Köln (ots) Gone are the days of cheap NFTs being sold for big bucks. “Blockchain fashionable securitizations have gone under the wheels in the past few months, as has the crypto market,” says Uwe Zimmer, Managing Director of Time to Token IT GmbH.
“And that’s good because it allows the market to grow.” The foundations for this have already been laid in 2022.
“The path is moving away from projects that only get hyped because of the underlying technology,” says Zimmer. “What’s the added value of a bad image just because it’s on the blockchain?” The sharp decline in crypto markets and the associated decline in demand for NFTs is helping an inflated market to regain health.
According to figures from data watcher Cryptoslam, NFT sales were still between 200 and 300 million US dollars per day in January and February 2022. “Right now, we are seeing buying activity between 10 and 30 million a day,” says Zimmer. The number of buyers has also decreased accordingly, from around 150,000 active per day in January 2022 to just over 30,000 today. “This development was predictable,” says Zimmer. “There was a lack of quality, often images generated with AI software were quickly created and then mined and sold on the well-known NFT platforms just as quickly.”
In 2023, completely different projects will dominate the discussion. “The art sector is again a pioneer here,” says Zimmer. “As of 2022, the path led from mass to class.” For example, during the fall auction of Van Ham, a major German auction house, the majority of NFTs were no longer simply minted on Opensea or other platforms. “Smart contracts that describe the essence of an NFT are increasingly becoming part of the job and are therefore complex to program,” Zimmer says.
For example, time functions or special rights can be installed that take the works to a new level. “Connecting to the real world, hybrid NFTs, is such an extension of quality,” says Zimmer. For example, an NFT watch was created by German watchmaker Hanhart, which was auctioned off and includes the right to have the watch built.
In 2023, other forms of NFT will gain in importance. “That includes enterprise NFTs,” Zimmer said. “With these company-owned NFTs, a corporate identity can be created by using them as avatars on social media profiles, for example.” Access permissions or incentives can also be tracked and displayed this way.
There is also an intersection here with community building, which is also taken to a new level with NFTs. “We are currently working on a project which, in cooperation with a Protestant church, will enable a new form of fundraising and co-management of donations,” explains Zimmer. This creates a new form of community that can have a say in decisions – also via NFTs.
About Time to Token IT GmbH
The digital studio, founded in Cologne in 2021, bridges the gap between the real and virtual worlds. As a full-service provider for tokenization, blockchain and NFT, Time to Token offers all the necessary steps, from project planning and consulting to the finished project. As specialists in tokenization, hybrid NFTs and digital assets, Time to Token plans and implements NFT projects for individual artists, large companies or institutions. Added to this is the construction of virtual and real exhibition spaces for digital art or digital spaces for events, for example. In cooperation with the auction house Van Ham, NFTs can also be appraised and sold or auctioned.
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Time to Token IT GmbH Uwe Zimmer Am Rinkenpfuhl 34 50676 Cologne Email: firstname.lastname@example.org
Original content from: Time to Token, transmitted by news aktuell