An uncertain future for traditional NFTs?

[MrSpasybo]

Since 2021, NFTs are considered one of the most valuable discoveries of blockchain technology: creating tokens to store Non-Fungible info. One of applications of NFT that has reached users is GameFi when NFT is used as a unique asset in games, while also providing voting rights in governance. With NFT, gamers not only play games but also make money from playing games when earning and selling NFTs, participating and supporting game development through governance mechanisms^[1].

In addition, some other application cases of NFT are starting to be thought of such as storing educational qualifications, product origin, medical records... but currently NFT is only used to place as avatars on social network. And that is no longer true today.

In 2022, Meta tested a feature that allowed users to use NFTs as avatars on Facebook and Instagram, then Meta discontinued this feature in early 2023^[2]. Similarly, Twitter also allowed Premium users to use NFTs as avatars in early 2022, but at now new X users can no longer experience this feature^[3]. We don't have any explanation on this matter.

Clearly, as Metaverse trend ended, NFTs have not retained their appeal and businesses need to make changes to attract users. Currently, Inscription trend is creating thousands of modern NFTs, where data is engraved directly into each token unit and stored on-chain. Thousands of tokens BRC-20, LTC-20, DRC-20, ASC-20... are attracting the attention and cash flow from investors so they have good growth, ORDI is an example. Meanwhile, traditional NFTs with data stored in IPFS are no longer the top choice. Flow is a leading blockchain in NFT space, the FLOW token price chart may represent the stagnation of traditional NFTs.

I understand the immutable on-chain value of modern NFT-Inscription, and I'm really worried about the future of traditional NFTs. NFT trading volume on Bitcoin is overwhelming NFT trading volume on the remaining chains^[4] – an anomaly that makes me more worried about chains's state, operational efficiency and existence of blockchain's original mission. In my opinion, up to now, blockchains do not have enough capacity to support NFT-Inscription effectively: the speed is still slow and transaction fees are still high. Traditional NFT on IPFS can be an optimal and better choice than NFT-Inscription.

Do you support traditional NFTs? Have you used traditional NFTs as avatars on social networks? Would you rather own a traditional NFT or an NFT-Inscription? Do you think traditional NFTs will soon be replaced by NFT-Inscriptions?
[1] A deep dive into GameFi: How NFTs are shaping the future of gaming
[2] Meta winds down support for NFTs on Instagram and Facebook
[3] X removes support for NFT profile pictures
[4] NFT sales on Bitcoin hit record in December 2023

[KryptoBull]

The strong price increase of Ordinals and Inscription tokens has absorbed all the attention and cash flow of old NFTs, causing their trading volume to not recover in 2023. Meta abandoned the Metaverse so they are no more wants to be related to NFT, but X abandoning this connection is unusual, because Elon Musk is famous for his love of crypto.
I still believe that legacy NFTs are relevant and the top choice for applications like GameFi and SoFi in 2024. Inscriptions are just a temporary trend and have not yet found any real application value.

[TopT3ns]

The strong price increase of Ordinals and Inscription tokens has absorbed all the attention and cash flow of old NFTs, causing their trading volume to not recover in 2023. Meta abandoned the Metaverse so they are no more wants to be related to NFT, but X abandoning this connection is unusual, because Elon Musk is famous for his love of crypto.
I still believe that legacy NFTs are relevant and the top choice for applications like GameFi and SoFi in 2024. Inscriptions are just a temporary trend and have not yet found any real application value.

NFTs will boom again when there are good projects, and of course there are very expensive NFTs, so they have to be balanced with existing products and usually combined with games. Currently,  NFTs are being forgotten because the Bitcoin Halving is approaching, so they prefer to focus on Bitcoin and look for profits in Bitcoin. Maybe after this, there will be another new project based on NFT again.

[MrSpasybo]

The strong price increase of Ordinals and Inscription tokens has absorbed all the attention and cash flow of old NFTs, causing their trading volume to not recover in 2023. Meta abandoned the Metaverse so they are no more wants to be related to NFT, but X abandoning this connection is unusual, because Elon Musk is famous for his love of crypto.
I still believe that legacy NFTs are relevant and the top choice for applications like GameFi and SoFi in 2024. Inscriptions are just a temporary trend and have not yet found any real application value.

Yeah, in the NFT space, traditional NFTs will have to compete with Inscriptions. Each has its own advantages and disadvantages, but as I see it, traditional NFTs have joined GameFi, MoveFi and SoFi quite effectively, while Inscriptions don't yet have any value beyond fun and immutability: Record images of SEC's Fake news about ETFs or Gary Gensler's statement ^^

Ultimately, I believe that no matter which side crypto community decides to take, both types of NFTs will exist together. I would favor traditional NFTs because they don't overload blockchains like Inscription.

[MUGNIA]

Since the beginning of NFT's appearance in crypto, to be honest, I don't understand the flow of its journey even though I have several NFTs in my wallet that are worthless.
If you look at the development of traditional NFTs they can survive even though the prices are getting smaller but it doesn't rule out the possibility that they will fomo again if they repeat their past, as we know the trend in crypto will change every year

[hugeblack]

Since NFTs are any data that is added to the blockchain, they will inevitably continue to exist with us for a period, but they may gain popularity in a certain time due to the increase in demand, which leads to an increase in the number of users, which will create value. This value is what makes companies think about adding this feature or stopping it, and I think that most services Which stopped NFTs due to a lack of clarity in the regulatory and legal vision, and the matter will disappear completely once there is clear regulation because of the articles that linked NFTs with money laundering and the ease of doing so.


about traditional NFTs, I don't think there are traditional NFTs and new NFTs. They are just media terms to attract attention. As long as the idea is the same, they are all NFTs.

[TopT3ns]

NFT will have a price depending on the product being developed. If the product being developed has high demand, then it will provide quite good selling value. Therefore, it is better not to hold assets in the form of NFTs for too long because no one knows how the price of an NFT will develop in the future. For example, when you see the last Cryptopunk NFT sold for 62 ETH, even though there are no profitable developments in the future, it has such an expensive price.

[MrSpasybo]

Since the beginning of NFT's appearance in crypto, to be honest, I don't understand the flow of its journey even though I have several NFTs in my wallet that are worthless.
If you look at the development of traditional NFTs they can survive even though the prices are getting smaller but it doesn't rule out the possibility that they will fomo again if they repeat their past, as we know the trend in crypto will change every year

The value of NFTs often comes from the story (collectibles) or users' expectations of profit from them (characters, weapons, costumes). I hope the NFT trend returns in 2025 with more sustainability and diversity in practical applications such as storing degree information, ownership rights, product origin....

about traditional NFTs, I don't think there are traditional NFTs and new NFTs. They are just media terms to attract attention. As long as the idea is the same, they are all NFTs.

Yeah, they are both NFTs, and we can call them off-chain NFTs (IPFS) and on-chain NFTs (Inscription).
There are suspicions that high-value NFT purchases are money laundering, but as recent reports show, the amount of money laundered through crypto is very small compared to fiat. Therefore, we should not worry too much about NFTs being used for money laundering purposes.

“The UN Office of Drugs and Crime estimates that between USD $800 billion and USD $2 trillion of Fiat currency is laundered each year — as much as 5% of global GDP. By comparison, money laundering accounted for just 0.05% of all cryptocurrency transaction volume in 2021^[1].”

NFT will have a price depending on the product being developed. If the product being developed has high demand, then it will provide quite good selling value. Therefore, it is better not to hold assets in the form of NFTs for too long because no one knows how the price of an NFT will develop in the future. For example, when you see the last Cryptopunk NFT sold for 62 ETH, even though there are no profitable developments in the future, it has such an expensive price.

I think NFTs are associated with stories around crazy prices. Art is one of the most difficult things to value, you will see this clearly in abstract paintings 😂
Regardless, I still believe that NFTs will have some useful value in the future.
[1] US$8.6 billion worth of cryptocurrency laundered by cybercriminals in 2021

[Trongduy]

Do you support traditional NFTs? Have you used traditional NFTs as avatars on social networks? Would you rather own a traditional NFT or an NFT-Inscription? Do you think traditional NFTs will soon be replaced by NFT-Inscriptions?

I still don't understand what nft is but the market already has something new to play with, everything is developing so fast! I see that most nft are used for gamefi, so they are developed very well in 2021. If the inscription can't be used for gamefi, then it won't be promoted long term or have real users, trading back and forth for a while will get boring. Next season it will be clear who goes and who stays. I am not fan of nft or inscription, I support only the winner

[Mr. Magkaisa]

Do you support traditional NFTs? Have you used traditional NFTs as avatars on social networks? Would you rather own a traditional NFT or an NFT-Inscription? Do you think traditional NFTs will soon be replaced by NFT-Inscriptions?

I still don't understand what nft is but the market already has something new to play with, everything is developing so fast! I see that most nft are used for gamefi, so they are developed very well in 2021. If the inscription can't be used for gamefi, then it won't be promoted long term or have real users, trading back and forth for a while will get boring. Next season it will be clear who goes and who stays. I am not fan of nft or inscription, I support only the winner

      -    The NFT you often only see in play2earn games here in cryptocurrency. Even I wonder why NFT is so expensive when it is not touched, and it is not even displayed in our home, but it is sold at a high price.

So money laundering is thought of because of that concept. It's just that there are still people who like that, and it's the same with play2earn, like Mir4. When your character level is high, you can sell it at a high price because it's also equivalent to one NFT per character. That means there are also many players who like that and really sell characters.

[Charles-Tim]

So money laundering is thought of because of that concept.

I am one of the NFT critics. Although, not all NFTs but most NFTs that are given value that they do not have. But if talking about money laundering, the first thing you should talk about are the banks in connection with legit businesses. If the root of the money laundering is not traced, how it is laundered will not be known because well reputed business are used to launder the money. Also that I have not seen a trace of how NFTs can be connected to money laundering than what banks could offer.

[examplens]

In 2022, Meta tested a feature that allowed users to use NFTs as avatars on Facebook and Instagram, then Meta discontinued this feature in early 2023^[2]. Similarly, Twitter also allowed Premium users to use NFTs as avatars in early 2022, but at now new X users can no longer experience this feature^[3]. We don't have any explanation on this matter.

I did not know that X disables this possibility. Does anyone even know the reason why "big crypto supporter" Elon Musk decided to take this step and deny support to one branch of the crypto industry?

[Primo1760]

Do you support traditional NFTs? Have you used traditional NFTs as avatars on social networks? Would you rather own a traditional NFT or an NFT-Inscription? Do you think traditional NFTs will soon be replaced by NFT-Inscriptions?

Honestly I have heard a lot about NFT and seen many people talking about using NFT but I never got proper knowledge about NFT and never used NFT till now. I saw some nfts in my account maybe not need all those nfts they are all useless. But I don't know exactly how important role NFT will play in future. But I am not going ahead with NFT I am always thinking of going ahead with Bitcoin and Ethereum.

[yhiaali3]

Honestly, until now I have not understood the real purpose behind NFT-Inscription, where the data is directly engraved into each token and stored on-chain, what benefit do we get? The Bitcoin network was not created to store images and inscriptions that are meaningless and useless. The Bitcoin network was created to be a peer-to-peer network for financial transfers, and we must not fill it with nonsense that disrupts its basic work.

We have all suffered from the major problems that occurred on the network due to these meaningless inscriptions. It is true that they are profitable for some, but this should not be at the expense of the efficiency and speed of the Blockchain.

As for the traditional NFT, it was very good at the beginning of its appearance and could serve great goals, especially in the field of gaming and preserving intellectual property, but it was also misused.

[SamReomo]

I did not know that X disables this possibility. Does anyone even know the reason why "big crypto supporter" Elon Musk decided to take this step and deny support to one branch of the crypto industry?

I don't know much about it but I think they might have disabled it because they might not like the concept of NFTs and believe that it could cause them huge fines in future. Social media platforms aren't going to favor crypto-currencies and NFTs because they don't want to be sued for no reason.

I believe that's why Facebook own crypto-currency Libra was cancelled. They don't claim such things directly but I believe they mostly cancel or delay such things because they might face legal issues because of it.

Elon Musk, is known to support Doge but this time I don't know what he'll do because he's now the owner of the X platform and he might not do much in crypto-space this time. He might refrain from advertising Doge this time or might be planning something secretly.

But, man NFTs are kind of useless for crypto-users and they were only gaining value due to hype. I know they are part of crypto world but they have no good purpose and that's why I think owning a NFT is similar to owning an image.