NFT Projects are still attracting builders, collectors, and founders alike, even though markets are down from their 2021 peaks. Fresh capital is needed by many of them.
In a post-boom market, however, founders cannot avoid traditional business mechanics despite NFTs being part of the web3.
NFT Projects Upcoming
The NFT NYC conference last week hosted a panel discussion on how to get your NFT project funded by non-venture capitalists. Like any project, the speakers agreed that before seeking investors, details must be fine-tuned and aligned at the very least.
Emily Cheshire, segment leader of Aprio Cloud’s blockchain and cryptocurrency team, said a lot of businesses are looking for investments. It’s important to plan for it from the beginning and to do everything you can to prepare for it.”
With blockchain becoming more sustainable, artists are experimenting with NFTs for collaboration
Haroon Mirza and Mat Collishaw NFT projects
Furthermore, the crypto crash last year has diminished the hype surrounding NFTs, and artists are more open to exploring blockchain’s potential. During his recent show at London’s Lisson Gallery, Haroon Mirza launched his first NFT project – kinetic sculptures and immersive installations that use light, sound, and electricity. On solstice star.xyz, Solstice Star made available 200 of 1,000 free NFTs depicting a red-and-white fly agaric mushroom framed by rotating solar panels.
In their distinct but overlapping ways, Collishaw and Mirza demonstrate NFTs’ rich and inclusive potential as interactive artistic endeavours thanks to the fact that minting is no longer an environmental hazard. There is no point in worrying about profits since neither artist has made much money from NFTs yet.
According to Ralph Kuepper, founder of Sherwood Analytics, most NFT projects lack clear predictions, roadmaps, and business models. It is rare to see a business plan for NFT projects that includes predictions and ideas.
It’s “almost too late” when NFT projects are looking for investment when they are planning advisers, core teams, or understanding finances and forecasts.
You may find the idea of building a business in this space and NFT sexy and fun, but you’re not alone. It’s great to work on that all day long, but you also need to ensure the fundamentals are in place,” Cheshire said.
Kuepper also said investors should look at what they invest in and how they invest. In 2021, Visa bought a CryptoPunk for about $150,000 in ether for a public relations stunt, but there are big differences between buying NFTs and investing in them.