Footballer Mesut Özil earned thousands, even millions of dollars by selling the crampons and jersey designs of the future, YouTuber Logan Paul Pokemon cards, Elon Musk’s wife Grimes music videos with NFT. So what is this NFT, how does it work, what does it do? We explained the digital assets of the future for you.
In return for valuable items sold at auctions, buyers get a “physical asset”, that is, the work itself. So what if we held the auction online and the tables were digital? Can’t someone else copy these tables, sounds, files and sell them elsewhere? More importantly, people in the internet where everything is copied Are they crazy enough to spend money on an asset? Providing all this What is NFT?
They’re not crazy because NFT there is. A digital asset thanks to the blockchain technology, which is also the basis of cryptocurrencies. -just like in real life- can be protected. The asset in question is encrypted so that it belongs only to its owner.
Briefly What is NFT?
Opening “Non-Fungible Token” There is no official Turkish equivalent of NFT, but we “Non-exchangeable money” We can translate in the form. But the word ‘money’ here can be any asset that is valuable to humans. A work of art, a tweet, a video, the web page with these lines you read, the images in it, the comments you made, the last story you posted on Instagram… When the appropriate conditions are provided, everything in the digital environment can be an NFT.
NFTs are collectible items in the real world. reflections in the digital world It is also defined as. One of the most popular examples in this regard is football player cards, which were popular in the 90s. If player cards were still popular today, probably Christiano Ronaldo’s or Mesut Özil’s card would be more valuable than the packs. We can think of NFTs as a digital version of these cards that cannot be copied.
On the other hand, we see that NFTs have already been used in the digital art world for a while. This technological approach, which will bring a radical solution to the copyright crises of cartoonists, has also recently been published by Uykusuz magazine. was accepted.
How does NFT work?
Today, many NFTs, Ethereum It is part of the blockchain. Other cryptocurrency developers can also build their own NFTs on the same network. However, NFTs are different from cryptocurrencies as in the Ethereum example. Different information needs to be processed and encrypted. Cryptocurrencies can be produced by mining methods, but NFTs cannot be produced or exchanged.
So, is it a crime to share this video, which is sold for 50 million TL, on the internet?
- The artist who produces crypto artwork: Beeple
- Value: $ 6.6 million (50 million TL)
No it is not. Download and copy a digital asset encrypted with NFT as you wish, you won’t commit a crime. Just as those who print and sell famous paintings on glossy paper do not commit a crime, you are also not guilty. Because the people who download, print, sell and buy the copy from the internet accepting that the work is a copy they are doing this.
Thanks to NFTs, a work that has been copied millions of times only one person has can happen. If this work is marketed as if it is original, and people are attempted to be defrauded, here is where the law comes into play and a crime can be proven.
What can be sold with NFTs, here are a few recent examples:
The following digital artifact was sold for 66 million dollars (approximately 500 million TL):
This work of digital artist Beeple includes all the work he has done until the date he published the work. Beeple, who has been sharing an artwork on his Instagram account every day for more than five years, is among the pioneers in the adoption and spread of NFT technology.
Mesut Özil’s “future football boots and jersey” designs were sold thanks to NFT:
Mesut Özil, who has recently been transferred to Fenerbahçe, is also closely interested in NFTs. Even Mesu Özil signed a contract with Genies Wearable and digital artist Bosslogic, who designed Marvel movie posters. “Mesut Özil Next Chapter Boots ve The Kit” The collection was auctioned off in February 2021 on a platform called NiftyGateWay. Shoe $ 1,886, if form $ 2,525 it belongs to the new owner.
Of course, the new owner of the shoes and jersey cannot wear these designs in real life and play football. However, the sale is a good example of how NFTs are valued. If you are a world famous football player, you can sign with a world famous digital artist; You can encrypt the designed works as NFT in the Ethereum infrastructure and sell them on the internet. As you can see from the sales page here Mesut Özil’s collection it now belongs to another person. In the future, any company or person will be able to buy and sell Ozil’s digital crampons and jersey on their behalf.
Someone paid $ 3,600 to the following ghost:
Yes, it might sound a little silly to most of us. But this ghost drawing with Gucci logos on it was bought for $ 3,600 by a user named Danny on the auction platform NiftyGateWay. Purchased. Created by a digital artist named Trewor Andrew, the GIF was sold by its owner, Danny, for $ 16,300 on the same platform.
YouTuber Logan Paul sells his own Pokemon cards with NFT:
The card above costs $ 38,500 found a buyer. Yes, one of the most famous YouTubers in the world is selling a digital Pokemon cards with him, which again sounds absurd. We can take it as an example showing that NFTs have no boundaries. After all, even if the intermediary changes, everything that has a buyer can be traded 🙂
Elon Musk’s wife Grimes earned $ 6 million in revenue by selling her works in this way:
The works of Grimes, a musician, were auctioned over the Nifty Gateway. The same person, who paid $ 6.6 million for the 10-second video above, paid 380 thousand dollars to just one video of Grimes and became the new owner. Grimes, on the other hand, sold the entire 10-piece collection of various videos and images, earning $ 6 million in revenue. Grimes sold Mars and world his videos are among the most remarkable works in the collection.
The future of digital assets that are accessible by all but belong to a single person:
You can examine the Mona Lisa painting to the cracks of paint on the internet today, but the painting has only one owner: France. There were also people who copied works such as Mona Lisa with long works and sold them as if they were original. Even Mona LisaInstitutions with experts who reflect on the authenticity of one of his works, such as the Louvre, where is currently on display, also faced this problem.
By Tuğçe İçözü from Webrazzi according to the news Knoedler, an art gallery in New York, bought over 60 fake artworks in the late 90’s. Gallery operators, who paid 750 thousand dollars to one of these works at that time, Selling for 5.5 million dollars made a terrible profit. For example, when it comes to art and money, it is certain that we cannot end by counting examples of fraud.
We explained it through works of art, but as we mentioned in the introduction of the article, every digital asset with suitable conditions, every digital work, Every activity on the internet can actually be an NFT. Of course, it will be the uniqueness, uniqueness, and awareness of the NFT in question that will determine the value it will receive in return. After all, the Mona Lisa was not produced by an ordinary person, the first tweet posted on Twitter was very important in terms of internet history.
We look forward to your feedback on NFTs and blockchain technology for comments 🙂