[Podcast Notes] Bankless Podcast Ep. 158 | w/ 6529 | You're Not Bullish Enough on NFTs

Feb 17

Notes on 6259’s 1 hour and 35 minutes interview with Bankless. Readable in <20mins.

Was in the finance and consulting industry
Shifted into crypto and other areas
Spent a lot of time in $BTC since 2011, and more broadly in cryptocurrency since 2013
Perks of $BTC (ie faster and cheaper transfers, global money settlements) are amazing, but felt that the secure data storage is more meaningful
Technology platforms who are just trying to compete in the marketplace will end up being centralized
Will take 30-40 years to realize the full potential of decentralized blockchains
Since it will take a long time, he started integrating to the technology when he felt a meaningful shift in Aug 2013

Intrigued by NFTs in 2017
Initially ignore NFTs, but then started getting involved and buying NFTs in 2020
It makes sense to own a 3D PFP in a hybrid digital space
Just reading about technology is insufficient; you must experience it

There are two different ecosystems; the one he lives in, and another one with his 6529 PFP
Still able to collaborate well with people whom can only be identified through their cartoon PFP
Everyone presents different faucets of themselves to their audience
NFTs allow you to present yourself in an authentic and provable manner

Progressive erosion of freedom is happening quietly in the background
1. From a fully decentralized system to becoming centralized with a choke point. Governments can lean on the choke points
2. Financial systems now view cash with suspicion
Net effect is we are herded by technology, and have been for the past 20 years
Eventually large data companies will control everything and become a choke point that can be exploited

CBDC is well meant, but second order effects is the danger; well before realizing the benefits of the system, someone will abuse the system for their personal gain
Example: Canada freezing accounts of everyone involved in the trucker’s protest
This infrastructure is getting set up bit by bit not because the regulators are evil, but because of the current available technology
Network effects cuts both ways; it can benefit and also damage the user
Crypto just has to survive it’s own network effects

NFTs represent the best chance to achieve decentralization
NFTs is a huge blocking point for many people who are deep in crypto
Some of the latent and tangible value of a company can be transferred to NFTs which are generic carriers of intangible assets
Widespread adoption of crypto is consumers using crypto without caring about the product’s technology stack
There are gigantic consumer applications for NFTs that do not exist for fungible tokens
NFTs are infinitely expressive and needed for gaming applications
Metaverse is just the internet, but with better visualization
With better visualization, there will be increased demand for persistent digital and visual objects
NFTs are just tokens with metadata that allows you to represent anything with them

Eventually the VR tech will be developed, but if it’s developed by a centralized company then the gathered data will be abused
With CBDC, power will be centralized with the government
Network effects for the metaverse is still up for grabs
$BTC will not replace state money; the state has powerful tools to fight back
$ETH will not become the global computing platform
Having a database of arbitrary non-financial digital objects is an opportunity to win 70% of market share
NFTs can be made into a protected First Amendment grounds

NFT is possibly the first true crypto consumer goods
Large organizations may shift from physical products to issuing digital wearables as NFTs
NFTs is in a position that does not threaten the state, and may have a possibly conducive relationship with the regulatory state

6529 is the single most bullish person on NFTs, and spent the first half of 2021 trying to get the message out there

Intangibles are everywhere and fundamental to human societies
We feel emotions about the intangibles; people will die for their country, people will pay $10,000 for a $50 watch
All these feelings on the off-chain world can be brought on-chain through NFTs
NFTs can change the path of history in a good way