The blockchain of the Ethereum digital currency is often used in NFT So it’s no wonder why the demand for Ethereum is continuously increasing.
In the meantime, however, there are more or less interesting investment opportunities with reference to NFT technology on the stock exchange. I once filtered out three potential opportunities to earn money from this boom. These are Coinbase, Nvidia and Funko.
The growing non-fungible token market
Appearing in the contemporary art market around 2016-2017, boosted by the arrival of the ethereum blockchain, NFTs have experienced a leap in recent months, especially in the world of sports and crypto-art. According to a study conducted by the specialized site nonfungible.com, the amount of exchanges reached 250 million dollars in 2020, against 63 million in 2019. In the first five months of 2021, non-fungible tokens generated more than $ 2.5 billion in transactions.
May 2021 was marked by a dramatic collapse in NFT investments. The week of May 3, 2021 marked a peak, with transaction volume reaching $ 176 million according to nonfungible.com. By the end of May 2021, that volume was down to just $ 12 million, a drop of 93%. The number of NFT’s digital wallets increased from 20,323 in the week of March 15, 2021 to 10,899 in the week of May 31, 2021.
Despite the bubble bursting in the spring, digital works certified by the blockchain still have a bright future ahead: the volumes of digital tokens trading increased tenfold between July and August 2021. The OpenSea platform, which captures 98% of the market recorded nearly $ 2 billion in transactions in August 2021 alone. The previous monthly record was in March, with “only” $ 148 million. The industry has grown dramatically since the start of the year: in January 2021, OpenSea traded in just $ 8 million.
NFT boom and stocks that could benefit fromCoinbase stock
The first stock that could benefit from an NFT boom is Coinbase. The company recently went public and is a leading trading platform for cryptocurrencies. Ethereum is the second largest trading currency on Coinbase. If the demand for Ethereum increases, Coinbase, as a leading trading company, could also benefit from it.
2 Nvidia share
The second stock that could benefit from the NFT boom is graphics chip maker Nvidia. The company, based in Santa Clara, California, is considered one of the inventors of the 3D accelerator process (GPU).
These graphics processors were first used, especially in game consoles and computers with high computing requirements. However, new areas of application are always emerging. Processors are now also becoming indispensable for applications in artificial intelligence and autonomous driving.
Even when mining digital currencies, as is also the case with Ethereum, you can no longer get by without graphics processors. If the demand for Ethereum increases, a company like Nvidia could also benefit from it.
3 Funko share
The third stock that could benefit from an NFT boom is Funko. The company will be unknown to many fools. With a market capitalization of just under one billion US dollars (as of April 20, 2021), Funko is no longer a small fish either.
The company is a leading manufacturer of pop culture consumer goods products. Only recently (April 1st, 2021) it announced its entry into the NFT market through a majority stake in the company TokenWave. This is a leading app developer that enables NFTs to be displayed and tracked.
Funko would like to expand its own pop culture platform with digital assets, which in turn are to be offered as NFT for a price starting at 9.99 US dollars. How well these digital products can be sold remains to be seen for the time being.
NFTs are relatively new and promise advantages for users. That is probably also the reason why the topic is met with open ears.
Due to Corona isolation, a trend is currently picking up speed twice, which could make early investors as happy as the first Netflix investors: gaming.
Netflix has already prepared its shareholders for this development “We are competing with this disruptive trend … and we will probably lose it …!”. This company is a top gaming recommendation in the eyes of our analysts and could dethrone Netflix as the king of next-gen entertainment. In our report we would like to give you all the details about this top recommendation.
A Non-Fungible Token, or NFT stocks, is a unique 100% virtual token (or a digital version of something that exists in the real world) that is issued on the blockchain, mostly Ethereum, and directly transferable between two people. .
An NFT is different from traditional cryptocurrencies like Bitcoin or Ether. Cryptocurrencies are indeed fungible, that is to say, interchangeable: 1 Bitcoin is worth 1 other Bitcoin, while an NFT is not fungible.
It is therefore a unique asset that cannot be replaced by something else: 1 NFT is not worth 1 other NFT. A non-fungible token indeed has unique properties and shows certain proofs of authenticity and signatures such as a unique identifier, a unique creator or even content.
As the popularity of non-fungible tokens (NFTs) explodes, many regulators are looking to frame this trendy new asset. Recently, the deputy Pierre Person tabled an amendment to the finance bill for 2022 in order to clarify the taxation applied to NFTs.
But what exactly is an NFT anyway? How to take advantage of it? What are the risks associated with investing in NFTs? We tell you everything in this article!
NFTs, digital assets with authenticity guaranteed by the blockchain
In March 2021, a digital collage by artist Beeple, titled Everydays: The First 5.000 Days, sold for $ 69.3 million (nearly € 60 million) at Christie’s. His particuliarity? This is an NFT, or Non-Fungible Token, which is translated into French as “token non fungible”, that is to say a digital asset engraved in the blockchain.
The adjective “fungible” refers to a good or an asset that can be exchanged for a good or another asset of the same value. A euro coin is fungible because it can be exchanged for another euro coin. The same is true for a bitcoin, which is equivalent to another bitcoin. Conversely, each non-fungible token is unique and cannot be duplicated.
An NFT therefore guarantees exclusive ownership of a digital asset, whether it is an image, a video or even a tweet (the NFT of the very first tweet of Jack Dorsey, founder of the social network, sold for nearly $ 3 million). While this digital object available on the internet can be seen by anyone, recorded on a computer or a phone, it really only belongs to one person thanks to the certificate of authenticity attributed by the blockchain which gives it its uniqueness. The uniqueness of the digital file allows its market value to fluctuate. Therefore, it may be interesting to invest in this new market in the hope of realizing a capital gain on resale.