tl;dr: the pieces of the puzzle fueling the Non-Fungible Token boom.
I saw this excellent chart in a newsletter from Messari Research.
I think it does a wonderful job of breaking the NFT segment into its various components.
The so-called “Layer 3” of this stack is where the big action is, because that’s where anyone like you or I can go and create our own NFTs for whatever purpose we want.
In response to the WSJ article on Top Shot, one blog reader said that “NFTs work because people are bored.”
That may be the case, but that shows a lack of understanding of what NFTs represent.
Sure, you can get the same video on YouTube of a LeBron James dunk as you can on Top Shot, but the NFT version is kind of like an autograph.
There’s just another element to the clip that doesn’t exist in the YouTube version (ignoring the fact that YouTube could decide to prevent you from accessing their servers, whereas you are the clear, undisputed owner of the clip in its NFT format).
In today’s world, this distinction may seem silly, but if you think about the concept of the Metaverse or seen the movie Ready Player One, these digital items with provable ownership will be of increasing importance….and value.
