The NFT boom is so big now that many see irreplaceable tokens as an open path to the mass adoption of cryptography. But popularity hasn’t changed the confusion of many about why so much money is being spent on what they consider to be non-functional.
The community described aspects of NFT appeal, including bragging, innovative and curious appeal, investor perspectives, and artist perspectives. But as my grandmother asks: What do you eat with NFT? So is there a real use of irreplaceable tokens?
Bloomberg is working on the NFT Marketplace, where Kraken also acts as a lending platform, allowing clients to use non-fungible tokens as collateral, said exchange founder and CEO Jesse Powell. I am saying.
Powell suggests in an interview that NFT adoption is evolving to find functional uses, and loans could be a common reality case.
Phase 1 is speculation, Phase 2 is the purchase of art and support for artists, Phase 3 is the functional use of NFTs, and
The report explains that the exchange is designing a system to calculate the clearing value of each non-fungible token so that users can borrow money from them. “If we deposit CryptoPunk with Kraken, we want to be able to reflect its value in our account,” Powell said.
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Adoption of NFT is a “shocking kind”
There are numerous communities entering the crypto space for the music industry, artists, collectors, investors, athletes, actors, politicians and NFTs. From Taco Bell to Michael Jordan, everyone wants part of this explosive industry.
Powell thinks it’s a bit shocking. He states: “For the first 10 years of Bitcoin, I was trying to sell people why I was interested in Bitcoin … I think I needed the right combination of events. It’s very popular like the NBA top shot. Yes, it really attracted people. I’m talking about it. “
The founders of Kraken believe that irreplaceable tokens are becoming mainstream and will go down in history. He is not the only one with bullish feelings. Many other CEOs have expressed similar predictions in the hope that NFTs will be “snowballed” in 2022.
In 2021, total NFT sales were reported to exceed $ 12 billion, with Bored Ape Yacht Club selling $ 34.1 million for seven days and Beeple’s historic “Everydays: The First 5000 Days.” It was $ 69,346,250 ($ 38,525). ETH).
The industry is growing rapidly and Kraken is not the only one seeking to provide storage and lending services through the NFT market. 2022 can be an exciting year for Web3, as everyone wants to market and innovate. The NFT boom and its potential new features can attract many new users.
Related reading | How Michael Jordan bets on Solana’s NFTs with the new app
