With the decentralization scenario getting worse, will the crypto fall affect NFTs’ market capitalization?
Although Metaverse, NFTs, and cryptocurrencies serve distinct purposes, they are connected to each other by the underlying technology. Non-Fungible Tokens are a relatively new concept that is taking the digital art concept towards new fronts. Last year alone, the spending on digital assets has increased to US$41 billion from US$1 billion in 2020. But can NFTS keep up the same pace this year despite the crypto fall?
Non-fungible tokens are digital items like art, music, sports, etc that can be bought and sold using blockchain technology. Even though they are extremely volatile, NFTs are not fungible, making them a different type of asset that is valued based on their popularity and demand. Since some of them are extremely unique, they are sold for record prices in the digital ecosystem. For example, a digital photo collage by Mike Winkelmann, a South Carolina-based graphic designer, was sold for a whopping US$69.3 million. While many marketplaces sell NFTs today, Ethereum is…
