Neon, a company that made headlines by introducing the first NFT vending machine, is excited for the hysteria on the NFTs to cool off.
A few weeks ago, Reuters ran a story of the first in-person non-fungible token (NFT) vending machine located in Lower Manhattan, New York. Digital art collecting platform Neon, starting with $3 million in seed money, said it hoped to roll out more vending machines.
Customers who decide to purchase an NFT from a vending machine will have no idea what piece of art they will get as the machine selects an NFT at random.
The vending machine has already sold out of NFTs on multiple occasions, Neon Co-Founder Jordan Birnholtz told Cybernews. He is excited for the hype cycle around NFTs to die down.
"We are seeing a shift happening in the NFT space that, through primary market forces or a general cooling on hysteria, will be a net positive for the space in the long term," he said.
According to Birnholtz, this cooling-off means that people begin to develop a realistic view of the industry.
"Two great shifts are happening in NFTs. First, people abandon hype and FOMO [fear of missing out] in favor of real attachment to artists and creators. Second, it means people are focusing on building tokens with real utility, taking advantage of airdrops and mints, creating high value, well-made tokens," he said.
Inflated hype will be replaced by technology and art at the center of renewed interest in the NFT market. The vending machine that Birnholtz came up with the help of one of Neon's summer interns, Drew Levine, in the fall of 2021 was an experiential marketing tactic. Jordan thought there was no more straightforward way to buy something than a vending machine.
It’s supposed to demystify getting an NFT and bring the technology to the masses. The vending machine allows anyone with a credit or debit card to buy NFTs – the machine dispenses a box with a unique code inside it for the chosen NFT, easily redeemable on the Neon platform.
Despite many opportunists jumping the NFT train for a quick cash grab, NFT market players are confident about the future. With big brands, such as Coca-Cola, and auction houses like Christie's and Sotheby's entering the market, experts and artists alike are confident that we are headed towards a more sustainable NFT market rather than a bubble.
"You can't deny its power. I think it's here to stay. We are just in the beginning, but Christie's and Sotheby's, the two oldest art institutions on Earth, are already behind it. It doesn't get more credible than that," Paul Gerben, a New-York based contemporary artist, who has added blockchain to his palette, recently told Cybernews.
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