Thread by @haltakov

This is like an NFT in the physical world

This is a special edition BMW 8 series painted by the famous artist Jeff Koons. A limited-edition of 99 with a price of $350K - about $200K more than the regular M850i.

If you think about it, you'll see many similarities with NFTs

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Artificially scarce

BMW can surely produce (mint 😅) more than 99 cars with this paint. The collection size is limited artificially in order to make it more exclusive.

Same as most NFT collections - they create artificial scarcity.

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Its price comes from the story

The $200K premium for the "paint" is purely motivated by the story around this car - it is exclusive, it is created by a famous artist, it is a BMW Art Car.

It is not faster, more reliable, or more economic. You are paying for the story.

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It is the same for NFT collections. The more expensive ones have an interesting story, are created by a famous artist, and are exclusive.

It is not only about how the image of the NFT looks. It is not about the JPEG.

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People buy it to brag

Many people will buy this car to brag in front of their friends. They probably not put it on their PFP, but will drive it to the club. Nobody will go shopping at Walmart with it. It's a status symbol.

Same for expensive PFP collections and NFTs.

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People buy it as a store of value

A regular M850i will be worth much less in 20 years, but this car will probably be more expensive. Some people will buy it as a store of value and will speculate on its price.

Many NFT collections can be regarded as a store of values too.

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People will put it in a museum

Some people may buy it and put it in a private collection or a museum, making it more valuable.

People are creating awesome NFT galleries in @oncyber_io for example and they increase their collection value with blue-chip NFTS.

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@oncyber_io People will hate it

Many people will hate on this as a waste of money and time. It will probably not be much talk, though, because it will only be a small amount of very rich people buying it.

And this is fine because things have different values for different people.

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@oncyber_io NFTs, however, are accessible to almost everybody. What is only available to very rich people in the physical world is now available to everybody in the digital world.

And the people that hate on it because they don't see the value get much louder.

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@oncyber_io This car is the perfect example that the things many people are enraged about with NFTs are actually not specific to crypto.

These things are a "feature" of humanity.

The difference is that the upside can now be captured by anybody and not only by the rich.