2021 NFT Ecosystem Research Report

This article is sourced from WebX Lab.

NFTs have brought scarcity and diversity to the crypto world, while also creating new bubbles. However, the popularity of NFTs has indeed introduced brand new ways to play and application scenarios for blockchain. The current scarcity of NFTs is artificially created, and what truly drives the value of an item to its peak is a combination of extremely high utility and naturally formed scarcity, which together create "valuable scarce goods." The widespread application of NFTs has also leveraged the long-stagnant economic system of the crypto market, bringing another form of value to blockchain, moving it closer from a purely rational financial system to a more emotional and subjective cultural world.

The use cases of NFTs are mainly concentrated in areas such as gaming, art, the metaverse, copyright, and social networking. The metaverse may currently be the hottest and grandest application scenario for NFTs, as it requires reliable carriers for users' digital assets and personal data, along with a stable and fair economic system—this is where NFTs are envisioned to play a role.

Currently, the value density of NFTs from leading projects is very high, while other complex applications, although blooming everywhere, are very small in scale and may still need to undergo several rounds of refinement and elimination. In the future, the large-scale interaction between NFTs and DeFi and CeFi economic systems may ignite the next wave of hotspots.