All NFT value goes to the top:

All NFT value goes to the top:

  • Almost all NFTs will go to 0
  • Overall NFT market to trend exponentially higher
  • Where does value accrue?
  • Tier 1 Assets: ENS 3 Digits/super prime letters, Fidenza, BAYC, Punks, key NFT art
  • How many total tier 1 assets? 25k, 30k max

Why Tier 1?

  • Fresh mega wallet comes in and offers on/buys 3 assets
  • 000.eth, Fidenza, BAYC in that order
  • These type of buyers want high correlation to NFT market cap
  • If bet is NFTs become $2T in a decade, these assets will matter then
  • Class A real estate

ENS 3 Digits

  • Like Fidenza, there’s only 1k 3 digits vs BAYC’s 10k
  • Over time, I would expect 3 digits to rise materially above BAYC, as they are 10x scarce & have greater universal appeal
  • Over time, perhaps even a super tier 1 emerges, 5k total assets w/ 3ds in it

Tier 2

  • Great Spot Too
  • ENS 4 digits, blue chip pfps & gen art
  • There’s probably ~150k+ Tier 2 assets
  • These will also capture disproportionate part of growing pie
  • Higher liquidity, can spread a wider net with less funds

Game Plan

  • As ultra high net individuals & asset managers enter NFTs, they will want to buy certainty - Certainty that what they buy goes up if entire market cap of NFTs grow
  • They won’t mess around with a 1.2 eth floor pfp, they will allocate to high probability winners

By 008