We have very little evidence to substantiate the actual quantity of real dollars in this system.
This is especially true of NFTs. With each item unique, there's no meaningful market price. There are just occasional stories about sales.
This is important. With a commodity that has an active market, prices have some meaning. You can usually sell your asset at roughly the current market price. This is not true of unique items. You have to find a buyer who wants your specific thing.
This works just like collectables on eBay. Here's a current collectable.[1]
"Rare Tag Error Retired Ty Beanie Baby Claude The Crab 1996 Collector - US $1,235.00 [ 0 bids ]" Note the "0 bids". Now keep scrolling down until something shows up with a bid.[2] "Princess diana beanie baby 1st edition 1997 w/o tag US $0.99 [ 1 bid ]" That's what a willing buyer is prepared to pay. You can scroll through page after page of Beanie Baby asking prices without seeing anything with a bid.
That's what an NFT market looks like when you want to sell.
The NFT market is useful only to those with a fan base they can monetize. If you're the fan, you're the sucker.
This is especially true of NFTs. With each item unique, there's no meaningful market price. There are just occasional stories about sales.
This is important. With a commodity that has an active market, prices have some meaning. You can usually sell your asset at roughly the current market price. This is not true of unique items. You have to find a buyer who wants your specific thing.
This works just like collectables on eBay. Here's a current collectable.[1] "Rare Tag Error Retired Ty Beanie Baby Claude The Crab 1996 Collector - US $1,235.00 [ 0 bids ]" Note the "0 bids". Now keep scrolling down until something shows up with a bid.[2] "Princess diana beanie baby 1st edition 1997 w/o tag US $0.99 [ 1 bid ]" That's what a willing buyer is prepared to pay. You can scroll through page after page of Beanie Baby asking prices without seeing anything with a bid.
That's what an NFT market looks like when you want to sell.
The NFT market is useful only to those with a fan base they can monetize. If you're the fan, you're the sucker.
[1] https://www.ebay.com/itm/194065105880
[2] https://www.ebay.com/itm/254955747357