10 mistakes of every NFT Corporate fail

Transcript

foreign [Music] yeah okay it works hi everyone uh thanks for being there so today we'll be spending about 15 minutes together to decorate basically the 10 mistakes of all the of the biggest nft fails so let me give you a little bit of context so I'll just work it'll work so uh my name is I'm in vnft space since 2018. I'm the founder of a company called non-fungible.com and actually we've been publishing a couple of reports over the

past few years and we've been supporting companies like small projects in big corporations as well in their nft Journey since almost the beginning of nfts so what we'll be sharing with you today is basically a wrap-up of five years of experience of yeah most of the mistakes we've seen mostly recently so um if you want to if you want you can as well read my keynote as the 10 ways to crush your nft drop that's basically uh the 10 biggest way to fail so if you want to fail you have everything you want to know but uh let's more seriously

jump into actually what people think about nfts like all the bad hypotheses they may have about this technology the first one is about expectations most projects I've been working with and brands have unrealistic expectations the first one is we can make billions out of nfts actually yeah one year ago two years ago you could definitely make a couple of millions just like that in 24 hours the thing is that this time is other you can't make a cash grab a money grab just like that either is no utility if you don't invest no it won't work so you have to consider that nfts are not a way to make money or what right away it's an investment one

way or another over time each major rate profit but for a long time it may just be an investment so just consider it may be profitable Dava Road and the profit may not be only about money it can be about engagement so first one I have realistic expectations the second one is I love this example uh you may have heard about an example of porch Porsche is probably one of the biggest sorry about them a fail in the recent nft industry they haven't sold out like at all and with our team we have spent a lot of time to decrypt exactly what happened

and we have concrete figures about that yes but basically it was mostly about the image of a brand not about the value proposition there was almost no value proposition no utility so if you consider that you are Porsche you are famous enough you can sell whatever you want at the price you want it won't work with nfts people expect more than that they expect an actual utility and for people that have spent already dozens of thousands in nfts and that have lost most of their money and you arrive with something where there is no utility it won't convince and that's basically what happened it has not convinced so in their case it was too expensive not enough utility and the supply was not

adjusted to the market conditions So Posh example is a good one of you may be push you may be extremely famous and massive and have a lot of communication Firepower it's not enough your brand is not enough the third one that's an example which is absolutely not famous it's Lamborghini I don't know if anyone in the room has heard about the Lamborghini drop no yeah no one is not about this one actually it's a it's a super massive drop the plan was basically to issue about 6 000 nfts for sale every month for one year and they are still doing it but the thing is that about 70 nfts are sold

every month only because basically they plan their pricing they're supplying everything one year before but the market is going up and down so if you consider that your plan that you had in mind one year ago will work in one year you're done it won't work you have to adjust you have basically to Define your position your pricing in your supply a couple of weeks month maximum before your drop because you don't know how the market is going to look like so basically they wanted to generate about 1.5 million every month they generate about 50 000. I'm not sure that even pay the servers and everything else so yeah when you are too optimistic and you prepare your plan the way to ahead

of time it won't work either the next one uh it's a quite basic one but I think it's necessary to uh remind that to everyone it's not because it walked a couple months or years ago that it will work again so rare axi Infinity all these guys they are crazy success and they are still successful but do you really need to create the exact same thing no don't no need to create a sorea it already exists no need to recreate I see Infinity with silver limits of x infinity and other play to them it's still a good game but within limits so learn from that do your own stuff don't replicate don't try to create the story of something I've seen so many Brands

knocking on my door and like super big Brands being like I want to create Sorrel but why I mean you are not into football why would you like to create Saraya I don't know they make money true story I really had a client like that um another one is that um don't forget that most nft projects don't deliver for a lot of reasons so if you sell your nfts and you plan to issue the value proposition the real utility nine months after one year after most people will not be convinced because basically they've already been disappointed by NFC projects that have not delivered

once again for a lot of reasons are there all scammers not really we have obviously scam in the Nifty industry like in every industry so we have seen rug pools permanent this kind of stuff but most nft projects are enrolled by startups startup fail most nft projects are in that case failing so we have bear Market we have a knife a decrease the company made pivot this and just the company May close so these kind of things happen we have to take that in mind so what happened is that for so long nft projects are sold keys for the price of the house being like hey buy my nft it would be amazing

one day you'll get house but the pivot and you never get a house but you paid I don't know half a million for a key thinking you'll get a house one day so don't deliver too late because people have already learned that lesson the hard way everyone uh these are data from our platform from non-fungible.com and basically what you get there is the average sorry the sum up of profit and loss per segment so you have art Collectibles gaming with others collectible valuable position is you can own something unique and that's it owning is not enough so what we've seen at the beginning of a

bear Market is that most people that own Collectibles sold them at last we either pick at almost 100 million of loss per week of people getting rid of their collectibles but all the other segments don't have this trend because there is some sort of a utility or something more long term there is nothing like a real utility with art that people all that for another reason because we really like they are they're like the artists for Collectibles we've learned the lesson out of the hard way too so please don't take the collectible Road it's over um yeah that's a quite obvious one but

don't use the the strategy the marketing strategy that you used to work with web2 I mean if you really want to issue something for the web free agents for the nft audience please don't try to be on tick tock on Facebook on Google ads I mean you you you may basically communicate with your grandfather but your audience will not be there sorry about that no offense um but the thing is that uh just realize think about where your audience is and think about where they are the most active most nft buyers are on telegram they are on Discord they are on this kind of small groups they are not on Facebook groups and once again I've seen recently uh ads

on Instagram for Nifty projects but I haven't seen anyone buying nfts there um this is definitely related to a previous point it's about knowing your audience so you should know where they are in terms of communication of marketing so pick the right channels but pick the right platform too if you want to issue art and you are like okay I want to establish my art platform on flow there is no art collector on Flow so you know you will not you will miss your audience you will miss your target same if you want to issue your collection on polygon and have no Fiat payment I won't be too technical but if you've used a bridge once in your life

you know it's not for the mainstream you know how complex it may be for everyone just to use a bridge so think about what your audience is and what they expect and if I just wrap things up at this point the three question questions are who are they where are they the most active and try to be in their shoes what are they scared of what do they expect they probably dream about something something that could really resonate with them they may be in or not yet in the nft space but try to understand who they are and not issuing if this is because one way or another that will be sold it's not the case anymore

unfortunately the ninth point is about metaverses which we should talk about that now you should know we should not go all in the metaphors for a couple of reasons the first one have you ever been in the central land have you ever been in crypto voxels have you spent a lot of time in this kind of platforms uh it doesn't look good actually so if you really want to do something why not it's experimental but it's probably something down the road to explore I'm still bullish on metaverses maybe in 10 years I've been in decentraland buying Parcels in 2018 I been through all this

process of disillusion so I'm still bullish on the concept but right now we have to be to tell the truth about it VR is not mainstream metavis are not convinced and honestly which kind of audience do you plan to Target there just a couple of Hardcore nft people hit the truth you will not eat any kind of mainstream there and these are called nft people will be on this call in Twitter and telegram so in my humble opinion no need to go all in all metabuses right now just keep that in mind maybe in the future last but not least

nfts old no value nfts are absolutely worth worthless in themselves they are just a medium they can only hold value based on the utility on the value proposition you will build on top of that any file on your computer has absolutely no value if it's a proof a certificate that you own a house in that case it has a value but it's the same for nfts any nfts is absolutely worthless per definition you will build value on top of vnft so what are actually nfts it's just a technical medium only consider them as a medium that can hold value if you build

the right mechanism around it it's a vehicle and once again it's just a way it's not an end goal nfts are a way to engage with your community that's a way for that for you to create a new link to create some sort of new momentum or new business model the Nifty itself no one now will pay for it for just being an nft it has to be something else it has to be something that will change the older's Life One Way or Another even if it's just a small change so the main key to success is okay uh just keep in mind that all of this is experimental you have to dare you have

to open new doors don't try to replicate what used to work uh don't try to plan something in two years or five years it won't work you have to adapt and just focus on real and thin utility something that has not been done yet it's a risk but you have to take choice to succeed specifically in these current market conditions so I know I'm running out of time that's my last one so even if you failed and to be frank with you most of my clients now are not like creating a new project they just try to save what they can out of a project they launched six months ago so there are still ways to build something on top of a project you already issued so we have some sort of a

plan we basically we review the pro the assets you got in mind uh sorry you get on the table like you have a community you have Assets in circulation you have some sort of a small market so try to measure what was the crush what where the region reason of a crash so explain decorate what happened prepare the plan based on the assets you have the assets you already issued test your plan announce it with your core community and measure your success so this is like in just 30 seconds out survive the crush of your nft drop but yeah I think yeah it's quite important to remind that

and that's basically it for me [Applause] thank you maybe there are any questions from the audience good okay thank you again thank you thank you so much [Music] [Music]