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The co-founder of Dogecoin expressed support for non-fungible tokens as “an emerging asset class through which people can interact with the cryptocurrency market in new ways.”
Billy Markus has tweeted that he supports the development of the NFT. According to him, before the advent of collectible tokens, people did nothing productive with cryptocurrencies, but only “played pump and dump.” Non-fungible tokens can be used for useful purposes, says Markus. NFTs are of great interest not only to experienced investors, but also to beginners who were previously afraid to enter the cryptocurrency market due to its high volatility and the risk of market manipulation, the businessman argues.
Actors, musicians, artists, athletes and other celebrities are launching their own line of NFTs, giving customers access to unique collectibles. The pandemic has negatively affected the activities of creative individuals, and now they have the opportunity to earn extra money with the help of NFTs. For example, this year Pablo Picasso’s family announced plans to present tokenized versions of his work.
Despite the many opportunities associated with unique tokens, Markus believes that they also have their problems. For example, digitizing other people’s work without the knowledge of the owners and selling fake NFTs. Some environmental activists also oppose NFTs, believing that tokens are harmful to the environment. In addition, many holders of unique NFTs are often hacked. According to PrivacyHQ, 90% of NFT holders have experienced fraud.
“On the other hand, people just create digital collectibles and sell them using the blockchain. This is a fairly simple concept that does not always lead to a positive result. Personally, I consider NFTs to be collectibles that can be resold if desired. I don’t think digitized characters, basketball cards, and in-game items can be called “pump and dump” schemes,” Markus concludes.
Recently, the co-founder of Dogecoin expressed dissatisfaction with the launch of the ApeCoin token of the popular project Bored Ape Yacht Club (BAYC). Markus believes that market speculation with tokens can cause distrust in the entire community of NFT holders.
#NFTs #pump #dump #schemes