No doubt, 2021 has been a year of surging in the popularity of NFT. It’s not only developers who know about this digital tool but also thousands of artists, musicians, and other enthusiasts. While the initial NFT hype people associate with a lot of speculative chains, impulses related to self-expression are the more fundamental drivers. This is very important for the identity of art collecting. Many enthusiasts use NFT as a tool to make money on intellectual property. Let’s take a look at this in more detail.
NFT Trends — How is This Tool Different From the Standard Blockchain?
Despite the fact that this tool is often not considered a full-fledged cryptocurrency, one way or another, start-ups owners associate NFT with the Blockchain. If people choose to buy and sell digital art, then most likely they are using Ethereum. No doubt, Blockchain is about practices that combine software development (Dev), IT operations (Ops), and security (Sec). Having such advanced tools, top developers can offer applications and platforms with high-data rates and high levels of security. But what about intellectual property? Can this tool make life easier for artists, bands, and other creative teams?
While Bitcoin and Ethereum are limited, NFT that is full-grown in 2012-2017 offers much more. In 2018, Decentraland, a Bblockchain-based virtual digital product, raised $26 million. Although this project was only the beginning of the popularization of digital art. In 2019, Nike patented a system called CryptoKicks, which confirmed the investment potential of this tool. But this is not the only advantage of the NFT, which has long ceased to be a niche one. Many programmers who implement Artificial Intelligence are interested in popularizing digital art.
AI Investing & Prospects for NFTs
Digitalization and AI are two pillars of today’s marketing. Using innovative tools, owners of top brands whose management is based on real and current data will not only be able to minimize risks but also improve the monitoring. In such an environment, data security is critical. So, programmers have to constantly innovate. Using AI is the best way to speed up processes and keep data processing secure. This is an impeccable fact that any experienced marketer will confirm.
No less relevant is the protection of intellectual property rights. So, starters are increasingly using NFT. Such non-fungible tokens change the basic processes for selling works of art. A good example is the work of the artist Beeple “The First 5000 Days”. It was bought at Christie’s auction for $69 million. The same goes for the development of computer games.
Hardly anyone would deny that investing in digitalization and AI systems pay off. NFT tokens have a huge impetus for the development of GameFi (Game Finance). If you read some reviews on the forums, make sure that users told how they earn thousands of dollars by buying and selling digital products. Although this does not mean that everyone will be lucky. Novice investors must be especially meticulous so as not to lose funds. Analyzing, understanding the project budgets, and control of all financial and accounting processes can help increase revenues.
Property Rights & Regulatory Law
As with other cryptocurrencies, NFT trading can be carried out on a speculative basis. Typically, by using Contracts for Difference (CFDs). This process involves buying or selling coins based on price fluctuations. If we are talking about NFTs, the law does not regulate the trading of such coins in any way. It does not legally combine the purchase of digital art with obtaining intellectual property rights. In addition, unlike coins, art has no zero or face value. So, people who decide to invest in NFTs should pay attention to the security of NFT payments. The introduction of protection systems based on Artificial Intelligence will help ensure the safety of money in wallets.
Over the past 5-10 years, cryptocurrency trading has undergone great changes. A good example is ICOs, which started booming in 2017. Despite the perspective, thousands of investors lost their fortune on this because of scammers and unpromising projects. Litecoin founder Charlie Lee believes that the sudden surge in NFT trading activity could also be a cause for disappointment. Of course, some digital products do not arouse any interest from the community, and investment in such projects turns out to be a failure. But this does not mean that there are no people who make a fortune with NFT tools. If enthusiasts create products that are culturally valuable to society, they will make a lot of money. In this case, Artificial Intelligence is useful.
About the Author
David Walker economic writer and content creator. Strives to meet your requirements within your given deadline. David have acquired over ten years of work experience in finance and investing. Now he working for the company ICOholder.