NFTs are referred to as non-fungible tokens and they are becoming popularly known. However their value leaves something to be desired.Despite this hype, making investments in NFTs would seem to be rather bizarre. Such digital assets associated with digital artwork or collectible are not based in any real economic worth and are generally dependent upon speculative demand.

The environmental effect of NFTs poses a significant challenge. Many of which are constructed upon blockchains using power-consuming processes that greatly increase environmental impact. Such an approach is contrary to what many seek as “sustainable” in the digital age.

The NFT market is also very unstable and one can only equate it to a speculative bubble as opposed to a viable investment. This day will prices escalate while it will crash on the next creating a trend-based environment for the investors at any time.

This brings up issues regarding ownership and authenticity since they are all digital in nature.Although this allows for tracing of provenance, it does not necessarily provide with true ownership rights. Digital copying and distribution of digital files, even if the NFT remains with the first owner, erodes the exclusivity which is inextricably attached to the essence of genuine possession.

Finally, the mania over NFTs today might just turn out to be nothing more than a passing fad with no staying power as an investment. With no inherent value, poor eco-credentials, volatile markets, and shaky claims to property; it is hardly surprising that many see NFT’s as questionable investment choices!