Bitcoin surpassed the $50,000 mark in February of this year.

Tesla, the largest maker of electric vehicles (EV) on earth, revealed earlier in the month that it had purchased US$1.5 billion worth of Bitcoin and would accept Bitcoin as a form of payment.

What’s more, the credit-card giant Mastercard also offered customers cards with the option of allowing transactions related to their cryptocurrencies.

If you are already shocked by the news above, here comes something even more “exciting”.

Non-fungible tokens, NFTs, are now one of the most frequently debated topics among investors at this moment in time.

In the US, NBA Top Shot, a Blockchain-based platform on which investors can trade officially licensed NBA video highlights, has already generated $230 million in sales.

The craziest bid was placed on a LeBron James highlight, – for those unaware, an American professional basketball player for the Los Angeles Lakers of the National Basketball Association – which sold for $200,000 – FOUR times the value of one Bitcoin.

Before discussing the magic of these digital or virtual assets, let’s figure out the features of four different types of such asset first.

Imagine drawing a quadrant with an X-axis divided into tangible and intangible, a Y-axis divided into fungible and non-fungible.

On the right side, we could expect something that can be ‘touched’, something physical, and the opposite, the left side.

On the top half all the items in one category have identical value, but on the lower half, each one has its own unique value.

Then we could put some examples into this quadrant.

For the first quadrant, something that is tangible and fungible, fiat money and gold are put here.

We can “touch” these assets and there is no difference between my one dollar bill and your one dollar bill, which means that fiat money is interchangeable.

Move on to the second quadrant to the left, something that we could not really take in our hand but each has identical value – this is Bitcoin, Ethereum and various cryptocurrencies you may have heard of.

Your lone bitcoin has exactly the same value as my lone bitcoin.

Then comes our topic today, something that is non-fungible and intangible on the lower left side, such as Crypto kitties and the NBA highlights we mentioned above.

The last part is something tangible and non-fungible, such as the artwork you might find at a Christie’s and Sotheby’s auction or in The British Museum.

Take your attention back to the non-fungible tokens again.

Why are there people willing to pay so much to buy something digital, which means that you could not touch what that you have bought?

Another major drawback, and even worse – other people could, can, and would probably, DUPLICATE your artwork online anytime!

However, just as the name of this type of asset, non-fungible, suggests, which means that each item is unique, no one can actually possess the same thing as the one you already have in your hand.

This is because of Blockchain’s ability to provide proof of authenticity, and the transaction of each unique NFT would be recorded, so people could track the records on Blockchain to find out who the REAL OWNER of that specific NFT is under a decentralized structure.

From How Pleasure Works: Why we like what we like, the author told a story about how people evaluate the value of an artwork.

When people buy a painting, a sculpture or any other type of artwork, they seek an appraiser to evaluate the value of that asset and, the most important thing – its authenticity.

If later, the buyer found out that they were in possession of a fake, the value of that asset would suddenly vanish.

The true value of the artwork, or anything that human beings pursue, may not be itself, but the perception or consciousness that our society gave to that thing.

So, although normal people or sometimes even the experts, can not distinguish the difference between the real deal and a fake at times, the UNIQUENESS is the reason why someone is willing to spend big bucks on these forms of art.

And the same concept also applies to these non-fungible tokens; thus, in my own opinion, one reason at least for the “insane” behavior described in this article.

177 comments
  1. Pingback: MKsOrb
  2. Pingback: Temp EMail
  3. Pingback: Lincoln Georgis
  4. Pingback: Lincoln Georgis
  5. Pingback: MILF Porn
  6. Pingback: Cory Chase
  7. Pingback: scar serum
  8. Pingback: Click Here
  9. Pingback: Click Here
  10. Pingback: Click Here
  11. Pingback: Click Here
  12. Pingback: Click Here
  13. Pingback: Click Here
  14. Pingback: Click Here
  15. Pingback: Click Here
  16. Pingback: Click Here
  17. Pingback: Click Here
  18. Pingback: Click Here
  19. Pingback: Click Here
  20. Pingback: Click Here
  21. Pingback: Click Here
  22. Pingback: Click Here
  23. Pingback: Click Here
  24. Pingback: Click Here
  25. Pingback: Click Here
  26. Pingback: Click Here
  27. Pingback: Click Here
  28. Pingback: Click Here
  29. Pingback: Click Here
  30. Pingback: no code robotics
  31. Pingback: Space ROS
  32. Pingback: Click Here
  33. Pingback: Click Here
  34. Pingback: Click Here
  35. Pingback: Click Here
  36. Pingback: Click Here
  37. Pingback: Click Here
  38. Pingback: Click Here
  39. Pingback: Click Here
  40. Pingback: Click Here
  41. Pingback: Click Here
  42. Pingback: Click Here
  43. Pingback: Click Here
  44. Pingback: Click Here
  45. Pingback: Click Here
  46. Pingback: Click Here
  47. Pingback: Click Here
  48. Pingback: Click Here
  49. Pingback: Click Here
  50. Pingback: Click Here
  51. Pingback: Click Here
  52. Pingback: Click Here
  53. Pingback: Click Here
  54. Pingback: Click Here
  55. Pingback: Click Here
  56. Pingback: Click Here
  57. Pingback: Click Here
  58. Pingback: Click Here
  59. Pingback: Click Here
  60. Pingback: Click Here
  61. Pingback: Click Here
  62. Pingback: Click Here
  63. Pingback: Click Here
  64. Pingback: Click Here
  65. Pingback: Click Here
  66. Pingback: Click Here
  67. Pingback: Click Here
  68. Pingback: Click Here
  69. Pingback: Click Here
  70. Pingback: premium-domains
  71. Pingback: best-domains
  72. Pingback: top startup books
  73. Pingback: Google reviews
  74. Pingback: 2023 Books
  75. Pingback: cemetery location
  76. Pingback: obituary
  77. Pingback: tombstones
  78. Pingback: death redcords
  79. Pingback: IRA Empire
  80. Pingback: Chirurgie Tunisie
  81. Pingback: Private university
  82. Pingback: MBA in FUE
  83. Pingback: fue
  84. Pingback: GPA Calculation
  85. Pingback: Dental Courses
  86. Pingback: fue contact
  87. Pingback: Attendance Policy
  88. Pingback: celebrate
  89. Pingback: faculty of dental
  90. Pingback: Refereed articles
  91. Pingback: Faculty Building
  92. Pingback: Required Courses

Comments are closed.

You May Also Like

Taiwan to Impose Health Declaration Forms on All Visitors

Those failing to accurately do so face a fine of up to NT$150,000

Despite Trade War, Taiwan Raises Economic Forecast For 2020

The ongoing US-China trade war seems to be impacting everyone, except perhaps

In Taiwan, Southeast Asians Find Roots In A Bookstore

Humans often tend to create and sustain differences between each other. In

Fitness Club Shut Due To Coronavirus Fears

despite a requirement (for) self-quarantine … club member chose to visit the Yawei fitness club