This was no lost Matisse or rarely seen Van Gogh.
Instead, it was a composite collection of digital art by the then relatively unknown artist Beeple.
In the year since that sale, NFTs have gone from a relatively obscure tech-world phenomenon to the mainstream.
NFTs are tokens that exist on a secure record-keeping system called a blockchain.
Celebrities such asEminem and Jimmy Fallonhave helped raise the profile of NFTs through theBored Ape Yacht Clubprofile picture collection.
These collections have become so popular that Twitter nowallows usersto use their NFTs as their profile image.
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In recent generations, collectors may have sought rareMagic The Gathering cardsor obscure stamps.
For the creators, NFTs provide a clear path toward monetization.
The Ethereum economy sustained by NFTs earned its creatorsUS$3.5 billion(2.7 billion) in 2021.
The right-click approach
Despite their growing popularity, NFTs still baffle most people.
This is because we are not used to the concept of owning digital art.
After all, cant I just right-click and save an image to my own computer?
I could, naturally, but this would be to miss the point.
As with all currencies, NFTs have value because of the meaning a community ascribes to them.
Or it can simply be a sign to other community members that you belong.
Mainstream attention
Popular attention is not always positive.
As NFTs grow, so has the proliferation of cash grabs and scams, especially from social media influencers.
Elsewhere I have called this thetrash moatthat surrounds legitimate projects in the cryptocurrency and NFT world.
Melania Trump, to pick another example, has released several NFT projects.
Yet another capacity of NFTs has emerged in their potential for fundraising.
Within a week, ConstitutionDAO raisedUS$47 million(35.8 million).
Failure, or the future?
Ethereum is transitioning away from its current mechanism toanother, which will hopefully alleviate this concern.
This places NFTs in a curious spot.
However you view them, NFTs have crossed fully into the mainstream and deserve our attention.
