Remember when NFTs sold for millions of dollars? 95% of the digital collectibles are now probably worthless.::NFTs had a huge bull run two years ago, with billions of dollars per month in trading volume, but now most have crashed to zero, a study found.
What confused the fuck outta me as someone who has been in the crypto space since 2010 is that it wasn’t new or novel in any way. Colored Coins was virtually the same thing and it flopped in a similar fashion and there were several similar projects that did the same or never made it off the ground. Then, some shitty monkey drawings come along, are backed by virtually the same thing I had seen before and suddenly people I knew from my hometown who barely had two brain cells to rub together were claiming to be financial and tech gurus while peppering “block chain” into conversation. The one thing that brings me solace is that they all lost their investments
Right, when NFT’s we’re going crazy, the pictures and shit didn’t make sense to me at all but there’s a huge opportunity for digital ownership of physical materials like cars or houses. It would make private sales/transfers easy. All title information on the house would be recorded and attached in the blockchain so when you go to sell your home, you can prove there aren’t any liens against the home and once financing has been approved, transfer the ownership on the blockchain and done. That’s where I always saw the practical application going but now nobody will take NFT’s seriously until it’s named something else and rolled out with government approval and systems in place or nobody will feel safe transferring such a large investment digitally
Don’t we already have state or local databases for stuff like houses and cars? How does the blockchain stuff add anything?
The difference is that you can’t retroactively edit the block chain, and the block chain contains all the data in it.
Databases can be edited, deleted, corrupted, poorly maintained, etc.
Think of the block chain like a permanent audit log of all transactions with it.
Edit: the NFT exists as a value in the block chain as the “point of origin”. As this value is carried forward, the blockchain will always point back to the original.
That’s why the whole pictures thing fucked it all up and we missed out on powerful tech. It could have essentially saved lives in critical machines and made PII tracking easier.