Recently, controversial influencer Andrew Tate took to social media to reiterate his disdain for Non-Fungible Tokens (NFTs), branding them a scam, a stance he initially took in October 2021. Through his posts, the influencer castigated NFTs stating they prove “the entire crypto space is a scam”, boasting his prediction about their decline to zero showcases he’s “never wrong”.
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Is Tate correct?
Tate is not entirely wrong in his statements as several overpriced art and profile picture (PFPs) NFTs are a red flag. However, dismissing NFTs entirely based on a few use cases is neglecting the broad potential of the technology.
Labeling the “entire crypto space as a scam” is another statement that misses the mark, especially taking into consideration that the influencer has a history of owning Bitcoin. Back in June, authorities confiscated over 21 Bitcoins from Tate due to charges related to rape, human trafficking, and creating an organized criminal group.
A broad spectrum of utility
There have been notorious NFT scams but not all are worthless JPEGs. NFTs have inherent utilities that could significantly impact the world in the near future. Be it gaming, ticketing, tokenization of physical assets, or online identity verification, the use cases are numerous.
NFTs can authenticate luxury items like cars, watches, jewelry, and even Pokémon cards. A great example is how Panerai has recently begun offering digital passports to buyers upon purchase. The NFT digital passports act as verification of authenticity for each watch.
Fan engagement is also another important use case. On platforms like Zetly, NFTs can be sent to fans’ wallets granting them unique privileges like backstage passes or exclusive game access. Even influencers like Tate could leverage such platforms to reward loyal followers, embodying a value he seemingly cherishes.
Moreover, NFTs can safeguard artists’ rights, ensuring royalties whenever their creations, be they music, movies, or images, are bought or reproduced. This innovation ushers a royalty system where all art collaborators receive micropayments perpetually.
Warranted NFT skepticism
While the influencer’s skepticism towards overpriced JPEGs holds merit, dismissing NFTs entirely as a scam misrepresents the larger picture. Beneath the hype and the scams, a world of utility is gradually unfolding. As the realms of Web3 and the metaverse burgeon daily, the genuine utility of NFTs will inevitably surface.