What happened in January?! (NFT world)
When we left 2021, many of us were hopeful with the NFT space — hoping for new and innovative projects. The trajectory seemed to be going towards that direction in Q4 of 2021. We were seeing many more high effort projects emerge.
It would seem however, just as is famously said in the new year, “New Year New Me”, many new comers to the NFT space entered the project scene. We’ve been bombarded with derivatives of famous projects and as that became rather saturated, we were seeing projects combine 2 blue chip projects to launch their own. All this in an effort to lend their project an air of credibility and almost instant recognition.
Of late, it would seem that the sex sell narrative has also entered the space. We have seen DAOs in the name of female influencers rack up sales and floor numbers many projects would hope to achieve. Will this lead to an increase in female influencers following a similar path? While I am not fond of this prospect, I am of the opinion that it will. Nothing wrong with using looks to sell, my issue is that most of these “DAOs” may not be mission focused. And if it’s not, then what exactly are you buying in to?
It does seem that January is the month where projects that were on track to doing well are now showing their worth. Projects like Boss Beauties, Alpha Girl Club, and Women and Weapons which have been here for awhile, (in terms of NFT time of course) have garnered some big recognition in January.
On the flip side, many low effort projects have flooded the space in hopes of gaining a piece of the NFT pie while it is still in it’s gold rush phase. If you are new to the space, I would be extra wary during this period and do more research than you usually would do.
The exciting part however, is because of all the low effort projects out there, the OGs are slowly building at the back and many are under priced compared to what these derivatives seem to be doing. If you are able to catch a couple of these, you will be in for a fun ride.
And of course another thing that we cannot miss out on were the token “airdrops”. Most notable, the $LOOKS token which was released by the Looksrare marketplace — a decentralized NFT marketplace that is trying to give Opensea a run for its money. $LOOKS can be staked so that you, as the participant in the marketplace, can earn a portion of all the fees that get spent on the platform. With the recent downtimes that Opensea has been experiencing, the community was quick to embrace Looksrare with the prospect of not only having an alternative, but having a marketplace that rewards you for your participation.
With Opensea recently closing a new funding round however, they will not go quietly. It does seem that Opensea plans on addressing many of the concerns and has some growth plans for 2022. It is worth noting that while many were pissed at the billion dollar company for the downtimes and management of it, we need to remember that NFT participation absolutely skyrocketed over the past few months. That would leave almost every company out of sync and in complete chaos as they try to grow and resolve issues as well as try to cater to exponentially growing demand. I believe 2022 will show us if the company is in it for the community and if they will be able to retain their number 1 spot, or will they become the Nokia of NFTs.