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The New Era of NFTs: THREAD đ§”
Why the case for NFTs is higher than ever and why Reddit made history with their recent NFT campaign đ
đ” NFTâs Potential
NFTs are finally getting significant adoption, and I donât think this is getting as much attention as it should. I honestly have always been an NFT sceptic, viewing it as little other than a bubble.
In some ways it is due to how absurdly expensive some are, but nevertheless people in Web3 do recognize its benefits, and itâs a matter of time and good implementation to make them function well.
I think a great step towards this was Reddit NFTs. I heard about this quite some time ago, and I knew it was successful, but I didnât pay too much attention to it.
Until I noticed how successful it is, then I couldnât stop thinking that this is one of the greatest moments in Web3 history, even more so if we narrow it down to NFT adoption. I honestly donât think itâs overstated.
đ” Reddit NFT Campaign
In case youâre not very familiar with the whole deal of Reddit NFTs (I wasnât), they are a kind of avatar NFT that can be bought on Redditâs very own marketplace for avatars.
This marketplace offers Redditors the chance to purchase blockchain-based assets for a certain amount of money. Itâs worth going over how they did it and what they offer to get a sense of how this was implemented.
Should one decide to buy an NFT-based avatar, they can do that with Redditâs vault, a cryptocurrency wallet, credit card, or debit card. Reddit has collaborated with several independent artists to generate more than 90 designs.
Once you have purchased a limited edition Reddit NFT, you are presented with the tokenâs licensing rights, which implies that you acquire the opportunity to utilize the avatar both on and off Reddit.
Furthermore, purchasing one of these NFTs will allow you to customize their appearance with a variety of merchandise that can be obtained in the avatar builder.
đ” CryptoSnoos
Redditâs NFT ventures started last year with CryptoSnoos, its exclusive and primary NFT collection. Each NFT within the collection includes an image of Snoo, Redditâs alien mascot.
These images can come in a variety of distinct styles, as each of them is unique. For instance, an NFT can even have a pixelated appearance, while others might come with disco balls and more.
Every CryptoSnoos NFT comes with a certain stock level that determines how scarce it is. The different categories, or âstickers,â that a CryptoSnoos NFT can be attached to include Rare, Epic, and Legendary.
The Legendary CryptoSnoos NFTs are the rarest in the collection, as they are considered to be âunique, one-of-a-kind,â which is why they are priced more in comparison to the rest.
Epic versions can be regarded as extremely limited editions, while rare versions are classified as limited editions.
Users who are looking to purchase CryptoSnoos NFTs can do so on OpenSea, but they need to have a MetaMask wallet and connect their Reddit account to the CryptoSnoos page on OpenSea.
Once you have bought the NFT you are looking for, you can upload it as your avatar on Reddit. Every CryptoSnoos avatar has a glowing animation, which resembles the animations utilized for collectable avatars.
As stated previously, Reddit NFTs are accessible as avatars that users can collect. However, they can also be directly produced by independent artists on Reddit.
Consequently, a lot of these NFTs can be bought on Reddit or OpenSea, and due to there not being an auction, each of them has a fixed price. Although several redditors utilize a cryptocurrency wallet to buy these NFTs, they can also be bought with a credit or debit card.
đ” Free Mints
Following the popularity of free mints, Reddit is now sending out airdrop batches to prominent Reddit users within its community, i.e., providing free Reddit NFT avatars.
While the criteria to be eligible for an airdrop are not explicitly mentioned, it is an assumption that these NFTs are created for the sole purpose of being handed out to the top redditors who have gathered enough karma points via its karma program.
When certain members are set to gain these avatar NFTs, they are given a banner that transports them to a place where they can claim the NFT for free.
đ” Numbers
The overall success of these NFTs has been rather surprising, as redditors essentially created millions of wallets to buy these avatar NFTs, and at a time where NFT trading volumes are nosediving.
How was it able to achieve this? Well, that is the surprising part. What Reddit did was that it deliberately avoided using any terms that could be linked to blockchain or the cryptocurrency landscape in general.
Yet that was able to create approximately 3 million cryptocurrency wallets since its NFT marketplace launch. For reference, OpenSea has 2.3 million...
They are the worldâs largest NFT marketplace and has been running for almost five years, yet it was outpaced by Reddit in a matter of months. Here, Redditâs strategy might just encourage a new approach within the NFT landscape.
Redditâs seemingly straightforward method of explaining digital avatars and the procedures for claiming and trading them has shown a new, if not more simple, manner for a well-known technological firm to expose its consumers to web3 technologies like cryptocurrencies and NFTs.
These NFTs have garnered over $6.7 million in total sales volume. This could also be attributed to the fact that it enables its users to buy these avatars with fiat currencies as well, instead of cryptocurrency.
đ” The Future of NFTs
In times that have proven to be particularly bad for the NFT landscape, Reddit has demonstrated a unique approach to exposing consumers to the concept of NFTs.
This might instil a larger sense of community while enabling its members to display their individuality in different ways. This approach might just help in supporting a more smooth shift from Web2 to Web3.
The fact that Redditâs approach to NFTs can succeed without any speculation is one of its biggest strengths. Of course, some of the NFTs are quite expensive, as one would expect, but even if they werenât, their overall strategy would still work well.
People like to personalize things they use and enjoy. This is very similar to the concept of skins in games like CS:GO and League of Legends.
On one hand, you can claim there is zero utility because it doesnât affect gameplay, but on the other hand, the fact that people like them and are willing to spend money for them is more than sufficient utility. And unlike NFTs, they donât have a speculative nature.
I view NFTs going more and more in this direction as digital collectables. A big difference with NFTs compared to such already existing markets is that:
1) They can all be integrated with each other and be part of the same thing (imagine a marketplace that includes both Steam, Riot and everything else)
2) You actually own it rather than the company. Since itâs decentralized and immutable, no one will be able to take the NFT from a user. This is vastly different from the current Web2 environment.
Reddit had one of the most successful NFT projects of all time, with an audience that generally either hates NFTs or barely knows what it is.
To me, this is as bullish as it gets, and Iâm willing to bet that 2023 will already see massive adoption. Just recently, Meta announced NFT integration as well, where creators will be able to make collectibles and sell them as NFTsâŠ
A new era is coming. Be ready.