Something big transpired in the last 48 hours. Saturday was one of the biggest liquidation periods in the history of Bitcoin. To quantify what I just stated, the market lost over $300 billion in under 24 hours. Now, I didn't tell you this is a sign to panic sell. But instead, see it as an opportunity to take advantage of the SALE, like the rest of the SMART money is doing. BUY THE DIP!
Last week we completed the Bitcoin jigsaw puzzle. This week we'll talk about something called an NFT and highlight one of the top NFT projects with a huge potential upside for 2021.
Before you start going on a buying frenzy and get deeper into crypto and blockchain, it's essential to distinguish between coins and tokens. Any cryptocurrency with its own blockchain is referred to as a coin – the most common example would be Bitcoin. Digital coins are designed to operate in the same fashion as a real-life physical coin or payment currency. On the other hand, tokens are cryptocurrencies that don't have their own blockchain network but live on another blockchain. These tokens represent a digital asset. Again, if a cryptocurrency has a blockchain, it's a coin (like Bitcoin Blockchain); If it doesn't, then it's a token.
There are different types of tokens that are currently available. Some of the most common are security tokens, utility tokens, asset tokens, and non-fungible tokens, to name a few. Today, let's focus on non-fungible tokens, better known as 'NFT's. To start, "Non-fungible" basically means something that cannot be replaced or exchanged with anything else of equal value. They are one-of-a-kind digital representations of tangible and intangible items, digital works, or other collectables (art, music, virtual real estate, digital sneakers…). An NFT is a unique "tokenized" digital asset, verifiable through a digital certificate of ownership that can be bought, sold, or traded on the blockchain (but it's not a copyright or trademark of that item).
One of the hottest NFT projects out right now is called NBA Top Shot- a blockchain-based platform where you can buy, sell or trade NBA "cards." But these "cards" don't come with player photos or stats. Instead, they are "Moments"- digital NBA video highlights. It's a mashup between the "future of sports trading cards" and "principles of crypto." Pretty cool, right? These packs are so hot that they are currently sold out on the website. BUT good news, you can still purchase NEW releases! (Click here to check when packs go on sale). Alternatively, you can go straight to the NBA Top Shot marketplace to collect, buy, trade or (re)sell past NBA Top Shot releases.
These "Moments" are valued anywhere from $10 (3 “moments” in a pack) to up to a quarter of a million dollars. Take a look at this collectors highlight video of Ja Morant dunking over Aron Baynes that is going for $240,000 (on Nov 30th, 2020, this NFT went for $2,200) on the open market. And since your still early to the NFT space, just consider the worth of your investment down the line.
Click on the tweet below for an example of what an NBA Top Shot ‘moment’ looks like.
I read something the other day that said, "If you can think it, you can mint it," and it has stuck with me ever since. What's stopping us from making things like short stories, recipes, or TV pilots into NFT's? Nothing!
As we forge ahead into this new digital world, we are only as limited as our imagination – it's genuinely fascinating. For the rest of this week, why don't you let your brain wonder about all the things you can turn into an NFT.
Until we meet again
Have a great week and stay curious
Zo
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