ITU

NFT

Press/Media: Press / Media

Non Fungible Tokens (NFTs) are digital assets that represent objects like art, collectible, and in-game items. They are traded online, often with cryptocurrency, and are generally encoded within smart contracts on a blockchain. Public attention towards NFTs has exploded in 2021, when their market has experienced record sales, but little is known about the overall structure and evolution of its market. Here, we analyse data concerning 6.1 million trades of 4.7 million NFTs between June 23, 2017 and April 27, 2021, obtained primarily from Ethereum and WAX blockchains. First, we characterize statistical properties of the market. Second, we build the network of interactions, show that traders typically specialize on NFTs associated with similar objects and form tight clusters with other traders that exchange the same kind of objects. Third, we cluster objects associated to NFTs according to their visual features and show that collections contain visually homogeneous objects. Finally, we investigate the predictability of NFT sales using simple machine learning algorithms and find that sale history and, secondarily, visual features are good predictors for price. We anticipate that these findings will stimulate further research on NFT production, adoption, and trading in different contexts.

References

TitleNFTs: four “secrets” to understand their real value
Degree of recognitionInternational
Media name/outletDomus
Media typeWeb
Country/TerritoryItaly
Date16/12/2021
URLhttps://www.domusweb.it/en/art/2021/12/16/nfts-four-secrets-to-understand-their-real-value.html
PersonsLuca Maria Aiello
TitleResearchers: The NFT Economy Is Just as Unequal as the Real One
Degree of recognitionInternational
Media name/outletVice Motherboard
Media typeWeb
Country/TerritoryUnited States
Date07/12/2021
URLhttps://www.vice.com/en/article/n7nzbx/researchers-the-nft-economy-is-just-as-unequal-as-the-real-one?utm_source=motherboard_twitter
PersonsLuca Maria Aiello
TitleNew Study on NFTs Deflates the “Democratic” Potential for the Medium
Degree of recognitionInternational
Media typeWeb
Country/TerritoryUnited States
Date03/12/2021
URLhttps://hyperallergic.com/697239/new-study-on-nfts-deflates-the-democratic-potential-for-the-medium/
PersonsLuca Maria Aiello
TitleTop 10 Percent of NFT Traders Perform 85 Percent of All Transactions, New Research Reveals
Degree of recognitionInternational
Media name/outletARTnews
Media typeWeb
Country/TerritoryUnited States
Date02/12/2021
URLhttps://www.artnews.com/art-news/news/nft-market-research-1234612143/
PersonsLuca Maria Aiello
TitleAuction Houses: Challenges for Now and the Future
Media name/outletMedium
Media typeWeb
Date02/12/2021
URLhttps://medium.com/culture-cog/auction-houses-challenges-for-now-and-the-future-5341b5c4ec15
PersonsLuca Maria Aiello
TitleWhy are some nonfungible tokens so expensive?
Degree of recognitionInternational
Media name/outletDW
Media typeWeb
Country/TerritoryGermany
Date27/11/2021
URLhttps://www.dw.com/en/why-are-some-nonfungible-tokens-so-expensive/a-59921744
PersonsLuca Maria Aiello
TitleIt’s OK Not To Know About NFTs
Degree of recognitionInternational
Media name/outletBuzzFeed
Media typeWeb
Country/TerritoryUnited States
Date24/11/2021
URLhttps://www.buzzfeednews.com/article/katienotopoulos/help-i-cant-stop-getting-emails-about-nfts
PersonsLuca Maria Aiello
TitleLa mayoría de los NFT tiene un valor muy bajo: un estudio demuestra que el 75% de los 'tokens' no fungibles se vende por menos de 15 dólares
Degree of recognitionNational
Media name/outletBusiness Insider
Media typeWeb
Country/TerritorySpain
Date17/11/2021
URLhttps://www.businessinsider.es/ciencia-demuestra-mayoria-nft-no-tienen-valor-965713
PersonsLuca Maria Aiello
TitleDescubren que la mayoría de los NFT cuestan menos de 15 dólares o ni siquiera tienen valor
Degree of recognitionNational
Media name/outletRT
Media typeWeb
Country/TerritorySpain
Date12/11/2021
URLhttps://actualidad.rt.com/actualidad/410076-descubren-nft-no-tener-gran-valor
PersonsLuca Maria Aiello
TitleCome si determina il prezzo degli Nft? Una mappa per visualizzare la “rivoluzione” dei token non fungibili
Degree of recognitionNational
Media name/outletIl Sole 24 Ore
Media typeWeb
Country/TerritoryItaly
Date09/11/2021
URLhttps://www.infodata.ilsole24ore.com/2021/11/09/come-si-determina-il-prezzo-degli-nft-una-mappa-per-visualizzare-come-si-visualizza-la-rivoluzione-degli-nft/?refresh_ce=1
PersonsLuca Maria Aiello
TitleIs Blockchain NFT really an Art Gallery of Modern Times?
Media name/outletMedium
Media typeWeb
Date15/10/2021
URLhttps://chintanshukla.medium.com/is-blockchain-nft-really-an-art-gallery-of-modern-times-44825bfd3004
PersonsLuca Maria Aiello
TitleScience proves it: Most NFTs are worthless
Degree of recognitionInternational
Media name/outletFast Company
Media typeWeb
Country/TerritoryUnited States
Date11/11/2020
URLhttps://www.fastcompany.com/90695605/science-proves-it-most-nfts-are-worthless
PersonsLuca Maria Aiello

Description

Non Fungible Tokens (NFTs) are digital assets that represent objects like art, collectible, and in-game items. They are traded online, often with cryptocurrency, and are generally encoded within smart contracts on a blockchain. Public attention towards NFTs has exploded in 2021, when their market has experienced record sales, but little is known about the overall structure and evolution of its market. Here, we analyse data concerning 6.1 million trades of 4.7 million NFTs between June 23, 2017 and April 27, 2021, obtained primarily from Ethereum and WAX blockchains. First, we characterize statistical properties of the market. Second, we build the network of interactions, show that traders typically specialize on NFTs associated with similar objects and form tight clusters with other traders that exchange the same kind of objects. Third, we cluster objects associated to NFTs according to their visual features and show that collections contain visually homogeneous objects. Finally, we investigate the predictability of NFT sales using simple machine learning algorithms and find that sale history and, secondarily, visual features are good predictors for price. We anticipate that these findings will stimulate further research on NFT production, adoption, and trading in different contexts.

Period11 Nov 2020 → 16 Dec 2021

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Research outputs (1)

  1. Published

    Mapping the NFT revolution: market trends, trade networks, and visual features

    Research output: Journal Article or Conference Article in JournalJournal articleResearchpeer-review

ID: 86426743