Meaning And Humongous Returns on Non-Fungible Tokens

As you read this, no investment on planet Earth is generating as much returns as Non-Fungible Tokens. Yet, sadly, very little is known about NFTs, as they are called in Africa.

What exactly are Non-Fungible Tokens? The short answer is that they are digital assets, which are usually in the form of digital art.

The reason why they are non-fungible is that their value is abstract and not intrinsic.

The term fungibility is an economic term that refers to goods that do not have an individually specific identity, which means that you can replace them with another identical item because they are mutually interchangeable.

For example, a barrel of a particular brand of crude oil, like the Bonny Light Crude, is fungible because it has an exact value and can be exact shred for another barrel of Bonny Light Crude, wherever it may be in the world.

This principle applies to monies of the same currency (your $100 has exactly the same value as mine and are thus interchangeable). It also applies to almost all goods and services.

For example, if I enter a contract with you to perform the service of flying you from London to New York in a private jet, that service is fungible as long as I use any type of the planes I promised. So if I contracted to fly you in a Learjet, one Learjet is as good as the other.

Now, Non-Fungible Tokens are the exact opposite of that. They are art. So their value is abstract. They cannot be interchangeable or exchanged for another art of exactly the same value, because their value is unique.

So for instance, the Mona Lisa, by Leonardo da Vinci, is unique. It can never be recreated. Therefore, it can never be interchanged or exchanged for another Mona Lisa.

Thus, the value of any Non-Fungible item is in its uniqueness. Like snowflakes, which can be many in number, yet, each is individually unique.

Now, imagine this in a digital world of virtual reality. What you have imagined is a Non-Fungible Token.

And the reason why they could be so valuable is because you can create them and have them authenticated in a blockchain ledger. Then they become tokenised and own-able, such that if anybody duplicates them or takes a photo of them, their copy does not become valuable, just as a photo of the Mona Lisa does not become valuable, and it does not detract from the value of the original.

Now, Non-Fungible Tokens are not so common, but in the next five to ten years, they will become so mainstream, and that will further drive their value up.

Imagine paper money, also known as currency, or cash. When proper paper money was first introduced in the United States in 1690, the public were sceptical. They refused to stop using gold and silver as money and resisted the greenback.

But as time went on, and they saw the advantages of paper currency over the gold standard, i.e. that it was easier to carry around, faster and better to trade with, and more easily borrowed and lent, they gradually embraced it.

And even now, paper currency is giving way to digital currency. In fact, a country as conservative as Nigeria just launched the e-Naira. You can live in America for a decade without even touching a physical dollar because the digitalisation of the dollar has reached advanced stages.

Now, that digitalisation is now being applied to art. And the initial result is Non-Fungible Tokens. Eventually, it will encompass many other things.

Just last week, CryptoPunk, an NFT, sold for $530 million, and that is over half a billion. While there are currently unanswered questions about that sale, it is crystal clear that as of 2021, nothing on planet Earth can make you rich like Non-Fungible Tokens.

In March of 2021, a digital artist known as Beeple, whose real name is Michael Joseph Winkelman, sold a single unit of NFT for $69 million at an auction at the world-famous British auctioneers, Christie’s.

A series of NFTs known as Pudgy Penguins, created by a digital artist known as Clayton Patterson, has made more people millionaires this year than almost any other thing on Earth. And a significant portion of those who became overnight millionaires are eighteen-year-old kids.

A unit of Pudgy was worth $70 in June of 2021. And today, their value shot up to $9,500 a unit. That is an over 10,000% return on investment. I challenge you to name any investment that can yield that rate of return. Go ahead. I challenge you.

Only Cryptocurrencies and NFT are performing that well. And that is why I urge my readers to update their financial knowledge, so they do not lose out of this geometric wealth creation that is going on around the world.

You cannot use yesterday’s financial knowledge to do business in 2021. Analogue financial intelligence is dying. Finance is now ultra-digital. Equip yourself with #crypto knowledge and explode your finances forever!.

I travelled around Africa between 2018 and 2019. There is no part of Africa I have not been to. If a plane goes there, I have gone there. And the wide-continental poverty I saw in Africa sobered me. I tried throwing money at it, but one man can only do so much.

According to the Nigerian Deposit Insurance Corporation, 99.4% of bank accounts in Nigeria contain less than N500,000. So forget about all the social media posturing you see. Ignore the ‘image is everything’ or swagger of the iPhone 13-totting generation. There is widespread poverty in Nigeria. This is the reason why I am devoting my time on social media to teach people how to prosper

Even if I may be personally prosperous, my prosperity is not that meaningful if my people live in unimaginable and unnecessary poverty.

Reno’s Nuggets

If you learn coding, you may never become a billionaire, but you will never be poor again. Because every day, more opportunities are opening for coders. The world is moving from analogue to digital. You can never suffer with that skill. Go and learn how to code! And remember, there is no secret to success. No formula for wealth. No assured way of making money. Just make money and succeed however you can, so long as it’s legal. Even if it’s by washing plates, succeed at it. Success is the goal. Success justifies the means.

#RenosNuggets #FreeLeahSharibu

Reno’s Darts

To show you how confused Buhari is, he banned #Cryptocurrency. Then created his own subpar digital currency, and asked foreign investors, many of whom are heavily into crypto, to invest in his e-Naira. That is like banning Scottish whisky, then asking Scotland to invest in palm wine!

It took the dogs called e-Naira just 48 hours to crash out of the App Store (it has returned and is being bartered there by bad reviews). And that is what Buhari said will triple Nigeria’s GDP to ₦12 trillion?

Where are those who attacked me for saying Buhari did not even know what he was launching? Have I not been proved right? e-Naira done e-choke! Did I not say it?

e-Naira May as well stand for Embezzle Naira! Which fool will invest in a digital currency issued by a foolish government that banned Twitter, when its citizens can override the ban via a VPN? When a government has shown such stupidity, it should expect divestment, not investment.

#TableShaker