Welcome to the weekly update of all things NFTX, along with a sprinkling of NFT news as well.
Another week, another set of record shattering sales.
New NFT Index Funds are coming in hot 🔥
The reactivation of vault creation, combined with our new tutorial on creating funds, has led to a leap in the number of available funds.
Past week we’ve seen fifteen new funds created. Of these, a few are already listed on the Gallery site:
A full overview of all funds on the Gallery can be found here.
Created a new NFT Index fund for your project but not seeing it on the Gallery? Make sure to fill in the listing request on our website here.
The organization behind NFTX is growing
On March 12th, XIP#3 passed its voting quorum with 100% of votes voting for hiring the first official Consumer Products squad, a group of contributors that will be mainly responsible for building successful end-user products on top of the NFTX protocol.
From the governance proposal: “To ensure we keep this competitive advantage, we feel the need to appoint a fully committed product squad that is autonomous in leading research, development, growth, and promotion for the NFTX product(s) while also focusing on incentivizing and attracting third parties/community to develop on and/or integrate with NFTXs’ range of products & services.”
Find the entire vote and its implications on our Snapshot page.
Liquidity surge for Punk-Basic incoming
Another highly discussed topic surrounding NFTX governance has been the increase of liquidity for “floor pools”.
Floor pools are NFT Index Funds that allow all NFTs from a certain category (such as CryptoPunks) to be used as collateral, effectively making the fund track the price floor of the entire category.
After multiple discussions on Discord, our forums and governance calls we’ve doubled down on proposing to use NFTX from the treasury as the preferred token of choice to supply liquidity on Sushiswap. This proposal, written by Finesseboi & ChopChop, has reached consensus yesterday (March 14th).
Next steps will be listing additional liquidity as proposed in the vote on SushiSwap. Further funds, such as the Axie Infinity and Avastars funds, will follow the same route.
NFTX sponsoring ETH Global: NFT Hack
As talked about previously, NFTX is sponsoring this years’ NFT Hack event by ETH Global.
The free event takes place from Thursday March 18th to Sunday March 22nd, attracting the brightest minds from the DeFi & NFT scene to work together in a 4-day event.
Alongside being a name sponsor, NFTX will be attending the event by giving two workshops going in-depth on how to utilize the protocol and answering technical questions from attendees.
Thursday March 18th - 17:00 CET: NFTX 🛠Sponsor Workshop by Alex Gausman
Saturday March 21th - 18:00 CET:: NFTX 📚Saturday Session by Alex Gausman
Next to that, we’ve allocated the maximum prize pool consisting of $5,000 for the top 3 inventions built on NFTX. Terms and conditions will be made available by ETH Global to all participants in advance.
To attend the event, register on their site here: https://nfthack.ethglobal.co/
Creating your own NFT Index Fund
Last week we published a new tutorial on creating funds, which became popular quick as you can see from the number of new vaults/funds created over the past week.
Following the tutorial above, when creating a new index fund it will become instantly available via the vault URL supplied during the process. The fund will then be listed on the homepage once verification has been completed by the product squad. To improve the discover-ability of new funds we’re changing that process around in the coming weeks, and you will be listed immediately on the homepage while the verification takes place.
If you’re looking to be featured in the gallery, please use the Gallery Request Form.
The team will continue to produce new tutorials. If there’s something which you’re having trouble with then let us know on the discord and we will get those prioritized.
Beeple NFT Sale $69M
Last week was all about the record shattering news of Beeple’s NFT sale online at Christie’s.
Beeple his sale goes down as the third most expensive for a living artist according The Wall Street Journal.
The implications of this sale are deeper than the financial value of the sale itself. Christie’s, founded in 1766, is known for curating works from top artists throughout history. Their foray into NFTs shows that there is market validation from industry leaders in relation to digital collectibles.
With the rise of DeFi, auction-houses aren’t needed to legitimize the art of creators. Digital signatures with secure contracts are better than any certificate of authenticity you could ask for. It doesn’t take a team of experts to hold an auction for rich people anymore. The technology has outpaced the need for multi-level reviews and classism “keeping out the riff-raff”.
Communities like NFTX are determining the value of assets more than any auction house ever could. In five years, the largest digital sale won’t be because an auction house gave its private approval of the work. Community led efforts to decentralize art will open up new value streams for excited buyers who never would be included in the private sale Christie’s crowd.
Lose an NFL Super Bowl, win with NFT auction.
KC Chiefs quarterback and all around cool guy Patrick Mahomes is jumping into the NFT market with six pieces launching March 17 on MakersPlace.
No need to wait for Topps Trading Cards to come out with jersey collectibles anymore. Mahomes collaborated with The Impossible Brief, whose clients include The Chainsmokers and Coldplay, to create the artwork.
So if you can’t beat them, join them. Rob Gronkowski “Gronk” bested Mahomes in the Super Bowl and was the NFL first player to the table in the NFT space announcing his NFT trading cards dropping soon.
We’re all going to be winners in the long run if celebrities adopt the use of NFT’s for extending their brand. Why go through a manufacturer if you can reach the customer in one step? More control of content, art, and delivery.
The environmental impact of NFTs
The environmental impact Crypto has upon the environment has become the “elephant in the room” when it comes to collectors and artists buying/selling/trading, particularly on Ethereum.
This concern has grown over the past week after a number of high profile bloggers writing about it, like Seth Godin and Everest Pipkin. Fortunately there are other articles which provide a balanced view including one from Sterling Crispin which looks at the numbers in context, and Silly Tuna who offers a direct rebuttal to Everest’s piece.
The best thing for you is to DYOR (Do Your Own Research) and come up with an informed position.
Punk Aliens sell for 4,200 ETH
Another week and another record breaking sale for the Larva Lab’s CryptoPunks. Last time it was an 800ETH Ape Punk that took the spotlight. Last week, two Alien punks both sold for 4200 ETH a piece - which was worth approximately $7.5m per NFT at the time of sale.
If you’d like to get exposure to CryptoPunks but don’t have more than 7 million laying around, you have the perfect entry point with the Punk Basic Fund.
Mentions in media
- William provides an overview of the different ways you can get into investing with NFTs in his tutorial How to Invest in an NFT Index.
- The “Two minute Crypto Altcoins” have created a short video to provide an overview of the NFTX platform and token. This came off the back on requests from within their own community.
- Consensys takes a look at The Financialization of NFTs and how NFTX is playing a role in that journey.
Another week of the price moving between $243 and $339 and finishing just shy of the 7D high at $338 as of Sunday evening.
That's all for this week. If you have any questions, come and join in on the discord channel.