NFTs are taking over the world of cryptocurrencies
NFTs are taking over the world of cryptocurrenciesNFTs are taking over the world of cryptocurrenciesNFTNFT

Digital collectibles or NFTs (Non-Fungible Tokens) are now going mainstream – vying for the attention and imagination of crypto fans.

Case in point: Dolce & Gabbana recently unveiled a chic collection of clothing and accessories for digital avatars. And they’re all being sold as NFTs this month.

Cryptopunks, an NFT collection of 10,000 custom-created characters, sold for $1 billion. One particular NFT went for $1.23 million in a matter of hours on Saturday.

The Russian State Hermitage Museum sold $400,000 worth of NFTs. Among the six collections sold were two featuring Leonardo Da Vinci’s famous “Madonna and Child.” “Composition VI” by Wassily Kandinsky also included.

Alibaba in Japan, Rakuten in China, and FTX (the largest crypto company in the world) are the latest thriving NFT markets.

What exactly is the cause of NFT mania?

It’s hard to pinpoint the exact reason. But one thing is for sure: the overall crypto surge has created many crypto millionaires and billionaires. These are people who are firm believers in the blockchain. And their wealth allows them to bet generously on the success of the industry.

These crypto fanatics are betting that NFTs – which are largely created on the Ethereum blockchain – will lure millions of like-minded people into the crypto world.

However, the rise of NFTs underpins the thesis that Ethereum will carry the digital world on its shoulders. The term “metaverse” is a trending topic in the tech industry.

Mark Zuckerberg defines the metaverse as the 3D internet. This is where you no longer look at digital content, but immerse yourself in it.

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Recently <a href=”https://www.ft.com/content/2b985dc5-3995-4ac3-a6f6-6ec0a0893c0b” target=”_blank” rel=”noopener”>he unveiled his Metaverse plans. He promised to turn Facebook into a “Metaverse company” through virtual reality projects. He recently opened an office space in virtual reality to showcase his idea.

Metaverse is a collection of shared digital worlds. Users can move from one world to another. And take their possessions, money and digital identity with them.

If you buy a virtual space in Paris or London, you keep its value even if you go to another virtual space. No one space can have control over all the digital assets or items.

If crypto enthusiasts see things from this perspective, you can expect NFTs to flourish and spark a race to the new digital world.

The crypto ecosystem is dynamic, which means that the value of NFTs may decline in the long run. And why? Because their value is tied to digital assets. But cryptocurrencies are also rapidly evolving. And the chances of NFTs succeeding are higher than ever.