People tend to fear what they don’t understand.
Case in point, while it may sound silly, many people used to fear URL addresses.
However, if you were one of the first people to buy a soon-to-be popular URL, you can only imagine how lucrative that would be, right?
For every new revolution, there are opportunities to make tons of money off of things everyday people don’t understand.
But for every Mark Zuckerberg, there are a million and one people who tried and failed.
Such is the double-edged sword of FOMO or the fear of missing out.
On the latest episode of The Art of Making Things Happen with Steve Sims, we talked about the next wild, wild west in innovation, blockchain technology, and NFTs.
We sat down with Will Pemble, who was one of the first URL domain millionaires, meaning he sold a URL domain for over 1 million dollars.
Today, he sees NFTs as the new opportunity for wealth, just as he did with URL domains in the nineties.
It would be difficult to sell any website today for over a million dollars.
But for the bold few who want to turn a profit, there is a new frontier with blockchain technology and NFTs.
While only a tiny fraction of people will make any real money from NFTs, they are an important tool.
While your rich uncle may have money in cryptocurrencies, he may not know exactly the benefits and drawbacks of owning them.
As with any new frontier, there is a wide margin between success and failure. Luckily, Will helped explain both of these new tools in a simple way that’s relatable for almost anyone.
While most people have convoluted ways of describing blockchain technology, Will’s definition is surprisingly simple.
“It’s an encrypted spreadsheet.”
Will states, “Once someone places something into a blockchain, you’d have an easier time turning a chicken nugget into a chicken than decrypting and modifying that line in the spreadsheet.”
These simple ways of defining the blockchain eliminate two questions that most people have when thinking of the term.
In reality, a blockchain is one of the easiest ways to keep data safe, and as Will admits, it will soon become the standard way to protect data in the future.
One popular item being saved on blockchains, besides cryptocurrency, are NFTs.
Put simply, an NFT is a form of digital art that is stored on a blockchain.
Like art, its value can go up or down depending on its popularity. However, that’s not all that can be accomplished with NFTs.
While many people think of NFTs only as a form of digital art, they are also an excellent tool for promotion.
A great way to market an NFT is to attach utilities, or perks to it.
For instance, my NFTs are connected to perks attached to my book launch.
The most important thing when creating an NFT project is:
According to Will, your NFT should focus 80% on your project and 20% on NFT. With his NFT project Coaster Punks, he’s selling 10,000 original NFTs with certain perks.
The project is dedicated to making the very first carbon-neutral roller coaster.
The obvious benefit of investing in blockchain technology like cryptocurrency is that you may make a profit.
Conversely, the benefit of an NFT is becoming part of a community. Most NFTs won’t retain value past the project.
So, the drawbacks, while you can feel connected with a community while buying an NFT, it’s not much of an investment.
On the flip side, while you can make money with cryptocurrencies, you have no security to get your money back, like a bank, if someone steals your crypto wallet.
As always, if you’re looking for great interviews about business, entrepreneurism, and more, please check out The Art of Making Things Happen with Steve Sims.