Now look at it. We did a lot of research on how to talk about NFT and blockchain without becoming the first villagers to meet television in Vizontele. Those who look at the articles in the Data section know that I do not like the current uses of these technologies very much. But what about the technology itself? What is blockchain, what is NFT? You know how Bitcoin is so inconstrusible? How come it’s taken everywhere now? (On the other hand, how can this cryptocurrency disappear with people’s money so that sites that sell NFT can plug it in?)
Can technology be a bad thing by its own nature? Anton came to the aid of the NFT and the blockchain, and you’ll see the fruits of his research in the following chapters.
Let’s first clarify what NFT is. NFT – Non-fungible token. I mean, “non-traded tokens”. What we mean by trade is that if we traded your one pound of iron money and my one pound of iron money, we wouldn’t have won or lost anything. That’s the same with cryptocurrencies. A Bitcoin equals a Bitcoin, even though the wallet codes are different values equal. But each of the NFT’s is exclusive. Each has its own code and a value that the person who made that NFT has.
What a money bored Ape made from it. No, at least if it looks like something. Am I the only one who finds that design repulsive?
It’s actually a technology that’s been around since 2014, but the idea of adding a picture or something visible as a showcase to NFT’s is new. And the NFT market, which exploded with the ease of creating a .jpg file, is now in rapid decline. But I want to start over so the stones can fall into place.
In 2008, the economy was plunged after mortgages called “mortgages” were mortgaged in the UNITED States, which turned into a vicious circle and collapsed under its own weight. Actually, cryptocurrencies come out of this turmoil, but if I get into that business, this case may never end. But I still want to explain it in a simple way because the cause of that collapse has a common variable in our subject.
Human nature
If the mortgage is under mortgage, if you can’t pay the loan, then the deed to the house you bought will go back to the bank where you took out the loan. This means that even if you haven’t been able to pay off the full loan, the bank can resynknhouse and cover its “losses.” Before the crisis of 2008, there were plenty of homes built under the system, which saw mortgages as guaranteed earnings. In order for this system to work, banks are giving mortgages to anyone, and with aggressive sales tactics, a ton of people who cannot pay off their mortgages are being sold. After all, if they can’t pay the loan, we’ll resell the house and get the money out. Right? And with so many houses already sold, who did they plan to sell the mortgaged houses to?
That’s why the American economy crashed in 2008. Not only is the economy crashing, but there’s a ton of empty housing, a ton of homeless and penniless people. The U.S. still hasn’t recovered from the effects of 2008.
Looking back on 2022, this may seem like a very obvious outcome. So of course you can’t build a pile of houses and sell them in installments to people who can’t pay off their loans, and then buy them back, and you can’t sell even more houses on top of them. We call it flat ambition, greed. What a blinding thing to do.
The current incident, especially in the case of NFT’s, is actually very similar to before the U.S. Mortgage crisis. It’s just that the scope isn’t that great, losing a URL and a few thousand dollars and being home can’t be put in the same category. But one question: Who do the owners of all these NFT sold under the guise of valuation then plan to sell them to? And with so many NFT sold out. And it’s getting easier and easier to get an original NFT, when the price is getting higher and higher…?
Following his death, an NFT was produced to honor Chadwick Boseman at the 2021 Oscars ceremony. His fans didn’t find it “flattering” because it was designed to sell the NFT and make money on it, remember?
Economic reflections of hype culture
You’d say they bought NFT people thinking they were buying pictures, or those who lost their money to sites that had been resurgent three days ago. Unimaginable amounts of money have been poured into this NFT influx, which is marketed as a brand new investment vehicle. Celebrities bought and sold, compared their NFT on chat shows; Wow, sir, everyone from Elon Musk to Banksy to Paris Hilton has an NFT that has nothing to do with economics or technology.
Two years after this “hype” began, the NFT market went into rapid decline. The number of people buying and selling NFT and talking about the NFT has fallen at a terrible rate. Well… it was the one who made the hit.
I really hate to say it, but that’s the truth. It is no coincidence that there has been a recession and decline in crypto circles in recent years, followed by the explosion of NFT. The NFT’s were designed to use their monkey, lion, variegated storefronts to push people who don’t know exactly what they’re doing to buy cryptocurrency. Because crypto circles needed fresh blood. Why else would NFT be sold with Etherum, bitcoin? For example, if I buy using TL, the amount that will go into the pocket of the seller of the NFT is the same. Then whatever he turns it into.
I hope you understand that by fresh blood I mean real money. Because although crypto circles define themselves as a new money haven away from banks, where they can shop and invest freely, cryptocurrencies can’t go far beyond being a secret and insecure stash that you can sell for “real” money when the time comes.
Blockchain and cryptocurrencies have many problems, and those who install or maintain these systems refuse to discuss them. As the NFT conversation shows, the biggest problem is the human being. And then he expended energy.
There was a time when there was this fury. Anyone could translate any Tweet they wanted into an NFT without question.
An energy-consuming crypto?
We’ve heard that a lot, especially when it comes to NFT’s. Crypto spends a lot of energy.
Which we as players are much more familiar with. We couldn’t find a video card because someone was going to set up computers that work day and night to decode cryptocurrencies. The prices of existing ones have also skyrocketed as demand has increased.
The vicious circle is the same: it’s building a computer system with money. He’s making crypto. He’s making more money and building a bigger system. Because crypto is not a world of dreams independent of the real world. Crypto advocates say that crypto is the only one that spends energy? How much electricity does the banking system get in one day? Those ATMs work day and night. Isn’t that the energy that goes there?
It is not possible to know with certainty the energy used to extract cryptocurrencies. For one thing, people who extract large amounts of crypto with very advanced systems are always looking for places where electricity is cheaper. Besides, there is no definitive system that follows crypto extractors such as crypto. Reliable estimates equate crypto’s one-year electricity generation with that of a small industrial country.
But the statistic I encountered in the long video “Line Goes Up” by YouTube channel Folding Ideas about cryptocurrencies is also interesting: According to the data, the amount of data that is equivalent to the 6-hour data flow through Bitcoin is processed through the financial company VISA in about a minute. And that’s just VISA. It’s got a Master Card, it’s got a Maestro, it’s got American Express… yes, global banking is also spending electricity. But global banking is currently busy serving people and governments all over the world.
The one who eats the energy of crypto and leaves the carbon footprint is a few thousand people, already full of pockets.
When all of this guy’s NFT was stolen, this Tweet went viral. People made fun of it a lot, then they turned the screenshot of the Tweet into the NFT and sold it.
To get to the point…
When it comes to crypto, it’s not the right approach to look for the blame in ordinary people who buy a few hundred dollars worth of crypto and sell it a little higher. And when there’s an NFT, pointing fingers at people who have been conned in some way is not the answer.
These technologies are not intrinsically bad or tangible. On the contrary, we really need a system that allows us to have things in a virtual environment in a continuous and precise way. This happens in our Steam library, we have songs on Spotify, we have movies and series that we rent from forty different places…
For example, I’ve been reading about the troubles of people who have deleted games purchased from Battle.net in the last few days and whose support line says, “You’ve never bought a game like this.” Anyone can find their bill from the fi date, and no one can. He’s got a guarantee in a digital environment.
The biggest reason crypto is at risk right now is because of the people who hold this system. And as long as the system they’ve built serves them so well, it’s going to go on and on. When and how this pattern ends, or changes; I’m not the one who can foresee it. The NFT is currently experiencing its expected collapse. We will watch and see the adventure of crypto.
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Potential Uses – Anton Semchenko We’ve been so angry and cursing at the NFT, but is it really that bad? Doesn’t it make any sense? Of course I do. Assuming we solve the energy consumption problem, we can talk about several potential uses. Plug What we call the NFT is essentially a plug. It’s a fancy receipt that we can’t fake or tamper with. So we can use the plugs wherever we use them. In fact, it can play a big role in our daily shopping, as it is completely digital and not connected to the third party. Let’s say you buy a fish at the supermarket. You cooked it, ate it well, and an hour later you realized you’d been poisoned. Who’s to blame here? The supermarket worker who put the wrong date on it? The wholesaler who lied about where he bought the fish? Or the fisherman holding the fish? With today’s technology, you need to start a special investigation to detect them. Besides, at some point in the chain, someone might have taken bribes and printed false numbers. Alternatively, let’s imagine everyone using NFT. The fisherman holding the fish creates an NFT that holds the watch and the place. The wholesaler is buying this fish and the NFT. The NFT is attached to the wallet of the specific truck. The supermarket that buys it in the same way buys this NFT and eventually sells it to you. Now we can see the whole chain with a single internet search. Neglects made during shopping can be revealed much more easily. Buying Acetate Yes, the NFT can really be used to buy and sell acetate. Aside from the issue of whether we should digitally move the limitations of the physical world, the biggest problem of NFT;s is the life expectancy of connections. (Here you can bring to mind the forum links that have disappeared in the past. Same logic. -Gülhis) You bought aseti, two years later the connection that the NFT pointed out is dead and you are stuck with your receipt. And this connection can’t solve the problem of dying? Arweave developers claim we’ll figure it out. Looks like they’ve already figured it out. The system works like a torrent. Data is stored on users’ computers and servers. Every once in a while, if the computer or server is disabled, we don’t even know about it, everything keeps working. Moreover, there is no replacement of the loaded data (an important detail for the NFT). Where does this mill’s water come from? Of course, patriarchs who seed torrents are not a common species. Most of us delete it like we downloaded it. Why are Arweave users seed;lesin? Like any exemplary citizen living in a capitalist order, you can guess the answer to the question: Money. Citizens who open their computers and servers will receive payment in return (this payment will of course be in their own cryptocurrency, but I’m not going in there yet).. |
Users will also pay a one-time fee when they want to upload files. Yes, just once, you can keep your data forever by paying about 1 cent per 5mb. At least that’s their promise.
If these friends aren’t empty, at least in theory, we can keep our NFT in this system and have them forever.
Prepared by Gulhis Canpolat & Anton Semchenko
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