Why is Crypto Art Worth Millions?
What Exactly Is Crypto Art?
Crypto art is a type of digital art. It's handled like a tangible art collection, with owners able to prove they own a piece of crypto art. Paintings and sculptures have long been collected according to established processes in the art world.However, despite the fact that it had been created, there were no apparent means for individuals to gather digital artwork until today. You can accomplish precisely that using crypto art and NFTs.Crypto art might take the form of digital graphics, music, virtual reality dreamscapes, or programmed art. These digital assets can represent goods such as still graphic pictures, photographs, GIFs, movies, music, and much more, and can have a collector's value.The notion of crypto art is based on the concept of digital scarcity. With this approach, you purchase, sell, trade, and collect digital art as if it were tangible items. Crypto Art, like traditional art, is produced in limited quantities, and customers can acquire the rights to partial royalties and reproduction of the artwork in some situations.Crypto art is mostly digital, but it may also be tangible art that is monitored through a blockchain or "crypto" system. Many of the works available in the crypto art niche are crypto-themed artworks with digital culture and technology as subject matter.These pieces of art frequently deal with contemporary politics, blockchain, and cryptocurrencies, as well as their economics and philosophy. Crypto technology, on the other hand, may be used to publicly register and validate actual artworks. Blockchain technology aids in distinguishing genuine artwork from counterfeit and establishing ownership of a piece of art.
Is Crypto Art Real or Fake?
Cryptographic art may be verified and is typically genuine. Crypto art can be validated in the same way that paintings can be signed and authenticated. A non-fungible token, also known as an NFT, is used to complete the verification.Over the last year, prominent auction houses such as Christie's have sold crypto art or "NFT-based artworks" for thousands, if not millions, of dollars.
Is Cryptographic Art Truly Unique?
Only one of the reasons people buy art – buying art for your house – has anything to do with the actual physical work.Every other argument I cited for buying art may also be applied to crypto art.You may create your own online virtual gallery and share it with others. Through your virtual gallery, you can express your likes and interests while also supporting artists by purchasing their work. You can join a community if you want to: some crypto artists say they've found more acceptance in the crypto community and can now make a livelihood doing art after feeling marginalised by the conventional art industry.While Beeple's large transaction attracted news, most crypto art purchases are in the tens or hundreds of dollars. This affects a far bigger group of people than just a few artists.
Why are Some NFTs so Expensive?
Here's a simple statistic that helps explain why NFTs cost the same as a CEO's salary: Over 100,000 people are reported to have become millionaires as a result of Bitcoin. It's no surprise that NFTs gained a lot of traction in March. That's when bitcoin surpassed $60,000, a 500% increase in just six months. More information about buy and sell bitcoin using exchange you can find at CEX.IO blog.When you read the news or a tweet about someone spending a ridiculous amount of money on an NFT, it's easy to be confused about how insane that purchase would be for you. It's easy to overlook that highly costly items are almost exclusively purchased by very wealthy individuals, who spend a lot of money on status symbols.Take, for example, the Bored Ape Yacht Club. It's a group of 10,000 ape NFTs, each having its own set of traits that distinguishes some from others. Rare varieties have sold for over a million dollars, while ordinary versions sell for roughly $200,000. (BAYC developers sold the NFTs for $190 apiece at the time of debut in April). BAYC is a "profile image collection" that is held by celebrities like Steph Curry and Jimmy Fallon. The photos are primarily designed for use as your profile picture on Discord, where the majority of NFT business is handled, as well as on Twitter, Instagram, and other social media sites.To summarise, a profile picture must cost at least $200,000.That seems completely ridiculous. When seen in the context of how affluent people spend their money, though, it is less shocking. Why pay money when you can save a JPEG with a right-click? You can buy a nice house in a safe neighbourhood for $1 million almost anywhere in the world, but celebrities regularly buy $20 million mansions. Although a trendy garment can be found for less than $500, firms like Chanel make their money by selling it for 20 times that amount.Wealthy people purchase expensive products offline. Is it so far-fetched to believe that they would also buy pricey products on the internet?
Conclusion
Crypto art may not be tangible, but it is specific. The charm of owning an NFT is that anyone can share your NFT, when in fact you are its sole owner. Some NFTs are sold for a huge sum of money, while most are practically useless. There are no rules in the exchange of NFT, but selling certain art at the right time and under the most favourable conditions can make you a millionaire.