Animoca Brands founder Yat Siu commented on Non-Fungible Tokens, stating that NFTs are an important part of digital capitalism.
Animoca Brands: NFTs as pillars of digital capitalism, according to Yat Siu
In an interview with CoinDesk, the founder of Animoca Brands, Jat Siucommented on what non-fungible tokens mean to him, which are tokens that give users ownership of digital or tangible assets.
In practice this applies to Siu NFTs are still underutilized they can become an important part of digital capitalism, transformative sectors such as rights management and education.
Not coincidentally, by using NFTs, the blockchain would act as a species political systemin favor of A consensus-based democratic process.
In this connection, Siu said:
“NFTs have the potential to revolutionize the distribution of educational content and provide significant financial opportunities, especially in less affluent regions. […] Property rights and capitalism are the foundations of democracy.”
To give a practical example of this, the founder of the Web3 giant emphasizes his company TinyTap, acquired in 2022 and specialized in information technology. This platform allows teachers to monetize their content, overcoming traditional barriers such as publishers.
The key to disrupting the multi-billion dollar rights management and content distribution industry, which affects all sectors, remains the ability to have proper digital ownership of the blockchain.
Animoca Brands and NFTs: genuine interest in the usefulness of technology
Looking at the numbers of the NFT marketit’s clear that compared to the 2021 bull market, the sector is currently experiencing some decline.
For Siu, these current lower valuations of NFTs actually indicate that a healthier and more genuine interest in the usefulness of the technology. Moreover, this situation could be crucial in addressing global financial inequality and promoting financial literacy.
In this regard, Siu argues that without speculators, the only people left are those who are truly interested in technology, strengthening its foundations.
Not only that, the founder of Animoca Brands also spoke about the different legal frameworks around the world related to the sector. About the USFor example, Siu explained that there is still there is a need for evolution to support the idea that NFTs are the antidote to inequality. According to Siu, there is even one in the United States rejection of digital capitalism.
On the contrary, what Siu talks about Asia as follows:
“In Asia, NFTs and blockchain cryptocurrencies are popular because they are seen as an extension of digital capitalism. The biggest threat I see now is that we don’t understand capitalism. Therefore, when we see what is happening in the world with money, we think it is unfair.”
The 2023 report: volume is declining, but users are not
A few days ago, NFT18 have been published annual report 2023 regarding the performance and key statistics of the NFT market.
Overall, the report highlights that 2023 has been a year of progress significant decline for the NFT marketbut despite the bear market and huge losses, the community has remained active.
To confirm this theory, there appears to be a 62% decline in total trading volume, which fell to $10 billion, offset by only a 10% decline in the number of active wallets, both compared to 2022.
In practice, despite waning interest, the number of active addresses for NFTs is still a solid 2 million.
The report also specifies that the NFT Art, which refers to works of art in the Non-Fungible Token format, is losing the largest market share.
Not only that, looking at the 2023 annual trend, the fourth quarter, on the other hand, showed signs of recovery both in terms of the number of active wallets and the volumes traded.