NFT Value

What gives a NFT its value ?

The value of an NFT is defined subjectively by the tastes and passions of individuals. It is also defined by the usefulness of it.

Here are in two sections, the elements that can contribute to the definition of value of an NFT

🎭 Subjectivity

Here are the elements that contribute to the subjective value of an NFT:

Depending on one's taste:

• The design: 3D / 2D / Cartoon etc.

• The story: The description of the NFT, or the collection.

• The theme: An NFT representing a racing car is more likely to be appreciated by consumers in the automotive sector.

• The community: Discord / Twitter etc.

Reminder: An NFT is a certificate of ownership represented by an illustration.

🧰 Objectivity

Here are the elements that define the objective value of an NFT:

• Its usefulness: What does the NFT actually do? (Access to events, airdrop, merchandising, gaming, revenues etc.)

• Its team: Who is behind the project (Skills, experience)

• Roadmap: The roadmap of the project. (In which direction it wants to go)

The roadmap is based on the word of the project, there are no legal obligations yet!

🧬 Price / Quantity

Supply: The price of mint and the quantity of NFTs (per collection) are defined by the project creator.

The Subjective Value and the Objective Value create the demand. When the demand is higher than the quantity (Offer), then the resale price is higher than the mint price, it is the market that decides the price.

If the mint price is high then the resale price, in this case, will be higher and therefore more valuable.

✨ Rarity

NFTs have metadata, in a collection, some are rarer than others. In the form of attributes :

Some attribute to them alone give benefits,

Example: I have an NFT that allows me to access an event: if it has the "VIP" attribute, then I will have access to the VIP room.