Cryptocollectibles are unique, non-fungible digital assets (NFTs) whose ownership is recorded on a blockchain.
- Digital art – Rare Pepe, CryptoPunks
- Trading card games – Rare Pepe, Spells of Genesis
- In-game items – CryptoKitties
Why is digital art valuable?
- Emotional value – the personal value of possessing something and showing it off.
- Speculative value – the exclusivity and rarity of certain collectibles drives people to invest in cryptocollectibles anywhere from hundreds to millions of dollars.
- Utility value – some elements, like in-game items or trading cards, have utility.
New Idea of Ownership
- It is foreshadowed that as a result of the cultural shift that will take place in 5-10 years, the cryptocollectibles will have a real and undisputed value.
- OpenDime, a “hardware wallet,” will help in this transition; it generates a code that is revealed only when the device is physically broken.
- Validation: it will be challenging to assess the collectibles’ quality, uniqueness, and whether the seller possesses the rights to the artwork.
- Curation is the default solution for this obstacle; since we are dealing with an open platform, it will be up to the users to control the value of the submissions.
- Token-Curated Registries and other curation protocols will have an immense role to play in the future.