Andrew
Investing in tech that enables a more immersive, interactive, and intelligent internet podcast @zima_red Views are mine only. NFA

Sep 23, 2021, 15 tweets

Here is my slide deck from the Legends4Legends conference in Amsterdam

NFTs = unique digital assets

They enable digital property rights

Unlike Bitcoin, NFTs are unique and NOT interchangeable

Uniqueness on the internet can enable a TON of different use-cases

The internet is currently communist. Users add value to a platform but get no value in return

NFTs change that and give users property rights in the digital world

The internet just went from communism to capitalism (HUGE!)

NFTs enable a psychological shift in user's mindsets from renters to owners

As owners, they will spend more time, money and effort into their digital lives

Users can now earn during their activities that are native to the internet (keywords - "native to the internet!")

NFTs have value because they enable people to create unique digital objects

An image of the Mona Lisa on the internet is not valuable unless you can determine the uniqueness of that image and the authenticity (blockchain solves those issues)

NFT markets today are mostly these "fun/toy-like" uses cases

That being said, these are still massive markets:
- Art ~$65b / year
- Collectibles ~$100b / year
- Video games ~$100b / year
- Virtual land ~$20b / year
- Virtual apparel ~$100b / year

NFTs will enter the more "serious" use-cases in the near future. It will take longer to enter these markets because they are highly regulated but the efficiency gains you get from using NFTs cannot be beat so over a long enough time, NFTs will also eat these markets

Nobody cares about "digital gold" "digital money" etc

People want to play games, have fun, socialize, show off, etc

NFTs enable this as they are not pure financial assets. They are assets with imbedded social, emotional and status connections

When I first launched @Sfermion_ in 2019, the total monthly trade volume was ~$1m-$2m / month

Aug 2021, OpenSea (a single NFT marketplace) had $3.4b in trade volume

Growth visualized

Top NFT game has ~1.5m users
Top "normal" game has ~200m users

Top NFT marketplace has ~200k users
Top crypto exchange has 68m total accounts

Insane growth ahead

NFT markets are very diverse and every market has different value drivers

Study each market and develop and thesis around what drives value within that market

Most of our waking hours are spent staring at screens (we are already living digital lives)

Screentime is on the rise across the world and shows no signs of slowing down

Our communication technoogy is becoming more immersive over time

Extrapolate that trend and within 10 years we will be having meetings in virtual reality and our brains will literally think we are there

Screen time + immersive tech + NFTs = the metaverse

The metaverse is inevitable now that users can truly own their digital stuff if livelihoods

Being able to own your digital stuff = confidence

Confidence = spending more time, money & effort on your digital life

The metaverse will be the worlds largest market

- 4.6 billion internet users (huge population)

- All these people connected to a global, uncensorable, 24/7 financial system (transact with anyone, anywhere)

- NFTs = digital property rights which means massive economic growth

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