balajis.eth
8mo
NFTs have evolved into at least four categories.
First, there are name NFTs like yourname.eth. These are the easiest to understand because they are just like domain names or usernames.
Next, there are profile NFTs like Bored Ape. These have value because they are like club memberships, and people make them part of their public identity.
Next, there are Zora-style content coins like horse (see reply), which update the art NFT model by setting up a market for every Instagram-style post. Buyers buy these coins to show appreciation for the creator, to speculate on how much more popular a given post will get, and sometimes to show (via onchain timestamps) that they’re early to spotting new talent.
Finally, there are micro-NFTs that just represent onchain data, akin to “typed likes”. Many social actions are now cheap enough to record onchain.
The innovation of @zora style content coins over 1-of-1 art NFTs is simply that there is always a buyer, at *some* price, for a content coin. Because they have Uniswap as the buyer.
Whereas art NFTs are much more illiquid — so you can buy, but it’s harder to sell.
Moreover there can be as many buyers of a Zora-style content coin on a post as there are viewers.
[1]: Horse is a viral mint by @jacob that illustrates what Zora could be. A monetized Instagram.
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“There’s always a buyer” key point, for 3 years NFTs have tried to implement some form of this. Zora’s flawless execution of this model should be studied
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Zora’s ERC20 contentcoins currently have good liquidity, but the question is whether they can still be considered NFTs.
I think their earlier ERC20z model, which allowed tokens and NFTs to be swapped, was a more direct solution to NFT liquidity. Moreover, Sudoswap has explored similar ideas, and Blur improved liquidity by encouraging offers.
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You're missing the most traded type of NFTs, tokenized physical collectibles on platforms like Courtyard.io.
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Nit, but Zora style content coins aren’t NFTs as they’re explicitly fungible. Horse is an ERC-20 that is associated with a piece of media. Or to say it the other way, it’s a piece of media tokenized as an ERC-20
Does this matter to a layperson? Probably not!
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I agree with this take
NFTs stand for non-fungible tokens. Its a crime to say fungible tokens are NFTs
Fifth there are media NFTs like /alexandria and /tortoise where people can build their digital bookshelves and vinyl collections
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NFTs are the most underrated tech in crypto imo. The overfinancialization of NFTs stalled its innovation. Tokens-as-an-index is a (over)simplified explanation of how to look at it. I see future of NFTs as qualitative force to blockchains. Focus has currently been on the network improvements - next stages of innovation will include NFTs enriching wallets and accounts with attributes and depth - enabling more personalized experiences.
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I worked in web3 gaming for a bit 🙂 The challenge with assets in NFTs is that its really hard to make interoperable. Balancing game economies is already hard enough - balancing a global supply with no control is hard for many games.
With no operability, its just a very expensive game asset with high overhead 😔
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Are social actions by bots worthy enough to be coined on @zora for generating some side revenue?
or is this something always tied to the social image of the creator?
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strongly suggest artists 100x the micro use
zora type coins lock you to a platform, use it as distro and don't take it seriously
profile NFTs are largely untapped imo. think brands like doodles are much higher EV than BAYC. until i see a major political party run by someone using one of these as a pfp i think there's a tonne of potential cc: @lambchop wen PFP collection
name NFTs are lowkey the most centralised thing in crypto last I checked but they are fun
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yup it is over hyped
can poke holes in most of the ideas presented here. like what is an "instagram style post"
ppl post heaps of different stuff on every platform
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How about NFTs representing every single non-fungible financial asset or physical asset? On-chain and real world tokenized assets.
Basic example is every single Uniswap v3 and v4 LP position.
Other real world asset example are the collectible cards on Courtyard or the wine via digital corks on Club dVIN
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