- Yat Siu, founder of Animoka Brands, believes that NFTs are underutilized and can transform industries such as rights management and education as a key component of digital capitalism.
- Siu argues that the current poor reputation of NFTs is indicative of a healthier and more genuine interest in the technology's utility, which is crucial in addressing global financial inequality and promoting financial literacy. are doing.
- The legal framework, particularly in the United States, needs to evolve to support this vision.
Yat Siu, founder of Web3 giant Animoca Brands, said in a recent interview with CoinDesk: “We believe we can leverage the utility of non-fungible tokens (NFTs).'' “I haven't.”
NFTs are tokens that provide ownership of digital or tangible assets to users. These tokens became wildly popular during the 2021 bull market and then plummeted.
The Grails NFT collection, once part of Three Arrows' Starry Night portfolio, sold for more than double its expected price at Sotheby's, and in January There were also some positive movements in the market, with the rise of Ethereum (ETH) outpacing that of Ethereum (ETH).
But having proper digital ownership on blockchain is key to disrupting the multibillion-dollar industry of rights management and content distribution for everything from education to gaming.
“NFTs can revolutionize educational content distribution and provide significant economic opportunities, especially for less affluent regions,” said Siu.
Mr. Siu cited the example of TinyTap, an educational content platform that the company acquired in 2022. Teachers using the platform can monetize their content, bypassing traditional barriers like publishers. While the numbers are small for now, this could be an important source of passive income for people in the Global South.
Siu argues that it's not a bad thing that NFT valuations are lower than they were at the height of previous bull markets. Because once the speculators are gone, all that will be left are people who are genuinely interested in the technology, and its foundation will be strengthened.
“The usefulness of NFTs is that they are digital ownership and anyone can make money,” said Siu, adding that it is an antidote to inequality and building a financially literate society. He added that this is the first step.
“NFTs and crypto assets are popular in Asia because they are seen as an extension of digital capitalism,” he said, arguing that the relationship between democracy and capitalism is essential. “The biggest threat I see right now is that we don't understand capitalism, so when we look at the money that's going on in the world, we think it's unfair.”
“Property rights and capitalism are the foundations that make democracy possible,” he continued.
Mr. Siu points out that there is a negative reaction to this digital capitalism in the United States. That stems from an emotional response to the financial aspects of NFTs and reflects broader sentiments about money in the real world, Siu said, adding that the importance of education to address these perceptions. emphasized.
Inequality is on the rise and the US Democratic Party is moving to the “far left”, which he says is a “threat to democracy”.
“The roots of communism were born out of a sense of inequality, and there is a correlation between that and Web3 and financial literacy,” he said. “Web3 can save the story of capitalism by making users stakeholders and co-owners.”
While Siu's optimistic vision for NFTs may be a breath of fresh air for those who argue that blockchain and Web3 have utility beyond speculation, the U.S. Securities and Exchange Commission (SEC) The first enforcement measures announced last August appear poised to hit the industry.
The legal framework still needs to be developed to ensure that NFT projects that seek to save capitalism and reduce inequality are not branded as “unregistered securities.”
｜Translation: CoinDesk JAPAN
｜Edited by: Toshihiko Inoue
｜Image: Ta Zhi DAO interviewed by CoinDesk at Taiwan Blockchain Week
｜Original text: NFTs Are the Pillars of Digital Capitalism, Animoca Founder Says