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How not to miss the next thousand times NFT project

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A Guide to Identifying High-Quality NFT Projects

Original title: "Identifying the best NFT projects."

Original author: Loopify

Compilation: 0x13, Rhythm BlockBeats

Recently, many NFT projects have attracted the attention of countless people with their huge wealth effect. The highest transaction price of a star card in NBA Top Shot is as high as 100,000 US dollars, while the cost price is only 230 US dollars, and the rate of return is as high as hundreds of times; and the NFT star Hashmasks is even more exaggerated. The NFT with an initial cost price of only 0.1ETH is listed on OpenSea The highest price of 420ETH was sold, and the rate of return was as high as thousands of times. Many readers have missed these NFT projects that have exploded, and they hope to find the next Thousand Cup NFT project. Rhythm BlockBeats translated articles by the famous NFT investor and crypto artist Loopify to provide readers with reference.

Author's Note: Before we start discussing, we need to explain, these are just my personal thoughts, you can agree with or disagree with my thoughts or form your own opinion. This article is not intended as investment advice.

How to find the next NFT project that will be a huge success?

How to determine how much appreciation space a certain NFT project has? I will briefly describe the factors that I consider when investing in a project.

I have been in the NFT field for more than half a year, and I have seen the prosperity and decline of countless projects. I missed some successful projects and got into some trouble, but all of these are helping me learn how to choose the next NFT project worth investing in. Before investing in a project, I will ask myself the following or more questions, and look for answers:

-Who created for this project?

- When was this project created?

- Has anyone already bought an NFT for this item?

- How was it born?

These are relatively vague questions, but answering them will help gain more knowledge about the project .

I think there is one thing you should always keep in mind. The NFT space is now in the stage of entering the mainstream field of vision, and now there are a large number of celebrities and people with huge influence studying it and joining the NFT field. This means that there will be a lot of projects being born, especially projects by people you have never heard of. This can cause many safe, legitimate projects to be overshadowed and not receive the attention they deserve.

Do I know the creator?

If I know it, then this project will be regarded as a treasure by me. Whether the NFT in a project can be sold depends entirely on the creator of the project. If people trust the creators, they trust the project and are willing to allow the project to fulfill its vision. That's key, and it was on my mind when I launched my own NFT collectibles project earlier this month. (Rhythm Note: The original author Loopify launched the NFT collectible project NFTrees at the beginning of the month.)

When was it launched?

You need to understand the market before entering the market, otherwise you may fall into the trap of dumping. You ask yourself these questions: Is it still in its infancy or is it already in its infancy? Is the project booming because it's still in its early stages? Would you wait until the market calms down before buying it? These questions will prompt you to think about the long-term development of the project. Although it is necessary to fully research the projects you invest in, the timing of entry is also extremely critical.

Has anyone already bought the NFT for this project?

Do you know them personally, or have you heard of them? Answering this question can save you from buying something that isn't worth it. This is a bit like the last question, you don't want to miss some good projects. Imagine what would happen if a prominent investor already owned more than 20% of a project's total NFT supply?

Which chain is this project on?

What you need to understand is that a legal and safe product/service is worth investing in, so you should always do Well research well, this will keep you away from scammer projects and avoid getting mowed. As mentioned above, it is necessary to understand the creator and the technology behind the project many times. And not every NFT collectible item will be on the same blockchain, some will be on the Flow chain, some will be on the Wax chain, and some will be on other chains. You need to know how much control you have over your NFT and whether you can easily access your NFT.

NBA Top Shot is a good example. It’s on the Flow blockchain, and a lot of people will deposit money to buy card packs, but most of them don’t realize that they often have to wait weeks for their funds to be withdrawn due to KYC.

Can this project develop in the long run?

You can look at the roadmap of the project and what they plan to achieve, and think about whether it is possible for them to achieve The goal, and whether the project party has made any effort.

Let me show you a picture that perfectly shows the difference that NFT projects usually go through at present Stage, the author is my good friend Matty. (Rhythm note: Matty, also known as DCLBlogger, is a famous NFT investor.)

(For the convenience of reading, Rhythm translated the content of the original image into Chinese)

The stages shown in this diagram may change over time, but how long a project lasts depends on two things: Incentives & Community.

Creators can provide incentives and bonuses, whether adding a full mod like a game, or somehow Providing benefits to holders will increase the value of the project, such as NFTrees.

The community is used for promotion and does not need any incentives. It doesn't need to describe the imagined future to people, because its history is enough to attract people to join, like CryptoPunk.

Case Study: Hashmasks

In the past few months, in the NFT field, I found that these projects are inextricably linked. The following is a case analysis of the development of Hashmasks from my own perspective.

This project is one of the most eye-catching projects in the NFT field so far. It has a very effective FOMO mechanism and is also An item I missed. This project is one of my personal favorites, mostly due to its easter eggs, keep that in mind.

“Missing projects is inevitable, you cannot participate in every project.”

Hashmasks can be combined in many different ways into a mechanism to elevate the user's FOMO sentiment, the following is one of them.

There are only 16384 Hashmasks. The price will increase as the quantity sold increases.

People feel that they are about to miss out on a primary market sale, so they feel that buying now is better than buying later from the secondary market with a markup. They don't want to miss out, especially as users in the community are also frantically discussing the project.

Your Hashmask is unknown at the beginning, you don't know what it looks like, and if you buy the Hashmask, you will receive the NCT code Coins are used to rename it. If people buy and sell their NCT tokens in phase 1, they can earn up to 10x, and if they are lucky and their hashmask has some rare properties, they can earn up to hundreds of thousands of dollars. The highest transaction price of Hashmask is as high as 420ETH, so from an economic point of view, Hashmasks is a very good project and can be admitted.

In the short term, this is currently the most successful NFT collectible project, but we still need to consider more factors, such as whether it can maintain its vitality for a long time?

The main purpose of everyone is to obtain economic benefits in these projects, and the NFT market is not necessarily like Bitcoin and other cryptocurrencies. "Holding" is the rule of the game. And if you want long-term development, you need a healthy market. Hashmasks has many mechanisms designed and well executed, which contribute to its success. However, that doesn't mean a project doing the same thing will be as successful as Hashmasks.

Each project has its own unique characteristics, and NFT is a fresh field, and Hashmasks hits directly in this field The key. The Hashmasks community is very active, with many people participating and promoting it spontaneously.

Where can I find these items?

This is a very common question, and as the NFT space gets more and more attention, it will Will be asked by more people. Not long ago, a virtual land on Axie Infinity sold for $1.5 million, and celebrities like Lindsay Loha, Soulja Boy and even Mark Cuban entered the space. Additionally, their mention of NFTs will also lead to an influx of newcomers into the space, and it is not long before NFTs are expected to go mainstream. There are new projects popping up all the time, and learning about them is like discovering IC0 in advance.

You can follow the right people on Twitter, in a great Discord community, with lots of experts in the industry exchanges, and even follow famous addresses on the Ethereum browser. Like I'm always talking about new projects on my twitter and sharing why I think they might be successful

There is no method or guidebook that will allow you to find "all" the best NFT projects. Every recommendation from everyone comes with a certain amount of personal emotion, so if you can't figure out how to get more information, there's a good chance you're missing out on some great projects. You need to do your own research, DYOR, and share more with others, lurk in the Clubhouse room, join the high-quality Discord community, and pay attention to celebrities with high voice in the NFT field. Many NFTs that lack exposure can pass Follow the wallets of top NFT investors to find, and the Ethereum browser can easily track ERC-721 tokens.

Learn to walk your own path and make your own judgment. By discovering projects on your own, and then doing your research, you can find a long-term project, or a short-term project that will set you free financially, or find something innovative, or whatever you want.