NFTs are hot with celebrities, but what are they and how do they work? – Channel 2 of WSB-TV
ATLANTA — Celebrities are spending a lot of money on NFTs, with some selling for millions of dollars.
NFT stands for “non-fungible tokens”, said artist Micah Johnson.
But what are they? And after buying one, what can you do with it?
Channel 2’s Jorge Estevez spoke to people who create NFTs in Georgia about how people can benefit from owning and profiting from them.
Celebrities from Shaquille O’Neal to Gwyneth Paltrow are jumping on the NFT craze. Justin Bieber reportedly paid $1.3 million for his “Bored Ape Yacht Club” NFT.
“So you own it, you can sell it, you can trade it to someone else,” said Atlanta-based GigLabs co-founder Jon Parise.
The Players’ Lounge released 4,500 Georgia Bulldog NFTs for $199 each in January.
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“What we did with our token is we associated it with an image,” said Ty Frix, co-founder of Players’ Lounge.
“How long did it take for you to sell?” asked Estevez.
“Four hours,” Frix said.
Jonathan Wallace writes the code that creates the one-of-a-kind Dawgs.
Part of what makes NFTs unique is that they live on the blockchain – an information-recording system that is impossible to change, which makes them secure.
“So you have to show that they’re going to live on this blockchain, and they can’t be changed after the fact,” Wallace said.
“It’s almost giving them their own VIN number, like your car?” asked Estevez.
“100%,” Wallace said.
Not only do collectors get a cool image, but they also become part of a community.
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In this case, the NFT is like a unique key that gives the owner exclusive access to Bulldog players.
“We are working on creating a space where a gamer can play video games with fans or a gamer can participate in a live podcast with fans,” Frix said.
Bulldog players are paid for their participation.
Estevez took to The Players’ Lounge discord channel and video chatted with Aaron Leicht, a sales and marketing coach in Nashville, Tennessee, who has purchased multiple Dawg NFTs.
“What do you like most about your NFT?” Estevez asked Leicht.
“It brings you closer to the game, to the players, and you can interact with these guys that they have access to,” Leicht said.
NFTs could be the future – and not just as images like Dawgs. They could also be used to store important documents like your home deed, keepsakes like your high school diploma, or everyday items like your driver’s license, meaning you wouldn’t have to. not to carry it around in your wallet.
NFTs can also be art.
Former Atlanta Braves player and artist Micah Johnson created the NFT series “Aku Dreams”, which tells a very personal story.
“(It’s about) my nephew asking me if astronauts could be black,” Johnson said.
“What is it about Aku that you think resonates with people?” asked Estevez.
“I think it’s the helmet. I think you don’t see him, who he is. So there’s this stuff that could be anyone,” Johnson said. “That’s when I knew Aku was a thing that could really go on. My daughter is 2 and a half. She can see Aku on my phone across the room and become crazy. Akou! Akou! Akou!”
Aku collectors get special access to events like a party in Miami, Florida during Art Basel in December.
These NFTs sell for thousands of dollars and plans are underway to turn Aku’s story into a movie.
Jon Parise works for GigLabs, which provides the technology to help companies create NFTs.
Their clients include The Players’ Lounge, CNN and UFC.
Parise believes that in the future, everything from music to tickets will become NFTs.
“Not only do you now have access to the event, but then you have this digital collectible that says, ‘Yeah, I was there. And I can salvage that and now I can look back fondly and say, “OK, this is my collectible,” Parise said.
If you’re looking to cash in on the NFT craze, Parise recommends doing your homework: know the team behind the project, understand their vision, and trust your instincts.
“As long as you buy things you like and appreciate, you won’t be so upset if their value doesn’t skyrocket,” Parise said.
NFTs can also be a status symbol like a Rolex watch or a Gucci bag that shows others you’ve made it.
It’s part of the popularity of the Bored Ape Yacht Club – the NFT that Justin Bieber bought for over $1 million.
There is money to be made with NFTs.
Parise said that in the secondary market, it’s not uncommon for NFTs that could cost hundreds or thousands of dollars to then sell for $1 million.
But it all depends on supply and demand, and whether people want to own a particular NFT.
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