- 1 The NFT market needs regulation from the US government
- 2 Signs that the NFT project could be successful
- 3 What’s waiting for the NFT market in the near future?
- 4 Lifetime passes are unrealistic
- 5 My NFT portfolio, the biggest gains and losses
- 6 The best five blockchains or platforms for launching an NFT project
- 7 We have a big NFT project to come soon
- 8 How to find promising upcoming NFT projects
Matt’s Crypto (Matt Cobuzio) is the creator of Whales Worldwide, the co-founder of Chop Party NFT, and has a YouTube channel about cryptocurrencies and Web3 with 112k subscribers. In an exclusive interview for buidlbee, Matt’s Crypto gave his tips on how to find NFT projects with high potential, shared his portfolio, and gave an outlook on what the NFT market may have in store for the future.
The NFT market needs regulation from the US government
The biggest thing the NFT market needs right now is a regulation from the US government. We’re at an inflection point where there needs to be some sort of clarity on how favorable or unfavorable the government is going to approach crypto and subsequently NFTs. Big money is sitting on the sidelines, unable to participate because of the unknown waters and gray areas of the space. With regulation will come more security measures to prevent things like scams from happening so frequently, and that will hopefully shift the narrative in the direction NFTs need. The technology is sound. The purpose is strong. It’s just being held back by the naturally slow adoption curve that gets forced on things the government doesn’t approve of.
Signs that the NFT project could be successful
Nobody ever really knows. But the things I typically look for as good indicators are:
- Who is the team? What have they done previously that shows they can execute?
- What is the business model, and where will the cash flow come from? Can this business sustain itself and grow through bull or bear?
- Does this project have a strong brand identity that is recognizable and scalable?
- Is there an X factor with this project? Meme culture? Truly groundbreaking tech? Impeccable brand execution?
Here are some “blue chips”An established, well-established company or project. from the first bull cycle that are “good buys” now: Azuki, Mutant Ape Yacht Club (MAYC), Clone X, Doodles, Cool Cats, etc.
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I personally haven’t made any big NFT purchases in over 6 months. I think there will be more pain before things get hot again, and there will be better buy-in windows. And more time to see what each team is doing with their brand to make a more informed decision.
What’s waiting for the NFT market in the near future?
We’re going to see NFTs adopt much more traditional Web2 business models, as the royalty business model does not work unless you are a massive brand with a lot of volume. I think we’ll see NFTs integrate into major games and platforms in [such] a way that people won’t even know their digital items and transactions are being processed on the blockchain. It’s not really about forcing people to adopt the blockchain. It’s about using technology to improve the functions of existing experiences.
Lifetime passes are unrealistic
Lifetime passes are a bit of the norm in NFTs, but they are proving to be exactly what I’ve been saying — unrealistic. What is a ‘lifetime’? Really, it’s the lifetime of the business, and in this space, that could be 6 months or 6 years; you just don’t really know. So I believe the lifetime pass ‘standard’ sets a horrible expectation for both the brand and the collectors of that NFT. The better solution is where I think things are already shifting: to NFTs with recurring subscriptions or timeframes of 1 month, 6 months, or 1 year.
My NFT portfolio, the biggest gains and losses
I hold: 2 Cool Cats, 2 My Pet Hooligans, 1 BEANZ, 2 3Landers, 1 Cool Pet, and 1 Doge Pound (my very first NFT that I’ll never sell). I’m holding them with the hope that some of them will get back to all-time highs in the next bull market. I believe Cool Cats, BEANZ, and My Pet Hooligan have the best chance to survive at this point in time.
My highest profit was from buying Project PXN for 0.35 ETH, and selling it for 2.973 ETH for a total profit of 2.4 ETH after fees. That’s a 674% return in one day.
My worst realized loss was a BEANZ I bought for 4.84 ETH pre-reveal and sold 8 months later for 1.63 ETH for a total loss of 3.4 ETH after fees. That’s a 69%.
The best five blockchains or platforms for launching an NFT project
Ethereum truly is king right now, but Solana had a bit of a run for a while last summer. Polygon is also going to be a big one in the coming years. Tezos is also pretty notable for more art-collecting-type NFTs. Bitcoin just entered the space and is the latest market craze, but I think ETH will remain king moving forward.
We have a big NFT project to come soon
We had been waiting to launch the project I’ve been working on for over a year. We’re launching Chop Party via a pledge mint starting April 4! You can check it out at chopparty.io.
How to find promising upcoming NFT projects
The dev team that I launched NFT HUD with has a site called NFTFeeder.io, which is pretty good at showcasing and alerting which projects are getting a lot of social traction, and it’s proven to be a pretty good indicator of which projects may get hot based on the buzz.