Why Does NFT Art Have Value?
Are you interested in learning more about the newest internet craze of cryptocurrency and Bitcoin? With cryptocurrency trending in the financial market, you may want to know more about some of the innovative digital forms of currency available for the average person.
Digital artwork is becoming more and more prevalent, and NFT art could be a wise investment. To learn more about NFT art, as well as its value, keep reading below.
What Is NFT?
NFT stands for non-fungible tokens. The word “fungible” means “able to be replaced.” As such, there are no identical tokens or forms of cryptocurrency that you can exchange with an NFT.
Unlike an NFT, a bitcoin can easily be exchanged for another bitcoin currency. Upon exchange, you’ll have something of the exact same value. However, an NFT relates to digital goods that are too unique and rare to have a fixed (or exact) value, as the value can change over time.
NFT art is one-of-a-kind, and you cannot trade it for the exact same thing. If you trade NFT artwork, you will gain a completely different currency value, even if you exchanged it for another NFT digital portrait. You can purchase NFT artwork on the OpenSea platform with ETH currency.
What Are Some Examples of NFT Art?
NFT digital art examples include mashmasks and crypto artwork. While non-fungible tokens can also include music, GIFs, artificial intelligence video games, and any other digital file products (even a meme!), NFT artworks consist of a wide variety of portraits, landscapes, and more. Below is a list of some of the best NFT artwork around.
Genesis by Trevor Jones and Jose Delbo
One of the most unique examples of an NFT piece of art is a portrait of Batman, believe it or not. This piece includes two different depictions of Batman, one drawn as a pencil sketch and the other as oil on canvas.
Gucci Ghost
Banksy isn’t the only popular artist around today. Digital artist, Trevor Andrew initially drew the famous Gucci Ghost by hand, and as a GIF, this digital asset now also moves ever so slightly. This crypto art sold for $3,600 through the NFT marketplace in February 2021.
Beeple’s Everydays – The First 5000 Days
This incredible piece of NFT digital artwork encompasses many small, individual portraits mashed together to form a true masterpiece. The digital artist Mike Winkelmann, otherwise known as Beeple, sold this work of art for a whopping $69.3 million in March 2021.
Why Is NFT Art So Valuable?
An NFT piece of art is valuable because it is truly one-of-a-kind and cannot be replicated. In fact, since this is digital artwork, any replications would be considered plagiarism and fraud.
It is not much different from priceless pieces of physical artwork hanging in museums, an auction house, or art collectors’ offices. Even if you can buy prints or copies of physical art, there will only be one original and real-world Mona Lisa portrait.
NFTs are tokenized so that the original artwork can have ownership and, therefore, can be sold on the NFT marketplace. Since the originals are unique and different from other digital art forms, it gains much more value in the NFT market, where you can purchase the tokens using ethereum currency (ETH).
Wrap Up
So why does NFT art have so much value and why are NFT sales are through the roof? Why are some of these digital tokens sold for millions of dollars in the art world? Along with being one-of-a-kind, digital art is market-driven and has historical, objective, and subjective value.
The technical skills, experience, and social influence of a digital artist impact the overall value of the artwork in question.