"95% of NFTs are Dead..."
These quotes from a 9/24/2023 Forbes article grabbed my attention.
According to the article...
๐ "A new study by dappGambl has found that 95% of NFT collections โ held by an estimated 23 million people โ are 'worthless'. "
๐ "Of the 73,257 NFT collections that dappGambl identified, an 'eye-watering' 69,795 had a market cap of 0 Ether (ETH)."
๐ โHaving looked into those figures, we would estimate that 95% to include over 23 million people whose investments are now worthless.โ
๐ "In simple terms, there isnโt enough demand for NFTs to keep up with supply."
๐ "Of the NFTs identified in the dappGambl research, just 21% had full ownership. This means 79% of all NFT collections remained unsold. The situation has created a surplus of NFTs, creating a buyersโ market."
๐ค My purpose for this post is not to create FUD for NFTs. I have launched 2 NFT collections and plan to launch more in the future. I BELIEVE that NFTs will be a HUGE part of Web3. NFTs are here to stay!
My goal is to sound a clarion call to the industry that perhaps a paradigm shift is needed.
๐ฅ NFT collections should have one or more of the following:
1๏ธโฃ A Clear Use Case -Call it utilities, perks, benefits, or whatever nomenclature you choose, but most collections will not survive on the art alone. An NFT should be a type of DIGITAL ACCESS PASS that unlocks a world of utilities.
2๏ธโฃ Compelling Narratives -In an attention economy, an NFT collection must be able to attract and maintain interest.
3๏ธโฃ Genuine Artistic Value -A few collections (i.e.
@MetaVixensNFT) will succeed on art alone, but these are the outliers.
โฐ IT'S TIME! โฐ
๐ฅ IT'S TIME ... for NFT projects to 'come correct' and refuse to rush out collections with no utility, no compelling narrative, or without top-shelf art.
๐ฅ IT'S TIME ... for ecosystems to weed out bad actors who make grandiose promises to their communities but continually overpromise and under-deliver. The 'cash grab bandits' are killing the industry one heist at a time and need to be called out.
๐ฅ IT'S TIME ... for NFT investors to demand MORE. After being burnt in 2023 by a few unscrupulous founders, I refuse to heavily invest in ANY project in which the guy with the keys to the treasury wallet is not doxxed. While doxxing is not a failsafe and doesn't make a project rug proof, it's too easy for bad actors to hide behind a PFP and then take the money and run.
โค๏ธ I LOVE NFTS!
โค๏ธ I LOVE THE COMMUNITIES!
โค๏ธ I LOVE THE ART!
โค๏ธ I LOVE THE VIBES!
โค๏ธ I LOVE OUR COLLECTIONS:
@cryptocrewnfts,
@Legion_Villains,
@FADALabs,
@ShadowMan_NFT,
@ColonyWars_, &
@TheForestFamNFT.
I want our NFTs to be in the 5% that not only SURVIVE but THRIVE!