Digital art has undergone a significant evolution over the last few years, and one of the key elements of this evolution is the birth of NFT Art. In this article, we will explore what NFT Art is, its key examples and how this technology has changed the way we think about digital art.
What is NFT Art?
NFT, or Non-Fungible Token, is a type of cryptocurrency asset that represents unique, indivisible assets. In the case of NFT Art, these are digital artworks. Digital assets, represented by NFT are art that the holder can sell or trade on any blockchain platform designed for this purpose.
Selling digital art under the form of non-exchangeable tokens is a way of selling that does not require building an extensive social network. All transactions take place on dedicated NFTmarketplaces, which do not require self-promotion.
How does NFT Art work?
NFT Art is created and stored in the form of tokens on blockchain, typically on Ethereum-based platforms. Each token represents a specific piece of art, and its entire history is publicly available on the blockchain. This means we can see who currently owns the artwork, when it was sold and for how much, and who the author is.
Basic differences between NFT Art and traditional art
In some cases, NFT Art pays off more than traditional art. Why? Because in this case, the artist can set a percentage of the commission and earn money every time their work is sold. Unlike traditional art, works represented by non-exchangeable tokens can be resold and their creator receives royalties each time.
The main differences between NFT Art and traditional art, include:
First and foremost, the method of storage. Paintings created by famous painters require storage space. The artwork represented by NFT needs only a digital file, which is stored on a platform built on blockchain technology.
The second difference is the method of sale. Paintings or other traditional art is sold in art galleries, auction houses or online platforms. NFT art can only be purchased on dedicated NFTmarkets.
Potential recipients. This is the third, and very important, difference. NFT Art reaches many audiences, and all you need is access to the internet to do so. If you want to buy a painting, or even view it, you have to go to a gallery or auction house.
The fourth difference that works against NFT Art is the market volatility that the sector unfortunately experiences. The NFT market depends on many factors, including even public sentiment.
History of NFT Art
Although NFT Art has only become popular in recent years, the history of the phenomenon dates back to the early days of blockchain technology. The first attempts at creating NFT were quite tentative, but as the technology developed and its potential was understood, NFT Art began to attract more and more attention.
The first known NFT, “Quantum” created by Kevin Abosch, appeared in 2014. However, it was 2017 that is considered the breakthrough year for NFT Art, when CryptoKitties – a collectible game based on blockchain – gained popularity. Players could collect and trade virtual kitties, which were represented by non-exchangeable tokens.
In the years that followed, NFT Art grew in popularity, with artists and collectors being offered new ways to use blockchain technology. Works by many well-known artists, such as Beeple, were sold for tens of millions of dollars at NFT auctions. This event brought worldwide attention to this new area in digital art.
Advantages of NFT Art
- Digital art very often costs less than traditional art. With traditional art you need expensive materials: paints, brushes or canvases. With digital art, you need Photoshop.
- NFT Art is a new way of generating passive income. You can set yourself a percentage of the sale of a particular work or ‘cash in’ on royalties.
- Less risk of damage. Images can get dirty or even torn. With digital graphics, there are no such dangers.
- The cost of joining the NFTmarket has a lower entry threshold than traditional art sales.
Disadvantages of NFT Art
- Instability. The value of digital art is influenced by many factors, such as public opinion and social media trends. The return on your investment can therefore take time.
- The amount of energy that is needed to operate blockchaintransactions can be considerable. Then there is the gas fee, which is often also high.
- NFT is not regulated by law. The NFT that represents the work in question is not necessarily a property right to it.
- Many pieces of the NFT have been stolen, leading to many complaints related to this market.
Examples of NFT Art
“Everydays: The First 5000 Days” – Beeple
The artwork Everydays: the First 5000 Days by Mike Winklevoss, known as Beeple, has become one of the most expensive digital artworks in the history of the NFT market. Sold at auction at Christie’s art house for around $69.3 million, the work consists of 5,000 different images that the author created every day for 13 years.
“CryptoKitties” – Dapper Labs
CryptoKitties, a collectible game, was one of the first known uses of NFTs in digital art. Players could breed, collect and trade virtual cats, and each cat was a unique NFT. The game became hugely popular and brought NFT into the mainstream world.
“The First Twitter Tweet” – Jack Dorsey
Jack Dorsey, co-founder of Twitter, sold his first tweet for $2.9 million. Under the post NFT, of course. This 2006 tweet has been hailed as a historic moment in social media history.
Summary
NFT Art has brought a revolution to the digital art world. It has allowed artists to sell their artworks directly without intermediaries and collectors to have full control over their acquisitions. However, this technology also faces criticism because of its impact on the art industry and ethical issues.
Whether you are a supporter or critic of NFT Art, there is no doubt that it has ushered in a new chapter in the history of digital art and gives artists and collectors a whole new opportunity to create and sell their work.
