Some important elements you need to figure out why are Cryptopunks so expensive
With the continuous development of non-homogeneous tokens (NFT), whether in Ethereum or on various different blockchains, I believe that CryptoPunks can capture more value than any other digital art or collectibles.
However, before starting to explore why I have this idea, I need to explain the definitions of some industry terms.
Non-homogeneous tokens are encrypted assets that represent unique (or "irreplaceable") digital goods (such as artworks or video game projects). Like Bitcoin or Ethereum, these encrypted assets can be non-custodial and resist censorship. Is held in the same way, the proof of ownership will be stored on the public blockchain.
CryptoPunks actually belongs to generative art. Artists use computers to intentionally introduce random elements as part of the creative process to produce expected and unexpected results.
LarvaLabs, the creator of Cryptopunks, officially introduced CryptoPunk this way-CryptoPunk is a 24x24 pixel art image generated by an algorithm, mostly short and chubby boys and girls, but there are also some rarer types mixed together: apes, zombies, Even strange aliens. Each punk has its own profile page, which shows their attributes and ownership/for-sale status.
What is more surprising is that the contract standard of CryptoPunks is ERC-20, and the number of ERC-721, which was only available after CryptoPunks was created, is limited to 10,000.
It is not surprising that almost any type of collectible (such as the sports shoe market) has speculative value. However, the more interesting observations are the communication and cultural aspects.
Punks reiterated the value of provenance-as the project matures and influence expands, its perceived value and price also soar. This led to a unique group-crème de la crème and NFT elite. People who buy punk are paying for this community. In other words, exclusivity brings desirability.
Why is cryptopunk so popular? According to reports, crypto protocols like Ethereum will become the settlement layer of world value. CryptoPunks and other basic NFTs that have a deep connection with Ethereum are the earliest cultural products of this revolution, and therefore are inseparable from the agreement itself. As Ethereum gains global recognition, the NFT, which represents the core part of Ethereum itself, will also gain global recognition. The Crypto revolution is not just a revolution in currency and finance, it will also manifest itself as a revolution in art and culture.
At the end of July and the beginning of August, someone bought a golden chain ape cryptopunk with 2,200 ETH (5.5 million US dollars), and then it was rumored that a member of the community purchased 100 different CryptoPunks, and negotiated with miners to ensure that all the CryptoPunks they purchased Included in the same block; even Three Arrows Capital (3AC) is also buying CryptoPunks and other "blue chip" NFTs.
In the NFT world, although CryptoPunks are no longer unique, they are definitely the pioneers of pure artistic value on the blockchain, and are different from other projects with game elements. Nowadays, projects inspired by CryptoPunks have sprung up, enough to reflect their popularity. Especially its rarity and its own sky-high buff give it an endless market halo. As one of the most iconic projects of Ethereum, CryptoPunks will not only continue to exist as a cultural artwork, but will also become more and more valuable. As mentioned earlier, the CryptoPunks revolution is not only a monetary and financial revolution, it will also manifest itself as a revolution in art and culture.
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