NFTs were present before 2021 but last year was when digital art burst out on the blockchain universe digital artists shone under the NFT spotlight. While the crypto world became an exciting place to be in, a whole new genre of NFT artists forayed into the largest artistic movement the world had witnessed yet.
Technology may have disrupted every walk of life, but its impact on art has been the biggest takeaway in 2021. If NFTs lit a spark in 2021, in 2022 it will explode. At least that’s what is being discussed in the NFT circles.
What is the future of NFTs in 2022?
Dileep Seinberg, Founder and CEO, Thinkchain, Crypto, NFT & Blockchain Consulting company tells Outlook: “The 2022 market will see more growth due to regulations happening globally. Film industry, art and luxury industries will adopt and start implementing NFT of their own. New artists will observe a new YouTube like platform in NFT space. Web3 based Social networking will be happening on the NFT space. Metaverse use case along with NFT will be a brighter area for this. Concepts like Decentraland and Sand will see good momentum. The Indian Crypto Bill should be tabled in 2022. This will boost wider adoption on Crypto. Ripple (XRP) and CBDC will be adopted in many countries. From a regulations perspective, this will drive large-scale payment movements across the globe.”
The artists will benefit as the entire ecology develops to its next level over coming months. What did the NFT movement do to artists exactly? First, it gave all power in the palms of the artist to create and showcase at will, second, it created a community that operates on a supportive system. Third, it dissolved all kinds of barriers and empowered NFT creators to make money in transparent transactions. Once digitized, every sort of art has a place in the NFT universe. Also, there is no qualification barrier – a child-artist or an experienced one are all out there on the same platform.
What turned the tide in favour of NFTs in 2021?
NFTs burst into the scene in 2021 primarily because of the raging Covid-19 pandemic. As the galleries brought shutters down and artists had no option but to squeeze into studios – what unleashed was vibrant, unfettered creativity. Following this, some serious auctions put a badge of sanctity on the NFTs: a Sotheby’s auction, a Christie’s auction, several NFT’s selling at unexpected prices.
“2021 revolutionised the creative and financial industries by fusing the two and bringing forth the creative economy. With NFTs gaining attention, soon artists of varied caliber turned millionaires. Non Fungibles got big through the year, in 2022, it will get bigger,” Raj Kapoor, Founder, India Blockchain Alliance and Chief Growth Officer at Chainsense ltd, said.
2021 NFT highlights
A couple of landmark NFT events marked the year, but the most outstanding one was the NFT sale of Beeple’s Everyday’s – The First 5000 Days. There were high value auctions of Crypto Punks as well. These big sales fetched mass interest in the non fungible.
Over 2021, the trading volume of NFTs jumped to $23 Billion and thousands of blockchain wallets are engaged in NFT buy-sell worldwide. A year ago, in 2020, the fund involvement in NFT globally was less than $100 million.
Among thousands of NFT artists, who emerged the most valuable one in 2021?
Obviously it is Mike Winklemann who goes by the artist name – Beeple, following his record breaking auction worth $69 million. Winklemann is officially the most valuable living artist today after other artists like David Hockney and Jeff Koons.
The NFT world is random, unpredictable and full of surprises and 2022 will reveal a zillion of them. Who knows who will be the next best NFT artist? We can't say just yet, but one thing is for sure – as more and more people venture into non-fungibles only the most unusual, the most vibrant and original will stand a chance. It is only going to get more exciting from here.