I created a detailed yet simple report on everything you’d want to know about NFTs. Enjoy!

Let's kick it off..

NFTs are non-fungible tokens. Wait what?

Something that's non-fungible is unique, it can't be swapped for another. Think of the Mona Lisa. It's non-fungible.

Tokens are basically certifications of ownership. Combine the two things and you're able to digitally authenticate ownership of assets which could never be done before.

A few examples..

• BossLogic→ One of his Kobe Bryant pieces "Forever Mamba" initially sold for $824. Some have bidded for upwards of $18k now.
• Logan Paul  → Minted a clip from one of his YouTube videos and sold is as a NFT for $20k.
• Overly Attached Girlfriend - Remember the old meme? She's made serious money by turning it into a NFT - last sold for 200 ETH ($465k+).
• Bad Luck Brian - Another old meme, sold for 20 ETH. Turns out it's good luck Brian. Okay I'll stop.

Something interesting..

• Jack Butcher owns a business called VisualiseValue. He creates these minimal images and shares them on social media to drive busniess up for his course and memberships. Now he sells these as NFTs, pricing can vary from .5 ETH up to 50+ ETH.

Key insights..

• NFTs aren't new in 2021. They've existed since around 2016. The real boom started because of CryptoKitties. Some pieces sold for $172k.
• They’re not just applicable to digital art, that’s just one use case. NFTs can be tailored to various industries.
  • Digital content - currently the most poopular way NFTs are sold.
  • Gaming - think in-game assets now being traded like real-life collectibles. Players could sell these items for real money
  • Physical Items — in the future NFTs could be used to own physical items like a car or a piece of land. Maybe even use NFTs as collateral, or document verification. Imagine an NFT passport.

Let's talk real business examples..

• Nike's registered a patent under the name "CryptoKicks". Here's the idea: for every pair of physical shoes they make, they also generate a cryptographic digital asset. When someone buys the shoe in real life from a registered seller, they then have access to the CryptoKick.
• Musicians are selling their songs as NFTs. Here's an example from LinkinPark's Mike Shinoda. This means you have access to the music but also a potentially appreciating asset.
• Taco Bell - Each GIF started at a bidding price of $1. However, they all sold for thousands of dollars each, with one going for as much as $3,646. Creating and selling NFTs was a clever move on Taco Bell’s part as it generated a lot of buzz on mainstream media and social media; that’s always good for business.

Highlighted business..

• Today we'll cover Mirror - weird to explain. It’s writing meets crypto.
• As an alternative to paywall, mirror enables writers to tokenise their work. Enabling readers to “own” the posts.
• The essays are free to read so the majority of your audience is free to ignore the NFTs and simply enjoy the content. It’s a crypto implementation that doesn’t require large technical hurdles for the majority of your audience.
• The Generalist raised 20 ETH under their token $GENERALIST. They then auctioned their analysis on the Coinbase IPO as an NFT, with each $GENERALIST token holder receiving a % of the sale price.

What I predict..

• NFTs will become a unique way for writers, content creators, social media influencers to raise funds instead of blocking content behind a paywall. This means they’ll increase distribution whilst maintaining monetisation.
• Most NFTs will not retain their value, they're currently just hype. But real NFTs will soar and continue to do so.

Opportunities..

• Digital frames focused around showcasing NFT art. This piece sells for $1500. Whilst Redditors have worked out how to recreate something similar using a monitor + raspberry pi for a much lower cost.
• For existing brands, consider creating your own NFTs as a brand building activity and to generate hype around your upcoming products.
• Partner with designers and broker deals with artists to create NFTs for their latest albums. Split the profits based on a % share.

Opportunities..

• But I can just download the image?

  The value of art comes from a work of art being authentic. There is only one possible thing that can make a work of art authentic - artist intent.

  A work of art is authentic, and therefore valuable, if and only if the artist who created it says that it is authentic.

• So do I own the copyrights?

  No you don't. You own the rights to the authentic original piece. Which can both increase and decrease in value based on it's populariity. Copyright isn't included.

Useful links..

• Colin and Samir cover what an NFT is. A great discussion around the topic.
• Colin and Samir cover more about Logan Paul's NFT that made $5m+.
• NiftyGateway - A NFT marketplace, owned by Gemini (the Winklevoss twins).
• Rarible - Another NFT marketplace.
• Excellent breakdown about NFTs from the official Ethereum website.
• A fun read on memes making money for their owners.

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