Tag Archives: nft

News, Tech, web3

Curious Kids: what are NFTs – and why are they so expensive?

What is the purpose of making NFTs and what makes some of them so costly? – Tanvi, aged 16, Delhi, India

An NFT is a technology that proves who the owner of a digital object is. This digital object could be a song, a picture, a video, a tweet – or even a piece of digital land in an online game or virtual world. Recently, pieces of digital land in a forthcoming virtual world called Otherside sold for nearly US$6,000 (£4,791) each. What’s more, people were so keen to buy them that they also paid thousands of dollars in transaction fees.

NFT stands for non-fungible token. If something is non-fungible, this means that it cannot be replaced or exchanged for something of identical value. An example of something fungible is a current coin, such as a one pound coin, because this can be exchanged for another pound coin. It doesn’t matter which of the coins you have – you still have £1.

Something like a painting, though, is non-fungible. That particular painting only exists once. If you bought a painting, you could take that painting and hang it up in your bedroom. It would be yours – no one else would own that exact painting.

Owning something is more tricky for digital objects, because they can be copied. For instance, if you find a picture online that you like, you can right-click it, save it in your computer, and use it as a background if you want. This is where NFTs come in.

If you bought an NFT of a digital painting from the person who made it, a record of your purchase is kept in the blockchain. The blockchain is a giant database maintained by many people in their computers, and it is almost impossible to alter. Once the blockchain keeps a record of a transaction, it’s there forever. Everyone can see that you bought the NFT – and it proves that you are the only owner of the digital painting.

High values

Some digital objects have been bought for large sums of money. For instance, in 2021, the first tweet ever sent was sold for almost US$3 million. But why would someone pay so much money for an NFT?

First of all, most NFTs actually have a low price. We just only get to hear about them whenever there has been a record sale. It is the same with physical art. We hear about it when someone paid millions for a painting by a famous artist like Picasso, and never about all the paintings sold for much less.

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Like physical things, the value of digital art or other digital objects depends on how much someone is willing to pay for it – and that can come down to a lot of factors.

The person buying it might think it is very beautiful or important, and so is happy to pay a lot of money for it. The person who bought the first tweet, businessman Sina Estavi, wrote about it on Twitter, saying, “This is not just a tweet! I think years later people will realise the true value of this tweet, like the Mona Lisa painting”.

The Mona Lisa, a painting by the Renaissance artist Leonardo da Vinci, is one of the most famous pieces of art in the world. It hangs in the Louvre gallery in Paris, and millions of people go to see it each year.

As well as the fact that the first tweet is unique and historical, buying it is also a matter of status. Only one person in the world can say that they own the first tweet ever sent.

In a bubble

Another reason NFTs might be so expensive is because of something economists call a bubble. We say that there is a bubble in a market when investors buy things with the main prospect of selling them shortly afterwards at a higher price. This pushes the price up.

Bubbles tend to occur whenever new technology appears. Plenty of investors come with their money after hearing about the astronomical price of a new technology, or about celebrities buying them. They buy them without fully understanding them, just attracted by the money they might be able to make by selling them on. Some people think this is what is happening with NFTs.

This is not to say that NFTs have no value: it is to say that some of the people buying them are doing so solely to obtain a profit, not because they are interested in owning an image.

Another reason NFTs might be so expensive is because of the potential they have to link with the metaverse. The metaverse is a virtual universe in which people would be represented by avatars and own digital space, like the digital land sold in the Otherside virtual world.

In the future, NFTs could be displayed in this digital space, in the same way we might hang a painting up in a physical house. It will probably also be possible to convert some of them into unique avatars that the owner can use to interact in that world. Since Otherside is owned by the same company that created a famous collection called the Bored Ape Yacht Club, maybe there will be a way in future for avatar versions of these apes and other NFTs to move around in the Otherwise metaverse.

Francesc Rodriguez-Tous, Lecturer in Banking, City, University of London

This article is republished from The Conversation under a Creative Commons license. Read the original article.

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Crypto, Cutting Edge, Tech

From metaverse to DAOs, a guide to 2021’s tech buzzwords

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  • From ‘metaverse’ to ‘NFT’ – here’s a wrap-up of the key buzzwords that shaped 2021 in the tech industry.
  • These subjects were the talk of the town in 2021, as the tech industry transitions into a new age.
  • A DAO tried to buy a rare copy of the U.S. Constitution, whilst NFTs took the art world by storm.

This year, tech CEOs drew inspiration from a 1990s sci-fi novel, Reddit investors’ lexicon seeped into the mainstream as “diamond hands” and “apes” shook Wall Street, and something called a DAO tried to buy a rare copy of the U.S. Constitution.

If you’re still drawing a blank as 2021 wraps up, here’s a short glossary:

Metaverse

The metaverse broadly refers to shared, immersive digital environments which people can move between and may access via virtual reality or augmented reality headsets or computer screens. read more

Some tech CEOs are betting it will be the successor to the mobile internet. The term was coined in the dystopian novel “Snow Crash” three decades ago. This year CEOs of tech companies from Microsoft to Match Group have discussed their roles in building the metaverse. In October, Facebook renamed itself Meta to reflect its new metaverse focus.

Web3

Web3 is used to describe a potential next phase of the internet: a decentralized internet run on the record-keeping technology blockchain.

This model, where users would have ownership stakes in platforms and applications, would differ from today’s internet, known as Web2, where a few major tech giants like Facebook and Alphabet’s Google control the platforms.

Social audio

Tech companies waxed lyrical this year about tools for live audio conversations, rushing to release features after the buzzy, once invite-only app Clubhouse saw an initial surge amid COVID-19 lockdowns. read more

NFT

Non-fungible tokens, which exploded in popularity this year, are a type of digital asset that exists on a blockchain, a record of transactions kept on networked computers. read more

In March, a work by American artist Beeple sold for nearly $70 million at Christie’s, the first ever sale by a major auction house of art that does not exist in physical form.

Decentralization 

Decentralizing, or the transfer of power and operations from central authorities like companies or governments to the hands of users, emerged as a key theme in the tech industry.

Such shifts could affect everything from how industries and markets are organized to functions like content moderation of platforms. Twitter, for example, is investing in a project to build a decentralized common standard for social networks, dubbed Bluesky. 

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DAO

A decentralized autonomous organization (DAO) is generally an internet community owned by its members and run on blockchain technology. DAOs use smart contracts, pieces of code that establish the group’s rules and automatically execute decisions.

In recent months, crowd-funded crypto-group ConstitutionDAO tried and failed to buy a rare copy of the U.S. Constitution in an auction held by Sotheby’s. 

Stonks

This deliberate misspelling of “stocks,” which originated with an internet meme, made headlines as online traders congregating in forums like Reddit’s WallStreetBets drove up stocks including GameStop and AMC. The lingo of these traders, calling themselves “apes” or praising the “diamond hands” who held positions during big market swings, became mainstream.

GameFi

GameFi is a broad term referring to the trend of gamers earning cryptocurrency through playing video games, where players can make money through mechanisms like getting financial tokens for winning battles in the popular game Axie Infinity.

Altcoin

The term covers all cryptocurrencies aside from Bitcoin, ranging from ethereum, which aims to be the backbone of a future financial system, to Dogecoin, a digital currency originally created as a joke and popularized by Tesla CEO Elon Musk.

FSD BETA

Tesla released a test version of its upgraded Full Self-Driving (FSD) software, a system of driving-assistance features – like automatically changing lanes and make turns – to the wider public this year.

The name of the much-scrutinized software has itself been contentious, with regulators and users saying it misrepresents its capabilities as it still requires driver attention.

Fabs

“Fabs,” short for a semiconductor fabrication plant, entered the mainstream lexicon this year as a shortage of chips from fabs were blamed for the global shortage of everything from cars to gadgets.

Net zero

A term, popularized this year thanks to the COP26 U.N. climate talks in Glasgow, for saying a country, company, or product does not contribute to global greenhouse gas emissions. That’s usually accomplished by cutting emissions, such as use of fossil fuels, and balancing any remaining emissions with efforts to soak up carbon, like planting trees. Critics say any emissions are unacceptable.

Originally published on World Economic Forum and republished under  Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International Public License.

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AI, Cutting Edge, Esoteric, Gaming, Observation, Tech

What is the metaverse? 2 media and information experts explain

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Above: Photo / Pixabay

The metaverse is a network of always-on virtual environments in which many people can interact with one another and digital objects while operating virtual representations – or avatars – of themselves. Think of a combination of immersive virtual reality, a massively multiplayer online role-playing game and the web. 

The metaverse is a concept from science fiction that many people in the technology industry envision as the successor to today’s internet. It’s only a vision at this point, but technology companies like Facebook are aiming to make it the setting for many online activities, including work, play, studying and shopping.

Metaverse is a portmanteau of meta, meaning transcendent, and verse, from universe. Sci-fi novelist Neal Stephenson coined the term in his 1992 novel “Snow Crash” to describe the virtual world in which the protagonist, Hiro Protagonist, socializes, shops and vanquishes real-world enemies through his avatar. The concept predates “Snow Crash” and was popularized as “cyberspace” in William Gibson’s groundbreaking 1984 novel “Neuromancer.”

There are three key aspects of the metaverse: presence, interoperability and standardization. 

Presence is the feeling of actually being in a virtual space, with virtual others. Decades of research has shown that this sense of embodiment improves the quality of online interactions. This sense of presence is achieved through virtual reality technologies such as head-mounted displays.

Interoperability means being able to seamlessly travel between virtual spaces with the same virtual assets, such as avatars and digital items. ReadyPlayerMe allows people to create an avatar that they can use in hundreds of different virtual worlds, including in Zoom meetings through apps like Animaze. Meanwhile, blockchain technologies such as cryptocurrenciesand nonfungible tokens facilitate the transfer of digital goods across virtual borders.

Standardization is what enables interoperability of platforms and services across the metaverse. As with all mass-media technologies – from the printing press to texting – common technological standards are essential for widespread adoption. International organizations such as the Open Metaverse Interoperability Group define these standards. 

Why the metaverse matters

If the metaverse does become the successor to the internet, who builds it, and how, is extremely important to the future of the economy and society as a whole. Facebook is aiming to play a leading role in shaping the metaverse, in part by investing heavily in virtual reality. Facebook CEO Mark Zuckerberg explained in an interview his view that the metaverse spans non-immersive platforms like today’s social media as well as immersive 3D media technologies such as virtual reality, and that it will be for work as well as play.Hollywood has embraced the metaverse in movies like ‘Ready Player One.’

The metaverse might one day resemble the flashy fictional Oasis of Ernest Cline’s “Ready Player One,” but until then you can turn to games like Fortnite and Roblox, virtual reality social media platforms like VRChat and AltspaceVR, and virtual work environments like Immersed for a taste of the immersive and connected metaverse experience. As these siloed spaces converge and become increasingly interoperable, watch for a truly singular metaverse to emerge.

Originally published on The Conversation by Rabindra Ratan & Yiming Lei and republished under a Creative Common License (CC BY-ND 4.0).

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AI, Apps, Photography, Software, Tech

PhotoShop is Maxxed NFT with “NFT Prep” feature on the way from Adobe

Above: Photo Collage / Lynxotic

The Verge interview with Adobe’s CPO, has mega details

In a new, extensive, Verge interview podcast with Adobe’s CPO, Scott Belsky, a a ‘Prepare as NFT’ system launch for Photoshop was confirmed for the end of the month. 

The idea is to maintain a kind of proof of originality system to help prevent fake NFTs (minting non-fungible tokens) from being minted and sold by imposters. The final choice is in the buyers hands at this stage, but having a way for creators to prove authenticity would be a big step.

Since this week Adobe is also holding its annual conference, called Adobe Max, there are also a bunch of new features arriving for Creative Cloud and a slew of app including Photoshop. 

Intersecting worlds collide with Adobe in them all…

Adobe has been around, amazingly, since 1982, and millions of digital creatives and content creators use their products.

Photoshop is so entrenched that it has long achieved verb status: if you want to enhance a photo, for example to enlarge your backside or smooth out your skin, just “photoshop it”. And over use is derided as a “photoshopped” persona or image. 

Premiere Pro and After Effects, especially the latter, get a lot of pro and semi-pro use for video production. Many, many Pro photographers use Lightroom. The upgrade system for Adobe products and the creative cloud, such as the recent AI and neural engine assisted effects drive change and upgrades at a furious pace. 

With the entire content, image and video creation industry becoming more and more vital to networked human communications, tracing and verifying authorship and authenticity are becoming more and more crucial. 

Adobe is moving, with caution due to the issues that could arise, into the area on multiple fronts. As per the Verge article;

“With what Adobe is calling Content Credentials, creators will be able to link their Adobe ID with their crypto wallet and mint their work with participating NFT marketplaces. The software company says the feature should be compatible with popular NFT marketplaces including OpenSea, KnownOrigin, SuperRare, and Rarible. A ‘verified certificate’ that comes with minting an NFT with Photoshop’s Content Credentials will prove that the source of the art is authentic.”

Read More at:

The Verge

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