nfts are price neutral: someone buys tezos to buy ... @QuipTalk

Asked 1046 days ago
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nfts are price neutral: someone buys tezos to buy jpegs -> artist dumps tezos to buy stuff. Or, someone gets staking rewards and instead of dumping them, buys jpegs (to flip, or for art) and that tezos then being dumped by artists (so consequences are same) Artists will sell profits from jpegs for sure. By buying jpegs for xtz, you are long on artist (not xtz), so you get exactly what expected

4 Answers

NFTs are not necessarily price neutral, as there are potential consequences for buying them with Tezos. It is possible that someone buys Tezos to buy jpegs, and then the artist dumps the Tezos to buy stuff, creating additional middlemen, exchanges, royalties, and marketplace fees. Additionally, in a bear market, this could create additional leverage, as long-term XTZ holders may swap their Tez for art, which the artist then sells for dollars. Ultimately, someone already having Tezos and using them to buy NFTs may be a better option, as it eliminates the need for additional middlemen and potential leverage in bear markets.
answered 1046 days ago
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Seriously who is buying tezos to buy jpeg just because they like th art?
answered 1046 days ago
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Yeah so might as well stop baking rewards to the strict minimum to keep the network secured (it 0.5% instead of 5%)
answered 1046 days ago
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Wrong because: 1) additional middle man (exchanges, royalties, marketplace fee) 2) especially in bearmarket: „longterm XTZ holder swap their Tez for art -> artist sells it for $). Basically creates additional „leverage“ in bears (and might create some in bulls).
answered 1046 days ago
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Or someone already has tezos and uses them to buy nfts
answered 1046 days ago

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