3 Alternatives to Consider When NFTs Become the Norm When NFT collectibles become the norm, they will significantly lose their value.
By Parwinder Singh •
Opinions expressed by Entrepreneur contributors are their own.
NFTs can be used as security tokens, smart contracts, collectibles or even as a means to represent debt or equity in a company. With the surge of interest in NFTs, many startups are now trying to jump into the bandwagon by launching their own sets of non-fungible tokens. Some ICOs reserve several percent of their token supply for their internal purpose, such as creating and selling unique doodle-like art on their platforms.
Getting an NFT usually comes with a price, which might be too high for most startups. While the concept is relatively advanced and promises excellent opportunity in the long run, it poses uncertainty regarding its asset status.
In case the market gets too saturated and these collectibles become a norm, they will significantly lose their value. Consider these as an alternative to NFTs.
1. Cryptocurrencies are still profitable and the market will expand.
A lot of people have been worried because the market has slowed down a lot over the past few months, but rest assured that crypto is still worth the investment in 2022. A lot of platforms are going to expand this next year, offering more opportunities for future investments.
Due to the cryptocurrency market's volatility, many people have been worried about investing in digital assets. The key here is to make sure that you are investing in meaningful projects that have growth potential. You also want to make sure you are diversifying your investments as much as possible so that you don't put all of your eggs into one basket and then end up losing them all if something happens to your investment.
Related: 3 Non-Digital Art NFT Use Cases Set to Take Off
2. Businesses and projects that aid Meta.
The introduction to the metaverse has been certainly overwhelming to a lot of us. But if you scrutinize it properly, some points may lead you to the path of success. Meta is aiming to take a significant place in society. To reach this goal, Meta will work with software and hardware companies that produce products so that their platforms can interact with each other. This will be a huge step forward for all ecommerce websites and will be an excellent source for Meta's growth, also encouraging many investors to invest in the platforms.
Related: Can Anything Be an NFT? Here's What You Need to Know.
3. It's time to focus on ed-tech startups.
Demand for collaborative learning, educational gamification and personal learning technology is expected to drive market growth in the next few years.
The ed-tech sector's growth is expected to be driven by the fast-evolving teaching-learning process in K-12 and higher education institutions across the world. Moreover, an increase in government initiatives, such as the Common Core Standards Initiative, is also fueling market growth. As technology is becoming an integral part of the classroom, more and more investments are being made in ed-tech startups. However, investors need to understand that these startups are not viewed as a security, and their capital gains are expected to be comparatively low.
Related: What Is an NFT? Inside The Next Billion-Dollar Crypto Sensation.
