Ethereum-based Non-Fungible Tokens (NFTs) have risen in popularity, as they can be particularly useful for trading digital art. Such as Hashmasks, living digital art collectible.
An investor has managed to cash in! Buying one piece of digital art for $130 and then reselling it for more than $150,000 in just three days. The sale was made through the Open Sea digital marketplace.
The piece was purchased by an anonymous buyer only known as “westcoastbill”. The buyer has a high purchase history and there are several items in his personal collection of Hashmasks.
The particular artwork that was purchased is called “Trump”. It is one of the “living collectibles” that make up the Hashmasks collection.
Created by more than 70 artists globally, the collection consists of 16,384 digital portraits. Investors of the collectibles get 10 Name Changing Tokens (NCT) for every day they hold the artwork; These NCTs are the native tokens of the Hashmasks collection.
Their purpose is to allow investors to choose a name for the token they have invested in. Upload it to the Ethereum blockchain and get a hash and two addresses as proof of its originality. That way, collectors can determine the name of the commodity and monetize the rarity of the items.
A whole New Dimension For NFT Collectibles
“This opens up a whole new dimension for collectibles where the value hierarchy of the individual pieces of the whole collective art is highly impacted by the preferences of the consumers,” the Hashmasks website states.
Each of the pieces in the collection earns investors about 3,660 NCT a year. About 1,800 NCT are required to change the name of the collectible piece.
These NCT must be sent to the address of the art piece’s contract (the NFT) on the Ethereum blockchain. They are then “burned”. After 10 years, they will become completely unalterable items with a unique name registered on the Ethereum blockchain.
Hashmasks collection appears to be in high demand. Data from Open Sea shows that the pieces have traded for an average price of 2,313 ETH. With a trading volume of 5504.9 ETH since January 24, 2021.