The market share grew by 1785% in the 1st quarter, when does NFT spring?

From 2020, the market for various types of art in primary and secondary industries will be very hot. According to the data, from January to March 2021, the market value of NFTs increased by 1785% and sales in the first quarter exceeded $ 2 billion, 20 times more than in the last quarter. How does NFT work, will it improve in the future, and what is the capacity of NFT?

The NFT stock market has been hot recently.The paintings by American artist Mike Winkelman (nicknamed "Beeple") "Everyday - The First 5,000 Days" have sold for almost $ 70 million. Indian cryptocurrency exchange WazirX has announced that it has created the NFT industry for Indian artists and producers. The reporter was impressed that the NFT mansion opened in May with the support of the Central Academy of Fine Arts of China.

NFT stands for Non-Fungible Token and is called “Non-Fungible Token” in Chinese.It is indivisible, irreplaceable and unique. Based on the use of blockchain technology, NFTs can prove their originality and belonging, each with a unique and unique identifier, and very difficult to steal. Therefore, NFTs that use graphic design as a type of representation are particularly attracted to the market.

NFTs are smart contracts that represent digital assets and are built on self-regulating, collaborative, peer-to-peer business trust.

Pan Helin, Director and Professor, Digital Economy Institute, Zhongnan University of Economics and Law

Currently, the improvement of the NFT can be considered a success. From digital homes to painted music to competitive game collections, it seems like anything could be NFT.Data shows that in the first quarter of 2021, the market value of NFTs increased by 1785%, and first quarter revenue topped $ 2 billion, a 20-fold increase from the previous month.Growth slowed in April, but remains better than before 2021. Data published in the newspapers shows that organizations and individuals continue to enter the market.

“Openness and transparency of export time, distribution mode, exchange rate and even the artwork itself will help make it more efficient without distribution limit and make it a priority for digital photography. »

Li Zhen, Founder and CEO of CRYPTOYC Investment Company

Li Zhen said that there is no doubt about the prospects and importance of NFT, but said that the current NFT industry has a small number of start-ups, optimistic, broad, and still at the very beginning .

Journalists studied it.The distribution of NFTs has come a long way with popular games, and their culture is similar.For example, NFT artwork and FM Gallery, a competitive gaming platform, have multiple distributions.

One is in the form of a blind box, where users can open the blind box to randomly write NFT operations of famous artists, etc. The guy who focuses on art uses blockchain technology to divide art into several pieces. . The data is linked to its own NFT and has its own background.

Peng Feiming, founder and CEO of FM Gallery, thinks:Graphic design always poses many problems that artists, theaters, retailers, etc. solve, and NFTs act as a bridge connecting the real world to the real world.The current trend of invisible boxes and on-time sales has been further accentuated with the presence of competitive games and graphics. FM Gallery hopes to support the growth of the industry by interpreting the artwork in a new way from the blind box shape and graphic design. .

Pan Helin believes that from a business perspective, NFTs are the building blocks and the relationship between members is real.Especially in a time of the explosion of Internet virtual goods, the ownership of virtual objects cannot be defined, and NFTs provide a way to promote the Internet from the point of view of virtual goods. Create valuable assets for the business itself. When the right tools are clearly visible, artificial design and innovation will be stronger, and when the right tools can be altered in certain ways and guaranteed not to be released and used, changes in people's lives will occur. 'will improve. However, Pan Helin points out that there is a lot of revival behind NFT, which is not inspired by technology but similar to the cryptocurrency hype. “Using NFTs for token advertising, for example, is real fundraising. But we also need to support the NFT technology itself. "

Virtual property rights for virtual objects were not resolved immediately due to NFT mode and issues persist.Cao Jianfeng, senior researcher at Tencent Research Institute, pointed out that NFT solves the problem of property creation, current ownership and assets, connects to the real and virtual world, and provides additional real-time features such as offline tools.However, NFTs also present problems that cannot be ignored. First, NFT-guided digital devices can be hacked and tampered with.In this case, some platforms have recognized and acknowledged the author to avoid any risk.Second, it is sometimes difficult to know whether buyers of NFT can acquire the intellectual property when purchasing NFT, and the type of inheritance they acquire.Faults can arise when NFT customers use NFTs to display, design devices, etc.The third is that the digital products introduced by NFTs are generally kept out of the chain, and who has to store and manage content interference to prevent it from being taken offline or deleted.

"CryptoKitties have been very popular in recent years and now few people care about them." Economist Liu Fang (pseudonym) believes that the value of cryptocurrencies has changed drastically and new blockchain applications are emerging one after another. conclude.

What is the spring of the NFT? On the other hand, it depends on the value of the NFT itself, and answers shared by business ecosystem stakeholders are also needed.The Japan Crypto Asset Management Company conducted an NFT market study on risk and risk management. At the end of April this year, the Japan Crypto Asset Business Association prepared the NFT industry standard to control sales and marketing, promote the success of the NFT industry, and provide customers with safe and secure equipment. We are a leader in the industry and promote quality growth.

Pan and Lin believe that eventually blockchain will connect all virtual and physical organizations in our world, allowing these organizations to share triangle-free peer-to-peer activities. However, technological advances must be incremental.