Web3 Investment: Culture and Entertainment

Culture is the new currency. It was simple to invest in cryptocurrency created through blockchain software development services for the first ten years of its existence. Bitcoins, ethers and XRPs could all be purchased. Prices rose, but prices plummeted.

Hypothetically, suppose you decide to purchase the underlying idea. This culture could prove to be a good investment. How can this be made to work for you? How can you reach this market?

Web3 gets more exposure

The beauty of crypto developed via the blockchain software development services market for investors is the ability to take a part in many different ways. Outlier VC funds invest in projects at an early stage. Burke says that Outlier VC funds have an exclusive way of investing in this area as an accelerator. We invest in Project X early on and work closely with them. We help them raise funds, recruit people, develop the product, bring it to market and hopefully increase their user base.

For early-stage investments, this level of involvement does not need to be maintained. Arca's portfolio manager David Nage says that traditional equity types are the best type of exposure for today's market. Nage explained that the "lion's share" of investment deals in 2021 was for SAFTs or Simple Agreement For Next Tokens created by blockchain app developers. Nage observed a shift away SAFTs as prices dropped in early 2022. He also noticed a shift towards SAFEs (Simple Agreements For Future Equity), along with a warrant to purchase future tokens. Investors would be entitled to a share of equity ownership as well as stack tokens at a later time.

You don't have enough money or the desire to invest directly in a team. Another way to get exposure is through tokens. You can also purchase X tokens created by blockchain app developers if you believe Project X has the potential to be a success. This works in the same way that you would buy Tesla shares.

NFTs: Invest in them

You can also invest in NFTs. This strategy is used by the whale shark, who has bought over 400,000 NFTs. He is the largest collector of this space. Whale Shark believes that every investment class has its advantages and disadvantages. Equity [investing in a founding team] has the best growth prospects but it lacks liquidity tokens.

There is another way to gain exposure. This could be the easiest way to get exposure: The underlying blockchain protocols created by top blockchain gaming companies. Kala said, "If these business models are true, why not just buy some Ethereum?" Kala refers specifically to the fact that many projects are on the Ethereum-based Polygon Blockchain platform. An "index wager" could allow you to spread your investments across several platforms including Ethereum, Flow and Solana.

Nage agrees. To explain why HTML and SMTP were created in the early 1990s internet, he uses an analogy. If you were an investor in the 1990s internet, wouldn't it be wonderful to own a piece of TCP/IP? It was impossible. Those financial instruments didn't exist. Today, however? If you believe in culture, you can invest in the protocol that will help build these things.

However, the term "culture" can be difficult to define. It can be art, music or fashion. HTML3 could disrupt any of these industries. We won't attempt to list all possible investment opportunities, as that would be pointless. We've chosen a few use cases that cryptocurrency professionals find most interesting.

Others are doing the same right now. Others are coming soon. Others are still three to 5 years away from the mainstream. This could be a great time to get in. This could mean that many, if not all, of the projects, will fail. There are many potential risks. Caveat emptor.)

You can use cases already in play

Gaming

To find solid investment ideas, Nage enjoys looking at larger macro trends. Gaming developed by top blockchain gaming companies is a big one. Nage estimates that there are 3 billion gamers in the world. He also noted that gaming has grown in recessions, depressions and wars.

What does this all mean for Web3 What does mean for Web3?

ENS (Ethereum Name Service).

Whale Shark believes that it is smart to invest money in utility-related products - items that people will use. He likes ENS. Whale Shark claims that it is difficult to remember an Ethereum address. Everyone will eventually need an ENS domain, as the blockchain development services company has launched the ETH mainnet.

The creator economy

Web3 allows creators to make money from their films, music, and art. This is possible when projects are created. Kala asks: "What creative and interesting ways can we increase revenue streams and engagement points artists?" This is already happening. In 2005, Kings of Leon released an album. NFT was Developed by a blockchain development services company. Kala points out the importance of early Decentralized Tally Labs a content project that partners with Neil Strauss and members of the Bored Ape Yacht Club to create a book.

Web3 to influence human behavior

Kala says that humans are funny. "We know what to do, but we don’t do it." We all know that exercise is important. We all know that we should save money. Keep your body healthy. Get enough water We are often poor at these things because our short-term desires (pleasure-seeking), don't align with our long-term health interests (health). 

What if Web3 could somehow bring our long-term and short-term motivations into alignment?

This is the idea behind Web3 projects such as Stepn. To participate, you will need to purchase an NFT and be rewarded for the number of steps you take in the real world. Kala sees projects like these gaining widespread adoption and providing a lucrative ROI. This would be a Web3 dopamine hit to drive human behavior.

Use cases around every corner

NFT photography

Whale Shark believes that photography will be the next wave in NFT assets. He says that this is because it's a field that's "ripe for disruption."

NFTs can be used as loyalty programs for brands Dicker says, "I love the idea of free-to-own." This is what Dicker means: A company will drop a free NFT developed by blockchain app development companies in a customer's wallet. The NFT can unlock benefits over time. It's a Web3 version of a frequent flyer program. Dicker says that the wallet will be more powerful than email because it can enable a stronger relationship between brands and consumers.

Mobile Web3 gaming

Web3 gaming's first phase was almost exclusively focused on desktops and laptops. You would need to connect to a wallet, such as MetaMask developed by blockchain app development companies. This only reached a small percentage of gamers around the globe. Nage estimates that between 50% and 70% of global gamers are using their smartphones. Nage says that mobile gaming will become "incredibly important" in the coming year.

Security

Nage believes that the next bull market will not come until there is mass adoption of new users. This adoption will not occur until there are substantial improvements to the user experience, making it more "frictionless" and tighter security. Nage says that security-focused projects such as OpenZeppelin, which does code audits, and Forta (real-time threat assessments) are a good way to expose.

Zero-knowledge/self-sovereign identity

Many of us are more concerned about online privacy. This increases the risk of being "internet-shy". Zero-knowledge Proofs developed by blockchain app development companies It is so attractive to have "(proof of identity without disclosing any data) This upside may be greater than you realize. Burke says that it is not a consumer perspective. It's an institutional perspective. He points out that Decentralized Finance (DeFi) crashes, which appeared to have come "out of nowhere", actually occurred "because everyone can view what everyone else does and everyone can see each other's trades on-chain."