Celebrities like Neymar and Messi watch the dollar price of NFTs melt

  • The NFTs became a fever among celebrities. However, with the “crypto winter” they saw the dollar market value of their NFTs drop brutally.
  • Risk aversion, in the face of inflation, an upward cycle of interest rates in several countries and the conflict between Ukraine and Russia, has put pressure on assets with greater volatility, including NFTs.
  • Despite the bad timing for the asset class, Hashdex CEO Marcelo Sampaio says investors should see if the assets have solid investment theses and growth potential

Latest trend among crypto assets, NFTs have become a fever among celebrities. Soccer players Neymar and Lionel Messi, and singers Justin Bieber, Madonna and Post Malone are some of the celebrities who acquired the digital assets. However, with the “crypto winter” they saw the dollar market value of their NFTs drop brutally.

Messi’s example is very illustrative. When the Argentine star was signed by PSG in August of last year, the French club decided to pay part of the contract in $PSG Fan Tokens, the club’s own NFTs. The athlete received a significant amount of the crypto asset, at the time quoted at $41.74. However, the price of the tokens plummeted and they are currently quoted at just US$6.44, down 84.5% since signing the Argentine.

Risk aversion, fueled by the inflation scenario, the high interest rate cycle in several countries and the conflict between Ukraine and Russia, has put pressure on assets identified by experts as more volatile, especially shares of technology companies and crypto-assets, including the NFTs.

However, despite the bad moment for the asset class, Hashdex CEO Marcelo Sampaio says that those who invest in NFTs should not see a difference if the market is up or down, but if the asset has a solid investment thesis and potential to grow.

“We already have evidence of events, not just in games or art, that have this ability to digitize the material world. There are very obvious use cases for NFTs, but they will still be developed in the future. How to have NFT as your identity. You have one, I have one. What is the digital representation that we will have in the future?”, said Sampaio in an interview with E-Investor last month.

The Bored Ape Yacht Club collection illustrates the Hashdex CEO’s speech. Neymar, for example, uses the token BAY # 6633, of a monkey making a bubble of gum, as his profile picture on social media.

The “bored monkeys” – the theme of the collection – are even one of the celebrities’ favorite NFTs. In addition to the shirt number 10 of the Brazilian team, Eminem, Justin Bieber, Madonna, Post Malone and Snoop Dogg have NFTs from the collection.

Anyone who owns one of these NFTs has access to a “vip community”, with the right to exclusive parties and events promoted by the company that created the figures – Yuga Labs. Success has made NFTs appreciate in ethereum (ETH), the currency in which assets are traded.

When Post Malone acquired the BAY #961 and BAY #9039 tokens, the minimum price of a token in the collection was ETH 41 and currently it is ETH 83, according to website CoinGecko.

However, the dollar devaluation of ethereum makes NFTs cheaper today than they were at the time of the rapper’s purchase. At the time, the minimum dollar price of a token in the collection was $189.6. It currently stands at US$96,500.

In the case of Neymar, the minimum price of a token from the collection when the attacker acquired his token was ETH 79.5 (US$ 238,400 at the price at the time). Since the attacker acquired his bored monkey, the minimum price for the collection has dropped by 59.6%.

The star of the Brazilian team paid 159.99 ethereum (ETH), the equivalent of US$ 480 thousand in values ​​at the time for BAY #6633, which he uses as a profile picture. The forward also shelled out 189.69 ETH ($568K) for BAY #5269.

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About Banner Leon

Videogames entered his life in the late '80s, at the time of the first meeting with Super Mario Bros, and even today they make it a permanent part, after almost 30 years. Pros and defects: he manages to finish Super Mario Bros in less than 5 minutes but he has never finished Final Fight with a credit ... he's still trying.

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