The rise of crypto popularity and mainstream adoption of altcoins (coins other than bitcoin) is large due to NFT sales, according to Cuy Sheffield who heads up Visa’s crypto department.
Non-fungible tokens provide a new way for for lovers of art, music, sports or culture to buy unique art or cultural references from their favourite artists and also ensure these fans join the cryptocurrency industry.
The market doors are being thrown open to far more people with wide-reaching interests thanks to the flexibility and unique quality of each NFT. People who previously had no interest in cyrpto because they were busy being interested in music, art, culture, and sports are now entering the cryptocurrency market. Internet culture and meme jokes are now able to be literally valued by the online crowd, with meme coins like Dogecoin and Shiba Inu garnering society’s attention and bringing even more participants into the digital asset space.
NFTs Raised The Popularity of The Crypto Industry
During a recent panel discussion at the Singapore Fintech Festival, Cuy Sheffield – a top executive at Visa and head of the crypto department of the company – said non-fungible tokens had lured new people on the crypto bandwagon.
Before NFTs, the digital asset space was attractive mainly to individuals interested in finance, stock trading or physical commodities like gold, he opined, but now fans of the the most popular genres of interest such as music, culture, sports, and art are also keen on the asset class.
“Crypto is becoming cultural, it’s becoming cool. It used to be that if you were investing in crypto, you were kind of weird.”
Another factor that increased the global popularity of cryptocurrencies has been the rise of the meme coins such as Dogecoin (DOGE) and Shiba Inu (SHIB). That is what Yusho Liu – Co-Founder of the cryptocurrency exchange Coinhako – claimed during the same panel discussion.
In his turn, Kevin Lim – Director at Singapore’s investment firm Temasek – said the “huge demand” towards those tokens is mainly driven by the people’s will to speculate and to make “meaningful money.”
This is in part due to historically low interest rates, stalling wage growth and skyrocketing housing expenses has devalued the traditional method of socking savings away in a bank and relying on compound interest to grow your wealth. Now there is a new generation of people joining the crypto space to speculate on a highly volatile market and who are no longer interested by 4% gains.
Speculative or not, Shiba Inu has been the top performer in the cryptocurrency market this year. Recently, the giant movie theater chain AMC Theaters revealed it might add the popular meme coin to its list of digital asset payment options after Adam Aron – the company’s CEO – ran a poll on Twitter about whether to make such a move. 81.4% of the participants answered: “Yes, Shiba Inu for Sure.”
NFTs for All Types of Fans
This year, the NFT craze has gone through the roof as many celebrities, musicians, actors, and sports clubs joined the trend by launching their digital collections.
The 15-time Grammy award winner Marshall Bruce Mathers III – better known as Eminem – partnered with Nifty Gateway to release a digital set, dubbed Shady Con.
Movie fans also had their chance to join the non-fungible token craze. Recently, one of the greatest film directors of all time – Quentin Tarantino – launched a digital collection with seven “secret NFTs” featuring uncut Pulp Fiction scenes.
Given the popularity of this new craze, and the lucrative nature and relatively low barrier to entry, many soccer clubs released non-fungible token collections for their supporters. A recent example is FC Barcelona, which decided to depict iconic events from its history, such as displaying the record 75 trophies it has won in Spain and the 5 UEFA Champions League titles.
Not only are there new digital currencies being minted all the time now, there are new digital marketplaces opening up as well. The American entertainment company, primarily known for professional wrestling – WWE – has gone one step further than just selling WWE-related NFTs to their fans, the are creating an entire NFT marketplace. There, the organization promised to capture emblematic moments from grand events like Wrestlemania and SummerSlam on a much more eco-friendly blockchain than the electricity-hungry ETH network.
While it is unclear whether the millions of NFTs being bought and sold in 2021 will manage to retain or increase their value over the long run, it is clear that this is a trend that is not going to disappear any time soon.
Via this site