Blue chips are plummeting, trading volume is sluggish, how should NFT survive this cold winter?

Recently, the floor price of blue-chip NFTs plummeted, and the NFT lending agreement BendDAO briefly fell into a liquidity crisis, severely hitting market confidence. At the same time, the entire NFT market is also facing a bear market, and the trading volume has dropped sharply. How should we survive this cold winter?

In the latest event, Cointelegraph Chinese invited Poly Network core developer Thinkasibe, Unbounded Layout Operations Director AIBEN, NFT researcher Watell, and MetaEstate Pilot Veigar around the theme "Web3 New Horizons: Blue Chips Plunge, Trading Volume Is Sluggish, What Should NFT Do in this Cold Winter?" How are you doing? "Let's talk together, Web3 investor Daryl also participated in the discussion.

The following is the Chinese text of Cointelegraph (with deletions):

Tracy: Please introduce yourself briefly.

Thinkasibe: I am a developer of Poly Network. Poly Network is committed to realizing a general cross-chain underlying protocol, while supporting arbitrary message calls between homogeneous or heterogeneous chains. At present, we have supported 30+ chains, and the total cross-chain value has exceeded 16 billion US dollars. At the same time, we have already supported the cross-chain of ERC-721, and launched cross-chain services for multiple NFT projects.

AIBEN: I am currently the director of operations of Babbitt’s digital copyright platform Unbounded Land, which is a compliant digital copyright platform in China. At present, I am mainly exploring the combination of NFT and digital copyright. I personally started to get in touch with Bitcoin in 2013, and I officially entered the circle around the second half of 2017. I can be regarded as an early player who got in touch with DeFi and NFT. Recently, I have been obsessed with AI creation, because I am also a designer myself.

Watell: I am an NFT researcher and an NFT enthusiast. I am here today mainly to learn and communicate with you. Thank you for the invitation.

Veigar: MetaEstate is a metaverse broker and real estate service provider. As a navigator, I will explore some new universes. I usually watch some metaverse first-level projects and pay attention to the NFT sector. I am very happy to communicate with you.

Tracy: The recent NFT market is indeed very bleak. The overall trading volume has fallen again and again. Many blue chips are more than 50% away from the high point. The recent liquidation of BendDAO also made many people feel cool about DeFi liquidation. First, I would like to ask Veigar to sort out the entire BendDAO liquidation event. What impacts will the liquidation of BendDAO have on the entire market, such as market sentiment, blue-chip floor prices, development of lending agreements, etc.?

Veigar: BendDAO was really popular a while ago. Everyone may have seen the news and various analysis. Now it has probably passed the crisis. After all, a lot of money has been added to the pool, and the floor price of BAYC has also begun to rise. BendDAO itself is a core lending business, which puts the money of all contributors into a pool, and those who mortgage pictures can borrow money from the pool at any time. If I mortgaged a 10 ETH blue-chip picture and loaned out 5 ETH, and then my blue chip was cut in half and dropped to 5 ETH, at this time, if I count part of the interest and liquidation protection, I will be a little insolvent. However, the platform is more protective of NFT holders. As long as you make up the loaned 5 ETH within 48 hours, the NFT can be returned to you. At that time, it was under such a line. The crisis happened when the blue chip holders did not make up the money. Others saw that the money in the pool was getting less and less. The blue chips kept falling and there were always bad debts. The withdrawal of money from the pool will result in less funds in the pool, which looks like a death spiral.

Then why is BendDAO designed in this way? As far as I know, it has chosen some blue-chip projects, not all blue-chip projects can be mortgaged, so it will think that even if there is a short-term loss of blue-chip mortgages, it may rise in the long run, plus the interest generated during the borrowing process , will slowly become profitable, and the impermanent loss caused by the short-term decline to the LP in the pool will gradually make up. It is optimistic about this mechanism, but this is the problem. People in the pool see that the price of NFT has dropped, and it is not profitable to sell it on Opensea, and they don’t know when the impermanent loss will be paid back, so they will Withdraw early to keep the principal. The borrower borrowed ETH with NFT as collateral. If you want to return it, it is equivalent to selling the picture. You will lose 2.5% of the handling fee and royalties when selling on Opensea. It might as well be liquidated directly. Therefore, both parties will eventually cause a liquidity crisis.

The traditional peer-to-peer lending method in NFTfi is not easy to extend the risk to everyone, even if it falls a lot, it is still a matter between two people. However, in BendDAO, all users who want to earn loan interest will face a crisis. Therefore, in the end, the community proposed to shorten the waiting time, such as adjusting the 48-hour auction waiting time to 4 hours to avoid long nights and dreams, or increase the liquidation threshold, such as adjusting it to 8 ETH or 7 ETH to start liquidation.

Everyone sees that the floor price of BAYC has dropped, and they are worried whether this matter will have a great impact on blue chips, but I don’t think it will have any impact, because its business volume is very small, and it will only have some impact on confidence. The original intention of lending is to improve the liquidity of NFT, so that everyone can have money without selling NFT, but the lending business itself also needs liquidity. When the market environment is not good, people are not willing to keep their money in risky places, so it is relatively difficult to develop the lending business in the entire NFT market.

Tracy: The sharp drop in blue-chip NFTs is actually a bit surprising. In fact, NFTs worth dozens or hundreds of ETHs should be regarded as collectibles. Many of the holding groups are also powerful investors. It is reasonable to say that the price should be relatively stable, but in reality many are also fell badly. Please AIBEN analyze why the blue-chip NFT project has fallen so much? Are the attributes of blue-chip NFT collectibles perjured?

AIBEN: First of all, I think the collectible attribute of blue-chip NFT is not falsified, and the market decline has nothing to do with the collectible attribute. The large decline in the entire NFT market is mainly the result of a combination of several reasons. One is the overall economic environment. Various factors such as the post-epidemic era, the Russia-Ukraine war, and the Fed’s interest rate hike have led to a downturn in the overall environment. Therefore, as a relatively small economy, NFT itself is unlikely to survive in this environment. .

The second is that a large part of this downward trend is due to the defoaming of the NFT field. I started playing NFT at the end of 2021. At that time, I participated in NBA Top Shot. I saw its increase was very large, and then I saw the wave caused by PFP. You will find that it is easy to make money on NFT, a bit like playing DeFi At that time, for example, YFI could increase more than ten times in one night, and the increase of various tokens was exaggerated, so I was thinking at that time, when the bubble would burst.

In my opinion, the last carnival of mainstream NFT is BAYC’s OtherDeed. After its sale, the entire NFT market went down sharply. After cooling down for a while, Free Mint became popular, and anti-commonsense projects such as Goblintown and shit came out. The growth curve is very exaggerated, the shit combines the burning mechanism and the community FOMO sentiment, and the hype is very hot, so I think the shit is the last carnival of Free Mint. After that, the bubble was really squeezed, funds fled, and it was only natural for the blue-chip NFT to fall below the floor price of 10 ETH.

The third is that the innovation in the NFT field has reached a bottleneck. The outbreak of NFT started from the hype atmosphere of discord and twitter linkage driven by the whitelist (WL) mechanism last year. For example, the project party made the official website, wrote stories and roadmaps, tweeted, KOL vacancies, and discord active vacancies , WL mint, Public mint, open the box to change the avatar, interact with twitter, pull the market, and then find the right time to announce the airdrop. I don't think this paradigm is innovative anymore.

After the airdrop, we will make metaverse games and comics, such as BAYC and Doodles, and also do token empowerment, such as APE, which is the empowerment of BAYC. I think that after RTFKT launched Clone X, its virtual fashion concept is very innovative, so its floor price has been maintained very well, and the overall market performance is very good. There really isn't much innovation behind these narrative logics.

To sum up, there is no falsification of the attributes of the collection, and the price cannot falsify the attributes of the collection. Many people buy it because they think it looks good. It is recognized as a head portrait, made into a physical painting, etc., and secondly, there is also a market that accepts it. And make it flow, but the price is indeed caused by various factors.

Tracy: Since the beginning of this year, there are actually many domestic brands or projects that want to issue NFT overseas. What problems and challenges are usually faced in overseas issuance of NFT? Please Watell share.

Watell: Okay, let me first answer the question of whether the concept of blue-chip NFT can be falsified. I think judging the quality of an NFT depends on whether it can withstand the plight of people's expected decline in the market's decline. We all know that the two biggest attributes of NFT are cultural attributes and financial attributes, and there is another small attribute, which is emotional value. When you play NFT, you may pay attention to its cultural value and emotional value, because when a certain project When the market sentiment is high, everyone will rush in, which is the common FOMO sentiment in the NFT market.

My personal definition of blue-chip NFT is that it can maintain its own financial attributes and cultural value when people's emotions dissipate, and it can still bring people confidence when people have little interest in participating in a certain project. To give the simplest example, in fact, many people will not participate in the ecology of BAYC, but why doesn't it fall severely? It is because the companies or communities behind them will give people a kind of confidence in cultural value or financial value, which resists emotional depression. Therefore, I think that blue-chip NFT must be able to resist market sentiment, and must follow the sentiment and go against it.

Answer the question just now. web3 and decentralization itself is a trend and trend. If the concept of web3 is only popular in the United States, it may be a false proposition, but when the whole world participates, it will become a true proposition. When an individual or a group cannot resist this global tide, the best experience can only be gained by following along.

Limited to social ideology, it is impossible for the senior management of the group or the parent group to issue NFT directly. Therefore, we came up with a way to allocate a group of people from within the group, or directly find an outsourcing company to do this. If the effect is good at that time , you can follow this wave and continue to move forward. If you do not do well, it has nothing to do with the parent group. In fact, this is a very smooth strategy. It is a very effective measure to be able to respond to national policies without falling behind other countries.

The companies with the most cooperation with domestic artists or stars should be companies in Singapore, Malaysia and Thailand. Teacher Wang Feng also posted on Weibo recently that he wants to expand his music power in web3. In fact, there are still many stars or groups behind him who are already looking for partners. I think that if one day the policy is a little looser, or the trend is realized to be irresistible, it will be a good opportunity for web3, metaverse and NFT.

Tracy: Fat penguins have risen against the trend recently, can you analyze with us why there is such a development?

Watell: Fat Penguin itself is a very encrypted native project, and its interests are also very good. Fat Penguin was released in August last year, and it has been a year since today. Before April this year, it was in the hands of the original founder, but due to his lack of action, his own web2 strength was very poor, and there were also many voices of dissatisfaction and disunity within the community, leading to internal and external troubles. In April this year, LucaNetz officially acquired the project with 750 ETH. After the acquisition, it launched many related actions to develop various branch lines and offline opportunities. This is actually very able to gather people's hearts and resolve conflicts within the community. In addition, they have been exposing on Twitter and ins. Their ins account should be the best among all NFT projects at present, with the largest number of fans. It knows marketing and external exposure very well. Everyone gradually formed a consensus that this community is better and worth looking forward to.

Blue-chip NF can create strong expectations for holders, and realize expectations, reflecting the action of the leader. Sometimes it's more important to let others think that you can do something than you can actually do it. Fat Penguin does this, it makes the holder feel that the project can definitely be the next BAYC or Doodles. Strong expectations, strong confidence and external means can easily kill a bloody path in the low mood of the bear market. After the emotional flames are ignited, the market will automatically fan the flames for you.

The marketing case of Fat Penguin is also very classic. LucaNetz itself has very rich marketing experience in web2. You may think that the outbreak of Fat Penguin is sudden, but in fact it has been planned for a long time. Its internal community tone and operation strategy have been very carefully planned. If you want to do a good job in a project in the future, or be a trader behind an NFT project, you can actually learn the trading history of LucaNetz, which is indeed very classic.

The top blue chips headed by BAYC have no new moves in a relatively sluggish state, but Fat Penguin is willing to do it. When the market is generally waiting and watching, a hot spot suddenly appears, and everyone’s attention will definitely be attracted by this hot spot. , which is also one of the reasons why it was able to succeed. The right time, place and people are both available, so it broke out some time ago.

Tracy: Can Thinkasibe tell us about Poly Network's recent progress in NFT?

Thinkasibe: Poly Network recently launched the 2nd anniversary cross-chain airdrop NFT event. The top 1000 addresses of cross-chain cost expenditure will get "Data Frigate" NFT, and the top 100 addresses will get additional "The Bridge" NFT. Content creation has the opportunity to receive "City of Lights" NFT, and participation in social platform interaction also has the opportunity to receive airdrops.

We have launched NFT cross-chain services with multiple project parties. At present, the entire NFT cross-chain market needs further development. The main cross-chain business is still for ERC-20, and the use of NFT cross-chain scenarios is not so much.

There are some differences between NFT cross-chain and ERC-20 token cross-chain. The cross-chain of ERC-20 tokens is to lock assets into cross-chain smart contracts on the original chain. If there are valuable assets in the target chain, we need liquidity to complete the cross-chain. If ERC-20 itself is only in one chain To store valuable assets, we need to lock and unlock them on the original chain, and cast and destroy the mapped assets on the target chain. This is done to avoid deflation and additional issuance of the value assets themselves.

NFT itself has metadata and relies on storage services such as IPFS. When cross-chaining, we need to deal with the transmission of NFT’s own metadata. In addition, due to the unique scarcity of NFT, when crossing an NFT to another chain, the original There will be some disputes about whether the NFT still needs to exist on the chain. In addition, the use of NFT cross-chain scenarios still needs to wait for further verification by the market.

Tracy: Thinkasibe is a developer. In the world of blockchain, the advantage of knowing code is very great. I would like to ask Thinkasibe, are you an on-chain scientist yourself, or do you have such friends around you? Can you introduce some strategies or operations of scientists on NFT, and share with you an example.

Thinkasibe: Scientists definitely can’t talk about it. There are indeed some users around me who understand the NFT protocol. NFT itself may focus more on its artistic design or its use value in specific situations, but it is not complicated in terms of code or protocol, because the current mainstream NFTs are ERC-721 and ERC-1155, smart contracts on each chain The implementation method is also similar. Players who better understand the NFT protocol itself may be more rational when investing.

I personally suggest that users first recognize their own positioning. For example, some users have strong beliefs, they have great expectations for the future of NFT, or they have a great sense of identity with a specific NFT itself and its creators. Or they recognize their collection value very much, and will buy them at the right time and hold them for a long time, but there are relatively few such users, and their long-term benefits are very considerable. Another type of players may only buy NFT for short-term investment purposes. In this case, they may need to be more rational, because market fluctuations always exist, and it is very important to know how to stop profit and stop loss at the right time. Therefore, I personally think that recognizing your own position is the first step, and then consider what kind of NFT has more potential and is more suitable for you.

Tracy: The market is bearish, and there are still many interesting things to watch. Please share some interesting projects that you have been paying attention to recently.

Veigar: Recently, I will pay attention to Sudoswap. Many NFT funds used to buy a basket-chip project for stockpiling, or conduct some buying and selling operations at critical time points, while Sudoswap or BendDAO will derive DeFi gameplay, which is similar to financial management funds. Then, if you buy funds for projects on a stand-alone basis, you can earn interest as an LP and earn interest by borrowing. This new way of playing in the NFT market activates AMM and lending, and may combine new things. Although the current market is small and the money is scarce, I think this direction is very interesting.

AIBEN: I recently paid attention to Truth Labs, the team behind Goblintown. It issued a major NFT before Goblintown, called Illuminati NFT, and also issued several NFTs. One of them was relatively small in number and priced relatively high, called The 187, I like their design style very much, and the designer Gray has a special talent for creation.

The other one is 10KTF, which is an NFT project that I will continue to pay attention to even in the bear market. It is specially based on some PFP equipment. Behind this project is Beeple's own company WENEW. Its Combat Level2 equipment released last week sold quite well. , in such a market, about 10,000 or more have been minted, and the average price should be around 0.5 ETH. Then, after their second phase of tasks started, the floor price was also pulled to about 0.8 ETH, and the market performance was quite good. It does not constitute investment advice.

Secondly, I may also pay attention to some ecological projects, such as Evmos, the EVM technology project of the Cosmos ecology. I simply think it is interesting to do EVM in the Cosmos ecology. There is also a scroll on the ZK circuit. Its team has many Chinese, and I like it very much.

Watell: As far as projects are concerned, there are no projects that I think are worth paying attention to or worth investing in, because I think most of the projects currently on the market are boring, uninteresting, and of little value. One NFT mechanism I am more optimistic about is ERC-4907, which focuses on NFT lending. I think it should be able to set off the next wave of NFT bull market. It directly integrates the lending mechanism into the NFT project, and does not require lending institutions such as BendDAO. ERC-4907 separates your NFT ownership and use rights. Once you own an NFT, or your NFT is entered into ERC -4907 agreement, on the basis of holding the ownership of this NFT, you can rent out your display right or use right to other NFT participants. Of course, the use right is definitely much lower than the price of your own holding right .

Its advantages lie in two aspects. One is that it directly puts loans into NFT without the intervention of other institutions, which saves some costs. On the other hand, it lowers the participation threshold of blue-chip NFT. Some people may prefer blue-chip NFT, but it does If it is too expensive, you can buy the right to display it from the holder of the blue-chip NFT. This price is definitely much cheaper than buying an NFT. You can rent a BAYC this month, rent a Doodles next month, and the next month Renting an Azuki is certainly a lot more stable than buying a blue chip whose price keeps falling or is unstable in a bear market.

Regarding Sudoswap, I think the method of setting up an NFT liquidity pool is quite novel. Whether you are a buyer or a seller, you can buy and sell directly in Sudoswap by setting up a liquidity pool. However, it has a very important problem. Whether it is Sudoswap or BendDAO, they are all tools, and there is no way to stop the decline in the entire NFT bear market. You may think that this tool or leverage is causing NFT to fall or the entire NFT The culprit of the gradually deteriorating environment, but it is not, but the decline of NFT leads to leverage problems. Only when the floor price of NFT falls and the market sentiment continues to deteriorate, will it lead to liquidation and a vicious circle.

For example, in the 19th century, many people used various tools to pan for gold in San Francisco. At the beginning, they could make money, but today it is difficult for anyone to pan for as much gold as before. The problem is not because of the tools you use. In terms of tools, but there is no gold in this mining area where you are. Therefore, the NFT market does not allow you to make money or the wealth effect is reduced. If the overall environment is not good, everyone will not be able to make money, and you will feel that the tool is wrong and not easy to use.

Therefore, the core issue of protocols such as Sudoswap is whether the market can improve. If the overall environment is not good, no matter how ingenious the design or how precise the contract is, it is a fantasy. Only when the overall wind direction is good can you make money. Don't try to use your own strength to change your fate against the sky and fight against the environment. This is unrealistic. There is no right or wrong with this tool itself, it will not make you money, or it will not make you lose money, it will always be the environment and the market that make you make money and lose money.

Daryl: The tools and protocols themselves do not change some direct things, such as Token or stock assets, the real-time inflow and outflow of funds directly change the price, and the trend you can only see more macro, such as an entire industry, an entire industry benefit of the plate. In essence, the bull market drives the agreement, drives the application, and drives the prosperity of NFT projects. On this basis, the operation is to better capture this trend and capture the liquidity overflow brought about by the trend.

Talk about some current projects. I have given up on Jaylen Bear, but there are two projects that I am more interested in. One is the City DAO mentioned in a paper by Vitalik. It is based on a pure ERC-1155 protocol, which is different from PFP and Pass projects. It is essentially selling a citizenship. The orthodoxy of the project is relatively strong, and Vitalik has mentioned this project on several occasions. After it is airdropped on the plot, you can go to Wyoming, USA to see your own land.

The other is some assets on The Sandbox, such as the NFT authorized by the well-known American drama "The Walking Dead". If The Sandbox develops further in the future, these NFTs with real authorization and real popularity may perform well.

Thinkasibe: I think Sudoswap is more interesting. It puts NFT transactions on the chain. Although it introduces the concept of curve automatic market making into NFT, the approach is innovative, but I personally feel that this may not be in line with the concept of NFT, because NFT itself pays more attention to its own uniqueness and scarcity.

Tracy: Due to compliance reasons, NFT is mainly developed as digital collections in China, but in fact NFT and digital collections are two circles, and each has evolved a different development trend or direction. What are the differences between domestic digital collections and overseas NFTs? What interesting directions are currently being explored in the field of digital collections?

AIBEN: There is a big difference between domestic data storage and overseas NFT. First, the domestic digital collection method is actually relatively straightforward, which is to sell collections. The collection itself does not contain any copyright value, just like you play with stamps, but stamps at least have an entity. Under the current environment, Shuizang has great restrictions on secondary market transactions, and users cannot trade and transfer freely like overseas NFTs.

Second, the gameplay of Shuizang is relatively simple, which is basically the operation mechanism of copyright owner + publisher + platform, which splits a single digital work. For example, a Shuzang style releases 2,000 copies, and one copy sells for dozens to hundreds No wait, after the user finishes buying, they are basically waiting for the open transfer to conduct secondary otc transactions, which is completely different from the NFT gameplay. Overseas NFT projects usually have thousands or tens of thousands of NFTs of different styles.

Third, from an operational point of view, Shuizang is more like a one-shot deal. Because there is no copyright commitment, most of Shuzang’s continuous operations are under little pressure. Overseas NFT projects usually have a series of continuous operation activities, which will be developed step by step according to the roadmap.

In fact, digital collections have basically reached a dead end in China. Recently, Magic Core has been offline, and digital collections themselves do not have the feasibility of secondary compliance transactions. Therefore, we are currently mainly exploring the compliance path of digital copyrights in China. We hope to combine digital copyright with the community logic of Web3, and bring overseas interesting things to domestic compliance. We hope to find a cc0 project like MoonBirds to do some secondary creations; or to do it based on the logic of digital copyright after obtaining some copyright authorization. We are very sensitive to domestic policies, and we are still exploring.

Daryl: Compared with overseas NFTs, the domestic data storage operation and planning capabilities are relatively weak, which is actually a gap in strength. Secondly, there are some problems in the basic layer of domestic data collection. In terms of NFT, the market is more recognized by the NFT on Ethereum, which wins all domestic data collections at the basic level. Ethereum's anti-censorship capabilities, decentralization, and network robustness are far stronger than alliance chains. I am also why, I feel that I am more pessimistic about the fact that Shuizang will carry a large market. As Shuizang grows to a very large size, there is another possibility that there will be a game similar to Fantasy Westward Journey and Jiansan, and Shuzang can be used as equipment trading.

Tracy: Please talk about your views on the future of NFT and some of your coping strategies.

Veigar: I recently saw some domestic first-level projects related to DID, identity authentication, and data analysis. I think whether it is DeFi interaction or Gamefi in Web3, we will store a lot of data, and the data of different applications is accumulated to the same address. Therefore, digital identity has more potential. At the same time, in terms of data security, we have also seen many entrepreneurial teams doing it. In addition, the avatar is only the basic gameplay of NFT, and the application of NFT in games is also very imaginative. At present, the life cycle of most Gamefi games is not long, and the corresponding NFT value is also very limited. If the game survives longer and other gameplays are derived, NFT may become a key link in the game.

AIBEN: In the future, I am more optimistic about these directions of NFT. First, it may be a better way to govern DAO through ERC 1155 NFT Token, which Truth labs is currently doing. Second, the game is a very good scene where NFT can land. I still look at OtherDeed and 10KTF. Third, the creator economy will have a very exaggerated explosive growth after combining AI+NFT.

For NFT projects, I have several dimensions of judgment: the first is artistic value, or whether the soil point is good-looking; the second is the team, especially whether the ability to engage in affairs, innovation, and marketing is strong; the third is Funding background, it is best to have some experience in entrepreneurship and capital operation before, otherwise you will be stunned by money. The fourth is the track, whether it is in direct competition with other projects, and what are the advantages? I voted for Clone X before because I have always liked RTFKT’s virtual trendy shoes. There are few competitors on this track. I am in Clone X Before the release, I also wrote articles on Zhihu for a while. And 10KTF I was one of the first batch of mint players in September last year, and I have been playing until now, also because his idea of this type of equipment is also unique, and there is a strong team to endorse it.

Tracy: AI art is a very hot field now. Aben has a deep research on this aspect, and even the avatar of this event was drawn by himself with AI. Please share with us the current overall development of AI art and how it can empower NFT?

AIBEN: This year can really be said to be the first year of AI art. Since the beginning of the year, we have gradually seen the germination and development of AI art works. It was only a few months ago that I discovered that AI art is so strong that it can generate works that match outstanding creators with a few prompts.

It is said that Xiongshi immerses himself in work. Now I am immersed in AI in Xiongshi, and I have specially created a batch of new accounts to operate my own AI creations. There are currently several mainstream AI tools: Disco Diffusion, Midjourney, Dalle2, and the newly open source Stable Diffusion, each with its own characteristics, but they are all powerful.

I think AI is tailor-made for Web3 and NFT, why do you say that? Because AI creation tools greatly reduce the cost of professional creation, everyone can become an art creator, and art creation is no longer a field for a small number of people to show off. As for the core spirit of Web3, my understanding is to remove authority, decentralize, advocate equality and freedom, then AI creation tools bring artistic freedom, and everyone can create excellent visual works according to their own ideas. AI art is also a wake-up call to those pseudo-artists who are not seeking to make progress, and the times have changed.

In terms of empowerment, let me throw out a few ideas of my own:

1. NFT AI couples/assistants. In the future, NFTs can combine AI to create their own couples and assistants, making the scene of the movie Her truly come true.

2. AI Metaverse NPCs. Metaverse games need some smarter NPCs to solve players' problems, so AI NPCs can do it.

3. Customize role-playing, generate your own image through AI creation, add AI character, cooperate with the set background story, this is AI+NFT+DND (Dungeon and Dragon), you can create it yourself in the future The character went to run a group.

Watell: In the field of NFT, I am infinitely optimistic about ERC-4907, which strips off ownership, use rights, and display rights. In the previous Gamefi boom, the game union YGG grew to become a leader in this field through the leasing of NFT. It rents out NFT to players, and then obtains share and commission. With ERC-4907, any game union and any Metaverse real estate company can become YGG. You can easily set rental time and other related information through ERC-4907. When the time comes, it will be automatically repaid, which is not only convenient but also safe. The future of Gamefi and Metaverse real estate may be very promising. In addition, in the future, NFT PFP projects may not have projects like BAYC, and of course there may be waist projects like Akuzi.

Thinkasibe: A few guests mentioned Gamefi just now, but I actually agree with it, because the scarcity of props in the game field and the scarcity of NFT can make a perfect combination. I know that many manufacturers are already working hard on this field, making game props into NFTs, and trading them on the chain to reflect the investment value, which can be used in games and displayed on social platforms. The certification of game props or game records will give NFT more value foundation, and at the same time, the open and transparent transaction operation of NFT on the chain can bring the unique technical characteristics of decentralization to the game itself.

In terms of strategy, I think it is necessary to see clearly the overall planning, project scale and team strength of NFT. We need to figure out where the value of NFT is? It is a collectible, and it can still participate in some DEFI production activities, or have some use value.

In addition, although it is now in a bear market, it will not be too far away from the next round of bull market. It is recommended that you keep your wallet private key and mnemonic phrases.

Daryl: NFT is also an asset target. I think it is very important to do a good job in position management. Regardless of whether it is the Kelly formula or the optimized version of the Kelly formula, everyone must determine their optimal betting ratio. Not losing money is our first goal.