This surprised me, below is an outline, and then beyond. Legit? Following up. I will remove if I find this invalid.
From DSHR Blog: https://blog.dshr.org/
I'm David Rosenthal, and this is a place to discuss the work I'm doing in Digital Preservation.
Tuesday, October 25, 2022
Non-Fungible Token Bubble Lasted 10 Months
Although the first Non-Fungible Token was minted in 2014, it wasn't until Cryptokitties bought the Ethereum blockchain to its knees in December 2017 that NFTs attracted attention. But then they were swiftly hailed as the revolutionary technology that would usher in Web 3, the Holy Grail of VCs, speculators and the major content industries because it would be a completely financialized Web. Approaching 5 years later, it is time to ask "how's it going?"
Below the fold I look at the details, but the TL;DR is "not so great"; NFTs as the basis for a financialized Web have six main problems:
Technical: the technology doesn't actually do what people think it does.
Legal: there is no legal basis for the "rights" NFTs claim to represent.
Regulatory: much of the business of creating and selling NFTs appears to violate securities law.
Marketing: the ordinary consumers who would pay for a financialized Web absolutely hate the idea.
Financial: like cryptocurrencies, the fundamental attraction of NFTs is "number go up". And much of the trading in NTFs was Making Sure "Number Go Up". But, alas "number go down", at least partly because of problem #4.
Criminal: vulnerabilities in the NFT ecosystem provide a bonanza for thieves. ....
(more at DSHR) ...
