Can NFTs make the Bidding Process more Transparent?

The NFTs are the latest fad in the cryptocurrency world. After the rise of Bitcoin in the preceding year, many types of crypto assets and derivatives have managed to gain popularity. NFT is short for Non-fungible tokens. In simpler words, it can be said that NFTs are also a type of cryptocurrency or a certificate of authenticity. 

The unique technology called NFT has many good selling points. The technology has started to get more exposure as the NFT based artworks have started to make headlines in 2021. One of the most talked-about and popular NFT art is created by Mike Winkle, better known as Beeple. This NFT artwork called the “First 5000 Days” is being auctioned by Christie’s auction house and closed at the final bidding price of $69.3 million by MetaKovan. The runner-up bidding for this artwork was made by the infamous Justin Sun. 

Why is NFT Artwork being Valued at Millions of Dollars?

NFTs are quite complex at their core. However, in layman’s terms, it can be said that an NFT is a non-copy-able or non-duplicate-able ownership certificate that is issued against any type of media file like audio, video, Gif, or even AR/VR 3D models. With the help of this type of technology, the creators of artwork would be able to generate a 100% unique ownership certificate against their work and get paid for it as per their own terms.

The backers of NFT claim that this technology has the potential to change the game in the music industry and all other types of creative content. The new music streaming service by the name of Tidal, which is endorsed by Jay Z, has plans to make NFT protocols more popular in the near future. Part of the reason why NFT artwork is gaining so much popularity is that many believe it to become gain massive momentum soon. MetaKovan, who has bought Beeple artwork for millions of dollars, believes that the artwork has the potential to be valued at $1 billion.

Before the final bidding arrived for the First 5000 Days, the artwork was thought to be bought for the second-highest bidder Justin Sun. Sun is currently serving as the chief executive for two crypto-related platforms, TRON and Rainberry (Formerly BitTorrent). He is also the founder of the mobile app Piewo. Justin is known as the Crypto Whiz Kid; his first moment in the spotlight was when he paid Warren Buffet $4.6 million to have lunch with him and postponed the meeting for six months. 

Sun has happily embraced his defeat in the NFT Christie auction. He even made an offer to incorporate the venerable bidding house with blockchain technology for a more transparent and efficient bidding system. According to the MetaKovan close correspondent, the NFT artwork can be tokenized by the winning bidder in the future. However, making more money is not the objective of MetaKovan as he deemed this piece to be the most valuable artwork of his generation.    

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