Now what about Avalanche, Terra, Polygon, and BNB?
What are the chances a new L1 emerges in the future? I don’t mean to get off into the weeds here. I’m just saying that making money from NFTs is not as simple as just picking a picture you think is cool and waiting to sell it for a profit. There’s a lot going on under the hood.
Two Lessons From Bitcoin
Bitcoin is the most famous crypto asset, and in my opinion, it’s the only thing oman whatsapp number data holding long term. Before I bought bitcoin, I asked myself, “Why does bitcoin have value?” Bitcoin has value because it exhibits the main properties of money:
durable
portable
divisible
scarce
verifiable/recognizable
fungible
The fungibility here is key. That means each bitcoin I trade for goods and services is just as good as any other bitcoin.
Because NFTs are “non-fungible” (it’s in the name), if you buy a dud, the only person to trade it with will be someone who sees value in that specific token. It’s not like Bitcoin, where units are fungible, and therefore can be exchanged with anyone who wants bitcoin.