the hat are elements that some frens look for when completing their collection.
As you can see from my Alien Fren, the "Snake Fren" hat is pretty rare, adding more monetary value to the NFT.
Alien Frens is inclusive with a relatively low floor pushing up over the past couple of days. So if you're looking to get into the project, now is the time.
In the past 24 hours, Alien Frens has had the highest amount of delisting with 28% of the total supply being held. https://www.flips.finance/
Checking the OpenSea rankings, it is positioned at #29 with 4,400 owners and a floor price of 0.07! That's a great deal for an up-and-coming NFT project.
As always, it's important you check the project's Twitter and Discord presence. They're currently sitting at 11.3k followers on Twitter and Discord with insane engagement and support from big names like @andrwwang, @Cryptoon_Goonz, and @CryptoMories. https://twitter.com/andrwwang https://twitter.com/Cryptoon_Goonz https://twitter.com/CryptoMories
What does the future hold for the project?
I already mentioned one of the key points in their roadmap: The private event in LA. Fingers crossed Omricon chills out by then.
On December 28, the Alien Frens will invade the community with more drops! Holders will randomly get all sorts of additional rewards like a Doodle NFT, more Alien Fren NFTs, cash, and ETH.
Those who own rarer body types like Olu and Lochia will get better rewards.
On January 30th, the team will be dropping merch as well. I will definitely be copping some of their merch!
February 15th comes with a nice change of pace. The team plans to release a 30-page comic with stories of the Alien Frens universe. If you're a fan of lore and if you're active in the Discord channel, I bet you'll want to get your hands on this.
Last but not least, the end of February will come bearing gifts! The $FRENS token will be released, though more information will be coming shortly.
And that's a wrap! As you can tell, it's not a complicated project like Psychedelics Anonymous or Pixelmon. Instead, it's all about making new friends and collecting the elements you like on each of your Alien Frens. https://read.cash/@wholelottajuju/the-curious-case-of-the-psychedelics-anonymous-nft-03d43fb4 https://read.cash/@wholelottajuju/metroverse-an-ingenious-land-nft-project-4833a14d
Personally, I will be holding onto my Alien Fren. I absolutely love the community and wouldn't trade it for a quick profit.
But you do whatever you feel is right. As always, please do your own research before investing in an NFT project. Although I enjoy this NFT drop, it doesn't have a comprehensive roadmap or mission as others in the NFT universe.
*Sources:*
https://alienfrens.io/
https://twitter.com/alienfrens
https://opensea.io/rankings
https://www.flips.finance/
*I am not a financial advisor. Please do your own due diligence before making a decision based on my article, as I am not responsible or liable for your investment decisions.*
Invisible Friends: A Breakthrough in Animated NFTs
The NFT craze isn't over yet! Projects like @alienfrens and @CrazyBabiesNFT have been popping off upon public mint and even days after public sale. https://twitter.com/alienfrens https://twitter.com/CrazyBabiesNFT
NFT trading strategies have changed over time. Floor prices used to be much lower and getting into whitelists (WL) wasn't a priority as the secondary market wasn't as congested as it is now.
So what's changed? Well, with more and more people joining NFT communities across Twitter and Discord, WL are now essential for minting artwork, collectibles, and other NFTs.
Getting into WLs can be tricky, though. Most of the time, it's dependent on several factors like your contribution to the community and your luck in giveaways.
In this article, I'll be talking about Invisible Friends, an animated generative collection set for mining in mid to late January. Hopefully, this gives you enough time to work your way into the project's WL.
What's the project about?
I'm stoked about this collection. Not only is the animation style eccentric and unique, but the approach to the project is what has been hyping me up.
Invisible Friends is a project that is part of the "Random Character Collective," a community with two other hot projects under its belt. They are behind popular animated collectibles like Mood Rollers and Slim Hoods. https://twitter.com/RNDMCHARACTERS
The team consists of @lucas_zanatto, @slimjimstudios, and @MotionMarkus, the creator of Invisible Friends. These three talented artists saw a lack of animated projects in the NFT sphere and hope to build a foundation of creatives within the animated NFT community. https://twitter.com/lucas_zanotto https://twitter.com/slimjimstudios https://twitter.com/MotionMarkus
Their approach is primarily based on putting art first; utility is non-existent for this project. You could argue that utility is derived from the projected increase in floor price of the drop, not for the value it can bring users inside of a metaverse like with the other projects I've spoken about in the past. https://read.cash/@wholelottajuju/the-curious-case-of-the-psychedelics-anonymous-nft-03d43fb4
In this case, buying in could potentially be beneficial for the holder of this NFT since they could sell it for a profit after minting.
This argument is further supported by the limited supply of 5,000 set for minting in mid to late January. As I've said before, low supply is a critical component of a high floor price.
Another factor affecting the price is the demand for the NFT, which can be measured through their Discord and Twitter communities.
Invisible Friends has grown a community of 105k followers on Twitter and 83k on Discord since November 2021. It isn't just bots either. Their community spaces are filled with meaningful messages from supporters. A bullish indicator of future success!
Merch drops are also in the works! Take a look here:
What's the verdict?
I will try my best to get whitelisted for this project, as I love the artwork and would love to hold onto it just for my own viewing pleasure.
There's something more to the collection that I didn't mention: The team is collaborating with @nguyenhut_art, the creator behind Clay Boys, an exclusive and cute animation style with only 12 holders! https://twitter.com/nguyenhut_art
Eventually, the team will be working towards a 3D clay collection. It feels like we're phasing out of the PFP and JPG movement and phasing into the 3D NFT hype.
Check out the project's Twitter for more information. https://twitter.com/InvsbleFriends
*Sources:*
@xdoubleq's Recap https://twitter.com/xdoubleq/status/1473099936849879040
*I am not a financial advisor. Please do your own due diligence before making a decision based on my article, as I am not responsible or liable for your investment decisions.*
The Curious Case of The Psychedelics Anonymous NFT
Those in the NFT world always seek to mint the latest hit project. The issue is that finding projects of this calibre can be like finding a needle in a haystack.
Since virtually anyone can create an NFT and build a substantial community backing their project, the question is: Can you find a project that offers more than just a couple hundred off of your initial investment?
Although it can be quite tricky to build the knowledge and experience to find blue-chip projects with a promising roadmap, once you dive yourself into the space, you'll find that it gets easier over time.
But like I said, it's a question of finding the right NFT for exponential growth.
By reading this article, you may just be in luck. The Twitter NFT community is drooling over the prospects of Psychedelics Anonymous ("PA" for short), a foundation with the mission to promote and provide psychedelic-assisted therapy through their version of the metaverse.
Let's get straight into the nitty-gritty of this project to find out if it's worth the trouble of entering their WL.
The Concept
With the catchphrase "We are the night," PA is all about supporting those with mental health issues. From their website, we can infer that PA is building a platform to free those trapped by the horrors of mental health issues. https://psychedelicsanonymous.com/wearethenight
It's essential to understand the dev team's goals for the project. It's not about making a fun P2E video game, but it's more about establishing a community with love for psychedelic-assisted treatments.
The concept seems like it's trying to eliminate the stigma behind psychedelics. With 92.1k followers at the time of writing this article, it looks like the team is successfully promoting their cause. https://twitter.com/psychedelic_nft
The Goals
Before we get into the NFT drops, let's talk about the project's goals.
Its main goal is to build a large community of psychedelic supporters. From their point of view, a large community leads to more exposure thus, creating a considerable impact on society.
In essence, it's all about **scalability**. This isn't a get-rich-quick scheme; it's a principle to do something good in the world.
Building on this goal, the only way to make a scalable community is to introduce **utility** in IRL and the metaverse.
Utility will be provided through their four drops. Each drop has a different aspect to which they will tackle this challenge. I'll be analyzing their NFTs later on in the article.
Finally, they want to assemble a metaverse with **inclusivity** and **accessibility** in mind. This will be accomplished through various methods like giveaways for WL spots, low pricing for their drops, and a sophisticated roadmap with a bright future.
The NFT Drops
Yup, that's a part of one of their NFT drops. Cool, right?
So how do their NFT drops work?
There will be four collections with a total supply of 38,380 NFTs. For those in the NFT sphere, you know a high number of NFTs can be a turn-off. Too much supply is unhealthy for a project.
Well, here's the catch. Each NFT collection will contain the same amount of NFT drops. So for the first drop, it will include a total of 9,595 NFTs. The second drop will also incorporate 9,595 NFTs and so on.
In their eyes, the more NFTs, the more inclusivity. Remember, this is all part of their vision.
1st collection: Psychedelics Anonymous Genesis PFP
The first round of minting is by far the most prestigious of the bunch. On December 23rd, community members will be able to get their hands on the Genesis drop for a floor price of 0.088ETH!
Minters will gain access to exclusive IRL merch, metaverse wearables, metaverse clinic services and VIP areas.
The drop will mostly offer utility through the project's partnership with Mind Medicine Australia, an organization that will provide one-on-one sessions with specialist clinicians that provide mental health support.
Now what's neat about this aspect of the Genesis collection is that the service will be offered through the eventual launch of their metaverse. Neat!
In addition, holders will be able to flex their PFP artwork on all their social media accounts. PA's artwork looks like it's straight out of Squid Games or The Purge, and even with the removal of utility, the artwork alone is unique and refined.
But really, there's bound to be NFT gurus in the sphere with the goal of auctioning off their NFT for a profit. Those who sell their NFT will receive a 5% royalty on secondary sales.
2nd collection: IRL Psychedelics Anonymous Pass
Next up is the second collection coming in at a lower floor price of 0.06ETH compared to its predecessor. The IRL Pass offers holders access to IRL PA events like meetups and the like.
Holders also get exclusive access to IRL Pass merch drops in the future, as well as a set of merch sent to them at no additional cost.
3rd collection: Metaverse Psychedelics Anonymous Pass
Clocked in at the same price as the 2nd collection, the Metaverse Pass provides utility different from the IRL Pass.
Maybe you're not a fan of meeting others in the community IRL. Fortunately, with this collection, you can attend metaverse events and spaces. You can also mint any future Metaverse Pass wearable drops while also receiving metaverse wearables upon minting!
4th collection: Component #1
Last but not least is the cheapest of the bunch: Component #1. With the floor price set at 0.045ETH, accessibility is the name of the game for this drop.
This NFT collection comes last because it will provide the first onboarding requirement to the PA mini-game experience. Once more components are captured, holders can experience benefits through physical items, crypto, IRL, and metaverse merch.
In addition, once all components are obtained, holders will be able to stake the future in-game's currency: $PSY.
The Team
I think it's safe to say that PA's core team is probably one of the most vetted and doxxed teams in the NFT world.
Founder Lewis Gale (aka @BAYC2745 on Twitter) was the Managing Director of voltura.com, a non-traditional advertising agency with experience working with large companies. Now he's a leader in the Web3 sphere with tens of thousands of followers! https://voltura.com/
Another team member I wanted to talk about is Joshua Connelly, the Creative Lead at Voltura Labs. With a portfolio of visual art, blending aspects of the machine world with human craft, Joshua has a distinctive take on the PFP NFT art movement.
My Thoughts
I believe in PA's mission. I can also attest to the community hype backing this project.
The artwork is there; Its mysterious, prestigious, and more importantly, cool. I believe the Genesis drop will prove that PA is the next big thing.
As long as PA sticks to its original concept and goals, we could see a dramatic increase in the value of PA collections next year.
Let's see how this plays out. I will be trying my hardest to get into a WL for all four of the upcoming drops.
Cheers!
*Sources:*
https://www.youtube.com/watch?v=Qxbloz3pSC4
https://twitter.com/psychedelic_nft
https://psychedelicsanonymous.com/
*I am not a financial advisor. Please do your own due diligence before making a decision based on my article, as I am not responsible or liable for your investment decisions.*
Solana vs. Ethereum in the NFT Space. Who Wins?
Over the span of a couple of years, new layer 1 blockchain protocols have come and gone with one shared mission: Beat Ethereum. Although this goal is becoming more and more unattainable as Ethereum continues to build on its network effect, some altcoins have provided a sustainable alternative to the behemoth.
This is especially apparent in the NFT market. With 97% of NFT sales conducted through the Ethereum network, you could say that the network almost has a complete monopoly in this facade of the crypto-sphere. https://cointelegraph.com/news/blockchains-vie-for-nft-market-but-ethereum-still-dominates-report
So what's the problem with Ethereum? It seems like they've been dominating the market for years. If they have near-complete market control, there shouldn't be anything wrong with the network... right?
You're right and wrong. This topic hasn't reached a consensus as of yet. Ethereum has pros and cons, just like any other coin.
Why Ethereum reigns in the NFT space
By looking at the pros of buying and selling NFTs through the Ethereum network, we can see that the rise in demand for NFTs and DeFi apps has occurred through the network for good reason. Several factors are involved in NFT-enthusiasts' love for the king of layer 1s.
Ethereum was the creator and adopter of smart contracts in 2015. As fans know by now, this paved the way for NFT transactions. Smart contracts opened the door into a decentralized world unbeknown to us previously. With smart contracts, two parties could create a contract stored on a blockchain while remaining completely anonymous. Another reason to say goodbye to traditional banking entities!
The ERC-721 token was a game-changer for NFT transactions. It tokenized the ownership of any type of data between parties using smart contracts. Furthermore, compared to its predecessor ERC-20, the ERC-721 token is non-fungible in nature. This allows holders to mint their NFTs, thus recording the data into a smart contract on a public ledger. What's more, individuals can monetize their work by setting a fee for consequent sales of their digital assets in the future.
Ethereum has a unique advantage compared to other alts. As I discussed earlier, its network effect is much higher than competitors. What does this mean? As more and more users turn to the Ethereum network for purchasing and selling NFTs, the value of the service is increased.
More users = more content = more information = more connections in the network.
An example of a company with outrageous network effects is Meta. Since it owns Facebook, WhatsApp, and Instagram, users need to use the web of networks to fulfill their socialization needs. However, if a user decides to switch to a smaller social network like read.cash or hive.blog, they will experience fewer connections with others worldwide.
On a side note, this is why it's essential to promote read.cash to your friends and family! We want to increase the number of daily active users to improve our own experience on the platform.
But large networks are still inferior to smaller networks if factors like functionality, user experience, and compatibility are inferior to their rivals. Luckily for the Ethereum network, it is compatible with a multitude of services and products.
In the NFT space, Ethereum is fully compatible with OpenSea, the largest NFT trading platform. Solana on the other hand, a competing layer 1 with the potential to beat Etherum, is only compatible with its own platform - Solanart. Unfortunately, Solanart is smaller than OpenSea, thus attracting fewer potential users.
How Solana is superior to Ethereum
Just because Solana is less compatible than the Ethereum network, it doesn't mean that it can't beat Ethereum in other aspects.
Solana's glaring advantage stems from its hyper-fast transaction speeds and low transaction fees. As you can see in the image above, it is on par with Visa in transactions per second (TPS). Just look at Ethereum with a TPS of 20! Solana is 3,250 times faster than Ethereum. That's pretty impressive if you ask me!
With blockchain transactions, we can also apply the supply-demand model. Since Ethereum's TPS is low, users are willing to pay higher gas fees to process their transactions quicker. Currently, the average transaction fee on Ethereum is $15. https://cryptoadventure.com/ethereum-or-solana-who-will-win-the-nft-space-5-factors-to-consider/
This may not be much to you, but transaction fees are even higher with ERC-721 tokens due to the complex nature of NFTs. For example, in the recent CloneX drop, I witnessed gas fees of over $200 for members in the community.
On the flip side, Solana has an incredibly low average transaction fee of **$0.00025**. Solana's lower block time of 0.4 seconds and larger block size of 20,000 transactions facilitate the unbeatable transaction fees. It looks like Solana's proof-of-history consensus is efficient!
Low transaction fees are crucial for the NFT gaming market. Take Axie Infinity, a popular NFT game built on the Ethereum network. Players can breed their Axies up to 7 times. The cost increases proportionally to the number of times players have bred their Axies.
Through Solana's network, players will be able to breed multiple times without the ridiculous increases in prices. This produces opportunities for developers and artists alike. They can finally create projects that are too expensive to mint on the Ethereum network. The network is perfect for turn-based NFT games and 3D NFTs.
So what's better for NFTs?
Quite frankly, both networks are fantastic in their own respect. Minting an NFT in the Ethereum network will probably put more eyeballs on your project due to its high network effect.
Just remember to consider gas prices in your total cost as they can reach triple-digits.
Solana is better for the newer generation of NFTs. For example, 3D NFTs are becoming popular with projects like The Psychedelic Anonymous and Crazy Babies shocking NFT influencers. I bet projects will move to Solana once they see the benefits.
Audius is the latest project moving to the Solana network. As announced on their website: https://solana.com/ecosystem/audius
"It was clear that Solana was the only system that could deliver the speed, low fees, and censorship resistance necessary to grow Audius to a mainstream, global audience."
I expect big things from Solana this year!
*Sources:*
https://cryptoadventure.com/ethereum-or-solana-who-will-win-the-nft-space-5-factors-to-consider/
https://fxnews.exness.com/solana-vs-ethereum-battle-of-the-nfts/
https://solanacompass.com/solana/why-are-solanas-gas-fees-for-transactions-so-low/
*I am not a financial advisor. Please do your own due diligence before making a decision based on my article, as I am not responsible or liable for your investment decisions.*
Metroverse: An Ingenious Land NFT Project
Are you a fan of SimCity? Do you enjoy trading NFTs? If you said yes to any of these questions, I highly recommend you continue reading as I'll be going in-depth about a new NFT project with tremendous potential.
What is Metroverse?
Metroverse is a play-to-earn (P2E) land project that could potentially disrupt the land NFT market. Think of it as a cross between NFTs, Gaming, and DeFi.
What's interesting about this project is the economy backing the game and its unique game mechanics.
**This is how it will work:**
Players will have the opportunity to mint a unique city block (an ERC-721 NFT) in January of 2022. Each city block contains a randomized set of unchangeable buildings with different rarities. Buildings fall into either residential, commercial, industrial, or public areas.
City blocks are rated based on the rarity of their buildings and the zones they fall within. Scores range between 200 and 500. Zones affect your income, which is tokenized through $MET: The project's very own in-game currency.
To give you an example, take a look at the image below.
As you can see here, this is an ultra-rare block as it has a total score of 485. The tall skyscrapers, ski slope, and crypto mining facility drastically boost the score. I bet the zones where these buildings are located help increase MET income.
It doesn't end there. Once minted, players have three options to maximize their profits: Collect, trade, or stake land.
By staking city blocks, players will be able to earn income. This is where their in-game economy shines. MET tokens are earned according to the total score of the blocks.
So a city block with a total score of 485 will earn more than city blocks with a measly score of 220.
Like any other NFT, city blocks with higher scores and higher rarity are more likely to auction for more. This is where utility is generated for trading.
Also, a collection of city blocks in your wallet is called a neighbourhood. Neighbourhoods also come with a score dependent on the sum of scores of the blocks in your wallet.
Neighbourhoods have a crucial role in the game; They create a multiplier effect. This effect differentiates Metroverse from other land projects NFTs as it can generate more value for players with low-score blocks.
Why is Metroverse special?
The team behind Metroverse has a bright future ahead of themselves.
For one, with an experienced team of entrepreneurs, designers, and gaming enthusiasts, and an emphasis on community engagement and feedback, they seem to know what they're doing.
The team's brilliance can be measured through their booming Twitter and Discord communities with 25k followers each. Engagement is organic in both communities as well.
Moreover, as I've noticed with successful NFT projects, Whitelists are only given out through giveaways and community engagement. This is a proven marketing strategy that has worked for countless other projects.
Finally, they plan to improve the game by adding building upgrades and a PVP experience down the road. A vision for constant improvement shows that the team is thinking long-term and want to continue supporting the project for years to come.
If you're interested in Metroverse, keep an eye on their Twitter (https://twitter.com/themetroverse) and Discord community.
*Sources:*
https://twitter.com/xdoubleq/status/1471652159150338048
https://metroverse.com/
*I am not a financial advisor. Please do your own due diligence before making a decision based on my article, as I am not responsible or liable for your investment decisions.*
Pixelmon: Is It The Next Big NFT Project?
Remember back in summer '16 when Pokemon Go took the world by storm? Hardcore fans, amateurs, and even those who could care less about Pokemon were all united with one purpose in mind: Gotta catch 'em all!
Those were the good old days. Not only was Pokemon Go revolutionary at the time, but it also showed that nostalgic games like Pokemon are still a staple of pop culture.
I recently came across a promising project that offers a similar approach to Pokemon Go. To be more definite, it's when the worlds of Pokemon and Axie Infinity collide. If that isn't intriguing enough for you, let's dive further into the project.
What's the project about?
Pixelmon will be a play-to-earn (P2E) virtual metaverse where you can train, trade, and fight your very own Pixelmons against others in the world. Players will be able to earn rewards via ETH or Pixelmon by beating foes in battle.
The first generation of Pixelmon (called the "genesis" species) will have over 100 unique species with 10,000 Pixelmon total. At this very moment, Gen 1 Pixelmon has yet to drop. However, Gen 1 eggs will be available for purchase and minting soon.
In their roadmap, @ThePixelmon (the dev team) indicated that in Phase 1, which is set to roll out in Q2 2022, they will be purchasing land in The Sandbox for the alpha version of the game. Individuals will be able to explore three distinct areas: A Pixelmon Hub, Training Centre, and a Battle Arena.
The integration with Sandbox is only the first rendition of its gaming metaverse ideology. @ThePixelmon is creating its very own Pixelverse while testing the early version of the game in The Sandbox.
Users who have minted Gen 1 eggs will be able to hatch their eggs in the alpha version. One thing that stood out to me is that the evolution mechanic for Pixelmon will cause heavy deflation of the Gen 1 supply.
As we all know by now, scarcity with high demand generally leads to an increase in prices. So try to get in early if you're looking to flip Gen 1 Pixelmons for ETH.
Owning Gen 1 Pixelmon will also come with other benefits. For one, Gen 1 Pixelmon holders will gain early access to land and species in the metaverse. My best guess is that when Gen 2 Pixelmon and land are introduced into the sphere, Gen 1 holders will be able to get first dibs on land.
Although it is still relatively unknown, I feel like the real estate system will be introduced with their version of the metaverse, also known as the "Pixelverse." It will include land, apartments, villas, mansions, castles, tents, houses and more for purchase, rent and mortgage.
The dev team plan to release second, third, fourth and fifth generations of Pixelmon species into the Pixelverse over the next few years. Just like with Axie Infinity, users can breed their Pixelmon to create new and unique species that could potentially sell for a whole lotta ETH.
Why is it a promising NFT project?
I'm bullish on this project for several reasons. First, it's cool, and as I said in the beginning, it's in with the times. To be completely honest, they are bound to have a stable player base because of the project's similarities to Pokemon.
Second, @ThePixelmon's marketing strategy has been a success. 20,000+ organic followers on Twitter in less than two weeks with constant engagement, collaborations, and giveaways? Those who are in digital marketing know this is very tough to accomplish. Kudos to the Pixelmon team!
Third, the dev team consists of individuals who have worked for brands like Activision and Disney. According to @xdoubleq on Twitter, who had the chance to speak to the development team 1-on-1, the team isn't anything to scoff at. They are established, experienced, a positioned well for this project..
Fourth is a question of accessibility. As @Pandora just recently stated:
"such a model require[s] vast allocation of funds invested even at the beginning stage."
This is a huge turn-off for those who wish to legitimately earn crypto via gaming. Thankfully, the creator of @ThePixelmon has promised that everyone will be able to play Pixelmon. Like in Pokemon, this will be accomplished through basic starter Pixelmons that anyone can use.
Finally, and arguably one of the most important reasons as to why I'm bullish on the project, is their presence on Discord and Twitter. Anyone in the NFT space knows that constant engagement in both platforms is a tell-tale sign of future demand for the NFT project.
What's lucrative about their alpha Discord server is the limited capacity set at 1,000. Invites are given through Twitter, though generally through a random giveaway. This strategy puts eyeballs on the project, as well as builds hype. I mean, who doesn't want to be a part of an exclusive community!
Take a look at the project here: https://twitter.com/ThePixelmon and here: https://www.pixelmon.club/roadmap
*Sources:*
https://twitter.com/xdoubleq/status/1471172927278108676
https://twitter.com/Syberer
*I am not a financial advisor. Please do your own due diligence before making a decision based on my article, as I am not responsible or liable for your investment decisions.*
Nike Moves Into the NFT Market
https://www.youtube.com/watch?v=fknlCnYBsOE
With Adidas taking a giant leap into the NFT hype and marking its position in the business world's trek to Web 3.0, it's about time its biggest rival does the same.
On December 13, 2021, Nike acquired *RTFKT*, an innovative NFT-startup with its roots in digital artifacts and collectibles for the "cool" side of the metaverse. The video above is a perfect example of what Nike and RTFKT aim to accomplish in their mutual goal.
Just like Adidas, Nike's acquisition isn't a fad. It's a strategic move with a long-term roadmap in mind.
More about RTFKT
Before we delve into Nike's strategy, let's talk a bit more about the acquired company.
RTFKT is a new kind of business. It was built solely on the metaverse and for the metaverse itself. It's an organization that hires the best of the best to create unique avatars, sneakers, and other digital artifacts with the intention of materializing NFTs in the metaverse experience.
Basically, RTFKT has the end goal of creating cool clothes and sneakers for your 3D avatar in places like Roblox, Decentraland, and The Sandbox. It's creating utility for NFT owners by promoting an ecosystem for its avatars.
The brand has already had tremendous success with its CloneX drop back in late November. After suffering from coordinated attacks to their Discord in the first round or public sale, their second round of public sale sold out in 37 minutes!
Furthermore, after Nike's acquisition announcement, secondary sales of CloneX NFTs almost doubled! A user by the name of "Criminal" was able to mint and sell the rare CloneX avatar #4939 (shown above) for an astonishing 200 ETH.
Why Nike acquired the brand
Nike's President and CEO said in a statement:
"This acquisition is another step that accelerates Nike’s digital transformation and allows us to serve athletes and creators at the intersection of sport, creativity, gaming and culture."
By conjoining Nike's dedicated sneakerhead and fashion community with RTFKT's creator hub, the behemoth is positioning itself in the evolution of the Web as a lifestyle and community brand. But of course, this isn't far off from what it's been doing for years with its subsidiaries and leading brand.
Nike's evolution is further reinforced by Benoit Pagotto's (one of RTFKT's co-founders) take on the acquisition:
"Nike is the only brand in the world that shares the deep passion we all have for innovation, creativity and community, and we’re excited to grow our brand which was fully formed in the metaverse.”
What's next for Nike?
Nike's mission doesn't end there. It may have fallen off the radar, but prior to acquiring RTFKT, Nike partnered with the ever-so-popular Roblox to form *NIKELAND*: an experiential 3D space for Nike-lovers and fans to connect, create, and compete with and against each other.
NIKELAND includes arenas for mini-games like tag, the floor is lava, and dodgeball. However, users can create their very-own mini-games using the NIKELAND tool kit. What's more, visitors can use their external device movement and body to move in-game. All of this is executed through Roblox avatars that allow its users to show off Nike sneakers and clothing.
While the market leader continues to push the boundaries of fashion, sports, and gaming, so will its competition. Nike isn't the only blue-chip entering the metaverse. So the question is: Will its acquisition of NTFKT and its partnership with Roblox be enough to adopt the evolution of the Web?
Let me know your thoughts down below :)
*Sources:*
https://news.nike.com/news/nike-acquires-rtfkt
https://www.forbes.com/sites/cathyhackl/2021/11/29/the-evolution-of-a-metaverse-brand-rtkfts-clonex-drops-today/
https://news.nike.com/news/five-things-to-know-roblox
https://www.theverge.com/22833369/nike-rtfkt-nft-sneaker-shoe-metaverse-company
https://adrienbe.medium.com/clonex-sales-recap-f3457f542ee4
Adidas' NFT Drop
On December 17, 2021, Adidas will be dropping a monumental NFT collection in collaboration with big names in the sphere. This may look like Adidas is just dipping their toes in the NFT hype, but trust me, there's more to this.
What's in the NFT drop?
For starters, Adidas is seeking to target streetwear enthusiasts with this drop. With the hypebeast community increasing in soft power over time and thus setting trends among popular culture, Adidas wants to leverage the high demand for streetwear products with a new take on its iconic lifestyle branding.
The "Into the Metaverse" collectibles range from digital to physical products. As McDowell and Chitrakorn state:
The collection is being revealed through digital and physical comic books, created in collaboration with a host of trending metaverse players: PFP phenomenon Bored Ape Yacht Club (BAYC), NFT influencer Gmoney and comics series Punks Comics.
Add on a cool physical piece like a Firebird tracksuit, a graphic hoodie, and Gmoney's orange beanie, and you have a campaign suited for die-hard NFT and Adidas collectors.
Is it worth it?
The NFT supply will be limited to 30,000 for 0.2 ETH each. At this very moment, that's about $800 ETH for a single NFT. Mind you, the 30,000 supply is quite large for a drop of this calibre.
As an experienced NFT collector, you may think this drop just isn't worth it. But, with such high supply and high pricing, the demand is bound to drop... right?
Well, I wouldn't be so sure if I were you. Not only do you have Adidas, a legendary brand that's built and transformed several aspects of popular culture, but you also have Bored Ape Yacht Club NFTs joining the fray. As a limited NFT collection with members ranging from Post Malone to Stephen Curry, this is a sure-fire way for Adidas to attract new consumers.
So yeah, it may not be worth it. But with big-name brands backing this campaign, I can see the collection appreciating over time.
What does the future bring us?
As I said in the begging, this isn't just about breaking the news cycle with a unique collection. There's more to Adidas' marketing strategy. In fact, Into the Metaverse NFT owners will receive exclusive access to wear their digital items in The Sandbox metaverse.
That's right, Adidas has purchased 144 parcels of virtual land in The Sandbox just for its collectors. In addition, they plan to add more experiences and features in their plot of virtual land, so expect some big news from Adidas in the coming year.
I feel like Adidas is doing everything right. Combining lifestyle branding through its cool and hip streetwear products with the community branding aspect of its metaverse experience, and you have a combobulation of goodies for like-minded consumers.
By adding wearable NFTs in its metaverse experience, Adidas is showing everyone that its *the* frontrunner in integrating digital wearables into the metaverse.
*Sources:*
https://www.adidas.com/into_the_metaverse/
https://www.voguebusiness.com/technology/adidas-reveals-new-nft-project-with-bored-ape-yacht-club
https://www.youtube.com/watch?v=LWTeorH5RWA
Crypto Adoption in Developing Countries: Not a Want, But a Need
Who would have thought the president of a country would proudly tweet their love for crypto? I sure wouldn't have even imagined this in my wildest dreams.
It's no secret that 2021 was a year of change. With companies like General Motors rebranding themselves to accompany the next wave of technological evolution to Elon Musk openly supporting the adoption of Dogecoin, it seems like risk is the new normal.
Now, although it may seem strange that the president of El Salvador buys Bitcoin and let alone tweets about it, it shouldn't have been a surprise that citizens of these countries would eventually adopt crypto. Using it as a means of evading their country's problems, and more definitively, the difficulties associated with their country's economic/financial situation, it always seemed like a smart move.
Taking a look at Satoshi's whitepaper, he argues that the inherent issue in the traditional financial system is the reliance on trust. Simply put, developing countries don't have the luxury to trust their leaders and government institutions with their money.
What's more, this lack of trust stems from economic instability. A common theme among under-developed regions is the devaluation of their native fiat currency and the banks' high transaction/remittance fees. The adoption of crypto aims to solve this issue.
In this article, I will be analyzing three developing regions: Africa, Central & Southern Asia and Oceania, and Latin America. In these three regions, crypto isn't just a want for citizens; it's a need.
Africa
Although African countries have the smallest crypto economy of any region, they have the highest volume of peer-to-peer (P2P) remittances worldwide. This integral function of blockchain tech, along with the other advantages of crypto, create stability in the population's financial situation.
Overseas & intra-continental transfers
The African region accounts for a meagre 2% of the global crypto value sent and received from 2019 to 2020. This isn't precisely where Africa shines. They show promising growth in other aspects like overseas & intra-continental transfers.
In sub-Saharan Africa, P2P Bitcoin trading has surpassed North America's volume, thus becoming #1 globally in this regard. However, because fees for $200-and-under transactions with their fiat currencies average at a whopping 9% of the total transaction value, citizens need other options to counter the high cost. This is especially true since fees can reach double-digits, the highest of any region.
As Africa continues to strengthen trade ties with China, a significant share of the region's P2P trading occurs with the East-Asian powerhouse. African businesses import goods from China while bypassing high transaction fees and the lack of banking infrastructure to send money overseas. Moreover, since a portion of the Chinese labour force has been sent to work in Africa, sending a part of their income back home through P2P trading is expected.
Crypto as a store of value
African countries are well-known for mass currency devaluation. For example, the South African Rand has lost over 50% of its value against the U.S. dollar in the last decade.
The general population cannot hold their savings with banks because of this. Their money will just depreciate sitting in a savings account, as even the interest can't beat inflation. Therefore, as the country's fiat currency devalues, P2P trading activity rises. More and more individuals are beginning to learn about the potential of Bitcoin as a store of value.
Central & Southern Asia and Oceania (CSAO)
The CSAO region differs from Africa in several aspects. First, the region has a relatively medium crypto activity, accounting for 12% of all crypto volume from 2019 to 2020.
What's interesting about this region is the high volume of retail transactions. For example, 15 to 22% of the global $10,000-and-under transactions were from CSAO. It is believed that because of the high-remittance fees received from overseas transactions, individuals sought crypto for its P2P trading capabilities.
Vietnam
One country that is a particular case in the CSAO region is Vietnam. The Vietnamese are a global presence because of their ex-pat communities. These overseas communities produce a need for fiscal transfers to their families back home. As we've explored previously, crypto solves this need as remittance fees are much lower using crypto as a transfer agent.
In addition, Vietnam has limited access to traditional investment vehicles. Since citizens want to invest their money into the market, they opt to stick with crypto as it is one of the only ways to turn a profit with passive income.
Also, 70% of Vietnamese people have yet to open a bank account because of inadequate banking infrastructure, including ATMs. This is yet another reason as to why crypto is so widely adopted in Vietnam
I could go on and on about crypto adoption in this country, but these are the key points that stand out in Vietnam's quest in popularizing crypto among its population.
Latin America
Latin America doesn't necessarily have the same problem as the CSAO region. There doesn't seem to be a lack of banking infrastructure. What is truly the issue in most of its countries, like in Africa, is the constant level of hyperinflation.
I was born in Argentina and moved to Canada when I was young. If there's one thing that stands out to me from my parents, especially when we first initially moved, is their constant frugal outlook of money. Argentina has been riddled with hyperinflation for decades with the Peso collapsing several times. Embarrassingly enough, even the fiat currency has been switched again and again to counter the nation's decades-long issue.
It is widespread for people to exchange their Argentine Pesos for USD in the black market. Suppose an individual does not exchange their money into a stable fiat currency or asset. In that case, they may lose the entirety of their savings to the Peso's devaluation in less than a month. Yes, it's *that* serious.
Unfortunately, Argentina will most likely continue to have this problem. So instead, let's go further north to a country that made international headlines a couple of years back.
Venezuela
It saddens me to read stories of Venezuela. Venezuelans have been fighting a long and hard battle on multiple fronts. Not only is the political composition of the state split, but the socialist economy is failing the people. Cutting costs of basic human necessities like toilet paper may provide a solution in the short run, but that's about it.
Businesses can't turn a profit with the mandatory low pricing of their products. Citizens have turned to gigs to make some sort of income. An unstable income limits the chances of citizens opening a new bank account. Even if they can open a bank account, the cost and bureaucracy of financial systems are just too high. Combine all this with U.S. sanctions of Venezuela's oil sector, the country's key industry, and you have a disaster that is ongoing with no light at the end of the tunnel.
Thankfully, crypto may just be that light. It is perfect for P2P transfers, especially from countries like the U.S and China. As China expands its global presence, Latin American importers purchase Asia-based exported products with crypto, eliminating banks entirely from the mix.
This isn't only apparent in overseas transfers. Venezuela is the leading Latin American country in digital payments, with 28.6% conducted digitally. This is almost quadruple the region's average. Grassroot cryptocurrency programs and organizations, like Fintech, have emerged to supply the demand for non-fiat options.
Add on Bitcoin's promising store of value and you have a (somewhat) escape from the harsh economical situation. Of course, the country won't resolve all of its issues with crypto, but it will definitely help the people restore some financial integrity in their country.
What's next?
Crypto will continue on its journey to mass adoption, especially in developing countries where it's most needed. What could lead to further issues is the governments' decisions of regulating crypto. As we've seen in recent light, China has banned crypto entirely. Other countries like Vietnam and Cameroon have regulated crypto to the point that impedes its citizens from using it.
As we go into 2022, I have no doubt that we will see more bans on crypto. Only a couple of countries like El Salvador have fully embraced the digital asset, but more often than not, authoritative leaders despise the idea of decentralization. I mean, it does go against the fundamental idea of trusting the government.
I'm excited to see what will occur next year. Who knows, maybe Bitcoin Cash will become a legal tender of Canada. At this point, you really can't limit the possibilities of the adoption of crypto.
*Sources:*
https://www.ft.com/content/1ea829ed-5dde-4f6e-be11-99392bdc0788
https://ag-pssg-sharedservices-ex.objectstore.gov.bc.ca/ag-pssg-cc-exh-prod-bkt-ex/258%20-%20002%20Appendix%20B%20-%202020-Geography-of-Crypto%201.pdf
https://vietnamdaily.ca/culture/vietnam-ranks-1-globally-for-cryptocurrency-adoption/
https://restofworld.org/2021/venezuela-digital-payment-adoption/
https://www.bbc.com/news/world-latin-america-36319877
The Roundhill Ball Metaverse ETF ("META ETF")
*Before reading this: I am not a financial advisor. Please do your own due diligence before making an investment decision based on my article.*
As the metaverse continues to shock and awe individuals worldwide, it has yet to reach a level of mass adoption. Quite frankly, a situation like this is to be expected. Institutional support is a critical component in the public adoption of disruptive technologies; take a look at Bitcoin during the pandemic. Companies like Tesla and Square saw the utility in Bitcoin as a store of value. When these billion-dollar companies bought Bitcoin for the first time, skeptics began to change their minds about the cryptocurrency. I mean, it must be a valuable investment if businesses are pouring millions of dollars into the currency, right? https://read.cash/@wholelottajuju/the-rise-of-the-metaverse-1788b313
But this article isn't about Bitcoin and Elon Musk (sorry to disappoint); it's about the institutional adoption of the metaverse and the investment decisions that can come with the metaverse.
Thankfully, market leaders like NIKE have begun pivoting their business model to suit the succession of Web 2.0. By recently acquiring *RTFKT*, a leader in the NFT-space that specializes in integrating virtual sneakers and other accessories into the real world, NIKE is showing they aren't afraid of our digital future. If a company with millions of shareholders isn't scared of investing in the growing industry, why shouldn't we? https://news.nike.com/news/nike-acquires-rtfkt
What's so special about the metaverse?
So what's so special about the metaverse? Well, for one, as previously mentioned, it's the succession of Web 2.0. Instead of having a centralized entity owning and controlling the data related to user-generated content (UGC) and the social web, Web 3.0 will be a decentralized version of the virtual world. As stated by Roundhill Investments, it will be "interoperable, persistent, synchronous, [and] open to unlimited participants with a fully functioning economy." https://www.roundhillinvestments.com/etf/meta/
If the evolution of Web 2.0 doesn't phase you, then how about the projected increase to $800 billion by 2024 for the global metaverse industry? With big names like NIKE, Nvidia, Roblox, Epic Games, and Meta hopping on board the metaverse trend, it's not hard to foresee a future led by these initiatives.
Is crypto reducing the potential for mass adoption?
The lack of mass adoption isn't only a question of how many institutions will support the metaverse initiative, but it is also a question of when cryptocurrencies will reach the same level of investment and interest as in the global stock markets. A situation like this occurs because cryptocurrencies are still relatively new. Regulating a new market is a tedious process, and some individuals, especially the older generations, do not trust crypto yet because of this reason.
In addition, cryptocurrencies don't have tax-sheltered accounts explicitly created for crypto investments. Here in Canada, crypto isn't legally seen as an investment or legal tender; instead, it is classified as a commodity. Therefore, as a Canadian, we cannot directly hold crypto in our TFSA or RRSP accounts (our two most popular tax-sheltered savings account).
Why you should invest in the Roundhill Ball Metaverse ETF
The keyword is that we cannot *directly* hold crypto in tax-sheltered savings accounts. Luckily for you and me, ETFs tracking metaverse indexes have recently emerged to fulfill our needs. This allows us to *indirectly* hold crypto in a tax-sheltered account via an ETF.
Now that you can see one of the main advantages of purchasing metaverse ETF stock, let's take a look at Roundhill Ball Metaverse ETF ("META ETF"). Launched in the summer, it is at the forefront of metaverse ETFs. META ETF has experienced tremendous success over a short period and is bound to continue to grow.
Here are some pertinent points of information that can help you further understand META ETF:
Tracks the performance of the Ball Metaverse Index, the first index of its kind
Uses a robust rule-based methodology targeting seven different sectors or categories in the metaverse industry
Carries a diversified basket of companies that may become key players in the metaverse initiative
Partners with thought-leaders in various sectors of the industry
Leverages their expertise to select companies in the ETF
Thriving out of the gate with 150 million inflows pre-Facebook's rebranding announcement
By late November, they had over 800 million in inflows
This is rare for ETFs since, upon launch, they generally tend to have low volume and inflows
No outbound sales force as they are targeting retail investors over institutions
Also, research is disseminated through social media, their newsletter, and their website to help target retail investors
This does not follow the status-quo for ETFs
As you can see, META ETF is disrupting the industry. I would highly recommend you check out their investor presentation here: https://www.roundhillinvestments.com/assets/pdfs/META_Deck.pdf
The Rise of the Metaverse
With Zuckerberg recently announcing Facebook's rebrand to the conglomerate *Meta*, and his subsequent keynote explaining the brand's repositioning strategy, many are left wondering why a trillion-dollar company with billions in monthly active users would bank on the future of the metaverse as its core product.
This article will help you understand the booming metaverse market and why I am particularly bullish as a retail investor.
What is the metaverse?
As Zuckerberg stated in Gary Vee's podcast episode:
The metaverse to me, today, feels like the next frontier in social connection.
The CEO couldn't have explained it any better. The *metaverse* is the evolution of the internet; many deem it the rise of Web 3. In essence, it is a disruptive immersive medium that interconnects various aspects of human socialization and technology.
In plain English, the metaverse is the evolution of socialization on the web. For example, instead of posting an item for sale on Facebook Marketplace, individuals may be able to sell the item in a photorealistic virtual world with their own personalized avatar.
This is just one example. It is imperative to understand the metaverse isn't purely the integration of VR and/or AR with social media. The metaverse can simply be an app connecting you with millions of other users on your phone. Take Roblox, a successful company that has slowly transitioned to a metaverse model. Users feel like they're immersed in the Roblox world with the thousands of apps built on the platform, even if they're only connected through their phones.
But wait... There are other companies in the metaverse sphere?!
Yes, there is! In fact, there are dozens of blue-chip companies working on metaverse projects. Heck, even companies like Nike have begun to take leadership by creating positions specifically for the metaverse. Chief Metaverse Officers are speculated to be an essential part of the C-suite in the next five to ten years. https://www.linkedin.com/in/andrewjschwartz/
Zuckerberg's announcement really just put a spotlight on the metaverse industry for ordinary people like you and me.
Notably, some of the most influential companies leading the metaverse initiative are Nvidia, Unity, Roblox, Epic Games, and Meta. These companies all have different versions and applications for the metaverse. For example, Nvidia's version of the metaverse called the "Omniverse" is tailored towards developers and engineers. On the other hand, Unity is focused on improving modelling, testing, and training complex systems through AI in a simulated world.
Although these companies are well-known, the real leaders of this disruptive technology emerge from the crypto-sphere. Projects like Decentraland, The Sandbox, and Axie Infinity have amassed billions in market cap.
I could go on and on about what each technology does, but for the sake of time, we'll save that for another day.
Should I invest in the industry?
If you believe in Bloomberg Intelligence research, the global metaverse market is projected to increase to a whopping $800 billion by 2024. In comparison, the market size was sitting at $500 million last year. This alone could persuade you to invest in any of these companies.
If that isn't enough for you, just think about the tangible shift in Fortune 500 companies. They aren't just slowly shifting their entire business model on a bet.
On top of all this, Zuckerberg's announcement sparked interest in the industry. The net market cap of metaverse tokens increased by 13.40% after this event. These crypto projects have grown a staggering 37,000% this year alone. Although growth like this can be linked to short-term hype, as we witnessed in the GameStop saga, the growing number of users will only strengthen the network effects of the world's current metaverse platforms. https://markets.businessinsider.com/news/currencies/metaverse-cryptocurrencies-up-37000-percent-axie-infinity-decentraland-bitcoin-altcoins-2021-12
*I am not a financial advisor. Please do your own due diligence before making a decision based on my article, as I am not responsible or liable for your investment decisions.*
@wholelottajuju
