NFTs are tokens that are extremely well-known artists or groups that have developed their sound name and reputation over a long period of time. It is known that these NFTs can withstand tough market conditions and provide high returns in good market conditions. Typically, blue-chip NFTs are more expensive because they have a good reputation and are often market leaders. The term “blue chip” refers to a company that’s considered a reliable investment. Investors and traders in the NFT market are eager to determine which projects will be the future blue chips of the industry. A blue-chip stock is regarded as a secure investment because of this generates steady returns on its principal over the long term.
Back in 2016, when this market was in the early stage, projects like crypto punks and bored ape were not considered blue chips, but when the market evolved, and in the current scenario, they are considered the best in the market with good returns and longevity. Crypto Punks and BAYC have been skyrocketing in value since the NFT market exploded in 2021. Market watchers call these projects “blue-chip NFTs” as they anticipate retaining their high valuations for years to come. Basically, these projects earned their reputation as first in line, and market players understood that these projects would create an echo in the near future.
In today’s view, the market has seen a new NFT project being published almost every day, but the response is dull. Users are cautious about buying as many other projects have not even given the return of investment or are stuck with the initial investment done.No doubt the market has the potential to attract users to the particular project. Still, the rhythm of getting successful is worrying. Due to a lot of rush, only blue-chip NFTs shine and give good returns. In a short time frame, so many new projects have been launched that the market only speculates about which projects will be the next blue chip, using the term liberally.
Each and every project which is launched today has all the social features like Twitter. Discord and other means of connecting people, and in each of the projects, some users have faith that in coming days, this particular project will give a handsome return as some bloke has written and attracted users in the name of blue-chip NFT. Guys, be careful before investing and do proper research. Many NFT projects are launched every day and don’t get confused with the bait given. The research will show if any of the projects are considered blue-chip NFT. Even the projects already launched and minted struggle to sell all of their items. And in the end, the user is confused, and the investment is stuck for a long time, or even in some projects, the money invested is half in value or no value.
In recent years, the has steadily risen price of cryptocurrencies for some time no stagnant taken a back seat to the general sentiment of fear. According to Forbes, Crypto markets and tech stocks are highly correlated at this point. As a result, the same elements that are responsible for pressuring tech stocks can also lead to crypto prices falling. For instance, monetary policies, rising inflation, and weakening demand all contribute to falling crypto prices. Hundreds of hours are spent researching projects, checking out e-commerce sites like OpenSea and Rarible, and arguing on Twitter about which project will be more successful.
Blue-chip nft is related to a lot of factors like artist, collection, and rarity of the product launched. Nowadays, one other factor that has taken a toll is the audience or group with maximum users. Social media plays a vital role in attracting users. Still, some new projects create a fake audience on their social media to attract innocent users, thinking that this project has a lot of followers and will have potential. Please make sure to look at the project from all dimensions. Not all of the projects are blue-chip. Determining the value of a developer depends on their skills and track record. If you can review the resumes of the project’s team, this is a positive. As long as the developers remain anonymous, it is more likely that they will rug pull the project after its launch.
The most common form of a utility project is to offer a subsequent NFT to holders. It gives the original holders an advantage over collectors coming into the project after them and provides them with an NFT that they can sell if they need liquidity. Almost everyone appreciates a good deal, and that’s what the NFT market is all about. Metaverses have become hot with games. You cannot do much with PFP NFTs besides displaying them, and that is about all you can do. The NFT will have more value if a project offers a game that provides some additional utility, or in other words, if the NFT holder will have a lot more reason to stay in the project.
As a positive aspect, NFT communities have become a way for people to connect with others they normally wouldn’t have. It’s fascinating to watch what people come up with as a means of funding their endeavours. How and what are the responses of the community to mingle with the project. Communities tend to grow where there is real value, so the strength of a community needs to be assessed over time, as with most other factors we have discussed. People buy into a project for one of the reasons above, and communities are built through connections.
Many people are unable to comprehend NFT art. With some pieces selling for millions but leaving no physical item behind, that’s understandable. Because it’s impossible to think of a reason why someone would hesitate to do so, invest in the next generation of blue-chip art for those who are certain they will get in on the action. NFTs will prove to be excellent long-term investments if they can prove themselves blue. We will examine how NFTs compare to blue-chip definitions to gauge whether this is possible. NFTs, which are expected to retain or even get an increase in floor price, are considered blue-chip NFT.
In the NFT market, Some NFTs are on track to achieve blue-chip status in the coming years, even though they haven’t quite achieved it yet. At the moment, many of the most successful NFT artists would be better classified as red chips. As well as selling huge amounts in secondary markets, renowned artists are making their mark in primary markets. The earnings potential of these artists offers investors huge potential returns if they get in before they break blue. Investors needed to research and gather information on their emerging markets; we never knew which project could be the next Blue chip project.