Amid various rug pulling, scams and other nefarious activities, it seems some of the air has been deflated from the NFT hype bubble as more and more people seek to take a step back from to “invest” in digital art images.
But even so, many still see NFTs as the future, with the widespread opinion among advocates being that we’re simply too early in the process to expect widespread adoption just yet. Today’s investors are ahead of the game, and everyone will be buying and selling digital items soon. This is how it is presented from a vantage point – and while it seems inevitable that we will soon see an increase in trade in digital items, it remains to be seen whether these virtual goods are the equivalent modern Garbage Pail children.
But like them or not, NFTs are about to get a new boost, with a new Financial Times report suggesting Meta is set to unveil its NFT trading and display plans.
According to FT:
“According to a memo shared internally last week, Meta plans to launch a pilot for posting and sharing NFTs on Facebook in mid-May. This will be “quickly followed” by testing a feature that will enable membership in Facebook groups based on NFT ownership and another for typing – a term for creating – NFTs. NFTs could be monetized via “fees and/or ads” in the future, according to another internal document. Facebook declined to comment.
Meta is therefore apparently set to establish its own NFT ecosystem, which follows Twitter’s decision to incorporate NFT profile pictures, with a new embedded display format now available to paying Twitter Blue subscribers.
It looks like Facebook will be looking to facilitate dedicated NFT communities and become more of a welcoming destination for certain holders and their discussions. Currently, most NFT communities are hosted on Discord, where whitelisting and other things take place. But maybe Facebook can become the new home base for that, and ideally bring some of that engagement back to its apps, with more dedicated and integrated NFT community chats and features, which, aligned with the scale of Facebook could be an attractive lure for NFT projects.
Although I’m not sure it’s a good idea for Meta to get more involved in the NFT trend, given the aforementioned scams and questionable activity in the space. Every other day, millions of dollars are lost to hacking and deception, and while this isn’t representative of the entire NFT ecosystem, it’s still a cause for concern, especially given the lack regulatory and/or legal remedies available to victims.
Yet perhaps Meta is also looking to the future, where NFTs will form the backbone of a new digital goods economy.
Meta’s ultimate goal is to encourage e-commerce within the Metaverse, its fantasy dream realm where anything is possible, and nothing bad ever happens that could come back to haunt Zuckerberg and his team. In this scenario, NFTs are believed to become tradable assets – and not just profile pictures, but avatar clothing, branded digital goods, weapons for games, virtual credits, and more. All of these things could basically be supported by digital. contracts stored on the Blockchain, similar to NFTs.
It certainly has potential, and that’s what a lot of people are missing in the larger NFT picture. Shitty cartoons might confuse you as to why anyone would pay for such rubbish, let alone handing over thousands or even millions of dollars in some cases. But the underlying premise of buying and selling digital goods does indeed have merit, and perhaps Meta is looking to align itself more with that aspect, instead of facilitating fraudulent crafts .
Which also links to another piece of the FT report:
“Facebook’s financial arm, Meta Financial Technologies, has explored creating a virtual currency for the metaverse, which employees have internally dubbed “Zuck Bucks,” according to several people familiar with the efforts. […] According to company memos and people familiar with the plans, Meta is also considering the creation of so-called “social tokens” or “reputation tokens”, which could be issued as rewards for significant contributions in Facebook groups, for example. .
So, in developing digital transactions, Meta is also considering how it can facilitate in-app transactions with its own internal digital currency, which would have no real value as such, but would allow users to purchase virtual objects for their digital. self.
Roblox and Fortnite have similar systems, with kids going crazy for “Robux” and “V-Bucks” to buy character skins, weapon variants, dance moves, and more.
Creating an in-app economy reduces the risk of misuse, as the currency cannot be used outside of the app – while Meta has also explored its own cryptocurrency with its Novi project, building an internal trading mechanism will likely see less regulatory pushback, as it will not be Meta that creates an alternative financial process, as such, but will depend on current banking systems.
All of this fuels Meta’s grand vision of a global metaverse space, where you can buy, sell, and trade digital items to enhance your experience.
So while NFTs have potential for visual art – and it’s worth noting that Instagram is also exploring this element – it’s expanding this process that is probably Meta’s main focus.
Expect to hear more about that soon.