NFTs in Singapore: More Than Just a Financial Payout

Currently trading at a sales volume of over US$25 billion, NFTs are helping Singaporean artists transition from selling SG$1000 physical pieces a month to over US$100,000 a day. Unlike traditional art pieces, artists are now able to also earn passive income through receiving a cut per piece sold thereafter in the secondary market (up to 10%). This has led Singaporean artists to be supportive of their community, creating a mini-ecosystem – growing their members to more than 3,300. Mr. Farizwan, a new Singaporean NFT artist, believes that his biggest benefit of entering the space was more so about the precious relationships and people he has now met than the success of his NFT collection.

Although some artists have adapted to the space, there are still high barriers to entry with artists requiring an understanding of blockchain and cryptocurrency. Some even feel that NFTs are upending the creative world, with the art not traditionally being associated with program code. Yet other artists, like game designers, spatial architects have a brand-new audience.

Aside from a new stream of income, NFTs have also started to play a vital role in helping social causes. Speaker of Parliament Mr. Tan Chuan-Jin successfully raised SG$94,000 through his landscape photographs sold as NFTs.

In spite of the fact that buyers of NFTs may be joining the community due to each project’s exclusivity, appreciation of art or even a quick flip, skeptics have concerns over the NFT hype bubble.

As society starts to increasingly be involved with the concept of the metaverse, the question of the development of NFTs to adapt to it persists. Novum Alpha’s Mr. Tan believes that NFTs are still a work in progress, alluding to a hype cycle that may result in valuations not staying this high forever. Although the financial success of NFTs, and their artists, may always be up for debate, the question of it being able to form a community in times of social separation is relatively clearer.

 

Read it here – https://www.channelnewsasia.com/singapore/nft-non-fungible-tokens-opportunities-risks-singapore-creators-focus-2397706