Unsurprisingly, 95% of NFTs Are Found To Be Worthless
Jakob Aylesbury / 5 months ago
The internet has come up with many stupid things in its recent history and one of those things is NFTs in the form of “art”. For some reason, people thought that purchasing a silly monkey.png for several thousands of pounds would be a good investment despite the fact that nobody cares that you own a .PNG that I can just screenshot. Naturally, this has led to people losing a lot of money as most of these PNGs have turned out to be worthless.
95% of NFTs Found To Be Worthless
As reported by Crypto.news (Via investing.com), almost 70,000 NFT collections have no market value, specifically 69,795 out of 73,257 NFT collections have a market cap of 0 ETH. This information was shared by dappGambl who investigated the “Problem” with data from NFT Scan. The article shares some statistics about NFT prices with 41% being priced between $5 and $100 which is quite different from the huge sales figures during the boom of NFTs especially as less than 1% of them exceed $6000. NFTs also have a much higher supply than demand as 79% of all collections have remained unsold with buyers having more control in the market and most of the NFTs that “lack clear use cases, compelling narratives, or genuine artistic value” are not being sold, there is no artistic value in those ugly monkeys.
All of this is very unsurprising as NFTs in the form of “ART”, at least to sane people, have always been a stupid idea especially considering anyone who has a funny monkey profile picture on Twitter gets instantly flamed and screenshotted just to prove a point. Owning a digital image is very different to owning the original Mona Lisa, I can’t just screenshot the Mona Lisa and claim its mine however I can screenshot a PNG and the average bloke is none the wiser.
It is also worth mentioning how bad NFTs are for the environment with dappGambl claiming that the 195,699 NFT collections with no owner or market share have used enough energy to create the carbon footprint equivalent of 4061 passengers flying from London to Wellington in New Zealand, all of that for what amounts to nothing beneficial for society.
Whilst NFT meme.jpgs are stupid, there have been some real use cases for NFTSs shared that include preserving cultural heritage, gaming, token-gated access, fractional ownership, real estate and digital identity. We’ll have to wait and see how all of this affects our future
If you spent lots of money on an NFT that is now worthless, it’s back to McDonald’s for you.