I guess they think someone else will pay even more for it. I dunno.
Maybe I just don't understand it or maybe I've finally reached getting too old but it just doesn't make sense to me.
Its value is only based on what some dumb fuck will pay for it. I guess you could say the same for any collectible but at least those are physical objects. And very few collectibles/antiques/etc sell for hundreds of thousands. They are buying a fucking image file that the entire world has access to. What's the appeal?
"Well, actually, I own the original."
Okay?
You do understand you just don't value the things in question. It is exactly like collectibles. Although the price given for this picture is in dollars the price paid was actually in ethereum so the dollar cost average is much lower no doubt. And for their "money" the buyer now owns the original image which they can sell to someone else like any other collectible. All value is subjective but people do like owning things. I watched a Raoul Pal video earlier and he touched on NFTs and gave an analogy using books as an example. If you own a paperback with a print run in the millions its value is low. If you own a rare first edition it is worth more. If you own a signed first edition it is worth even more. The buyer of this photo has essentially bought a signed copy of the first edition of this meme. Is it worth anything to others? Over time? Who knows but with a low dollar cost average it was worth the price to the buyer.
Maybe the buyer sees value in this purchase because they are marketing ethereum and NFTs using a popular meme. There has been a lot of coverage of this story.
NFT's hasn't reached its full potential as a concept. At the moment, I get the feeling many rich people are using it for money laundering. Same way they do at art galleries with paintings and stupid shit going for millions.
Now that would make sense.
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