Stocks and assets will be turned into NFTs, venture capitalist says

Company shares and real estate will be among the many things that will be turned into non-fungible tokens in the future, according to venture capitalist Bill Tai.

The tech investor told CNBC’s Arjun Kharpal on Wednesday that “it’s going to happen” and that “it’s not even a question.”

Instead, it’s just a question of when it will happen at scale, Tai said at the Crypto Finance conference in St. Moritz, Switzerland.

NFTs are “one of a kind” assets in the digital world that can be bought and sold on the Internet. They are designed to show that someone owns a unique virtual item, such as online photos and videos or even collectible sports cards. It is currently unknown why anyone would want to own an NFT of a stock or what they could do with it.

Over the past year, the number of articles turned into NFTs has increased rapidly. Everything from the World Wide Web’s source code to Jack Dorsey’s first tweet has been sold as NFTs.

But some people don’t know why these intangible assets are sold for so much money. In March, South Carolina-based graphic designer Beeple, real name Mike Winkelmann, sold an NFT for a record $69 million at an auction at Christie’s. In June, an NFT of the web’s source code sold for $5.4 million.

Data from market tracker DappRadar released on Tuesday shows total NFT sales reached $25 billion in 2021 as the speculative crypto-asset grew in popularity. Some of the world’s best-known companies, including Coca-Cola and Gucci, have also sold NFTs.

While some worry about the existence of an NFT bubble, Tai, who has invested in start-ups like Zoom and Scribd, said he expects more and more to be transformed. to NFT as the Internet moves from Web 2.0 to Web 3.0.

“Web 1.0 was read-only,” he said. “Web 2.0 is read-write. Web 3.0 is the instantiation of a wrapper around everything that comes in and out of this screen so that it can move around. So it’s an internet of assets. “

“You can put land titles, real estate, art, designs, anything in there,” he added, explaining that anything can have an address that lets people find it via a Marlet. “It’s the most efficient way over time to assign ownership of really any asset.”

Like many other NFT advocates, Tai is also interested in cryptocurrencies. He described the latest crypto crash that saw bitcoin’s value briefly dip below $40,000 on Monday as “yet another swing,” but he’s optimistic it will rebound.

“I don’t know when it will go up, but it will go up,” he said, adding that cryptocurrencies are at the heart of institutional acceptance.

Elsewhere, the CEO of Seba Bank told CNBC that bitcoin’s price could nearly double to $75,000 this year as more institutional investors begin to embrace it.

“Our internal valuation models indicate a price currently between $50,000 and $75,000,” said the head of the regulated Swiss bank which focuses on cryptocurrencies. “I’m pretty confident we’ll see this level. The question is always the timing.”

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