How do you pick your next NFT? Community responds
Since it may be a good time to buy nonfungible tokens (NFTs) as the floor prices are lower, a Reddit user asked the community what they look for when searching for the next NFTs to add to their collection.
In a subreddit, the Redditor has gotten various answers from the community including examining the utilities of the tokens, finding overhyped projects with low minting fees and monitoring data collected by oracles and basing their NFT investing strategy on what they see.
According to one Redditor, utility is what they look for when checking NFTs because it goes beyond being a “digital art piece.” In addition to that, they highlighted that the project’s community must also be examined as they “keep the utility alive and interesting.”
Another user shared their investment strategy for both the short and long term. According to Redditor 4laman, their short-term strategy is to look for overhyped projects with low mint fees. In the long term, they look for projects that are collaborations between big brands.
Meanwhile, another NFT collector suggested monitoring real-time NFT data that are collected and provided by oracles. According to the trader, the metrics within the NFT data platforms will be able to help collectors choose how to pick their next NFT.
Related: What Ethereum use case can make ETH a $500B market-cap asset? Community answers
While traders are looking for their next NFTs, Ethereum founder Vitalik Buterin suggested a “low-tech approach” to making NFT transactions anonymous. Buterin said that smart contracts can add a function that lets senders reveal their addresses only to the receiver of the transaction.
Meanwhile, NFT marketplace OpenSea recently introduced an update to its stolen item policy to counter NFT theft. According to the company, it has expanded its use of police reports to verify the authenticity of stolen item reports, preventing the misuse of reporting functions in the marketplace.