The non-fungible token [NFT] space has taken the virtual realms of art, music, and sports by storm. The heat is yet to escape the market as NFT continues to attract not just crypto millionaires, but also tech moguls, and even celebrities.
The latest to join the hype train is American singer and songwriter, Katy Perry who announced launching NFTs for fans worldwide and the acquisition of a stake in the blockchain video-delivery network Theta Labs.
Katy Perry x Theta Labs’s new NFT
With the collaboration, the first digital collectibles are set to feature content from Katy’s upcoming “Play” residency at the brand new Resorts World Las Vegas hotel, which starts this December.
Theta Network’s NFT marketplace, ThetaDrop, is run by the Theta protocol and a native blockchain that is vastly different from other non-fungible token platforms since it is focused primarily on the media and entertainment industry.
Perry was quoted saying,
“I’m both excited and curious to be launching my first ever non-fungible token later this year with Theta Network. This is a new, unique opportunity to connect with my fans around the world even if they aren’t with me in Las Vegas.”
She also added,
“I can’t wait to dive in with the Theta team on all the exciting and memorable creative pieces, so my fans can own a special moment of my residency that’s both a digital collectible as well as an IRL experience.”
With all the excitement surrounding the non-fungible token marketplace, a healthy correction was imperative. As far as numbers are concerned NFT sales were estimated to be $93 million in the fourth quarter of 2020, soon after which it shot up to more than $2 billion in Q1 2021, meaning a rise of over 2000 percent in a span of few months.
One of the main reasons that can be attributed to the minor slump in the numbers in the following quarter was some good old-fashioned supply and demand. Many in the community speculated that a period of hypergrowth was primarily triggered by a massive frenzy of NFT creators to foray into space as a result of which the supply of NFTs vastly surpassed the demand, this driving NFT prices to take a plunge and creating headwinds against price appreciation.
Despite this, the market saw the entry of numerous celebs of late which can reflect a rising demand.