There are many signs of something bad is happening in the NFT space,
that you can make a game from it — set your number of red flags as a threshold beyond which you will not support the project. In case any of the lines match the project you are researching or you already minted, don’t panic (yet), count the red flags! Scams and rugs usually match more than one.
What is a scam?
A scam or confidence trick is an attempt to defraud a person or group by gaining their confidence, by Wikipedia. So the scammer planned the attack and did everything to seem legit and safe to gain your trust and stole your NFTs or liquidity and they want to harm you as possible.
What is a rug or rug pull?
A rug pull is a malicious maneuver where developers abandon a project with investors’ funds taken. There could be a project, which has good intentions and idealistic plans, but the minting went wrong or at some point, something went wrong and the morality of the devs wasn’t strong enough to say sorry, give back the money and try something else. Rather they just run away. But still — rug pull could be planned too, but the main point is to gain liquidity and then leave, or fake the higher value of token asset or currency attached to the project and then its sold by developers for profit.
Always check the links
Link to the project website, Twitter, Discord, Instagram, all could be potentially compromised.
How to quickly filter the wheat from the chaff?
What do I check on each NFT project before minting or buying on secondary?
I have divided my current research into 5 points which contain criteria that determine my rating and liking for each project.
This could be a purely personal opinion. Although we can look at any piece through the optics of general aesthetics after the computers took a part in art & design, some approaches could look like crap, mess, chaos, ugly — but if you look closer or specific context, you can decode its beauty. In general, the aesthetic preference is subjective, but I think the ability of good aesthetic and design is based on education and knowledge — and I don’t think like formal education, but just look at art, study art, the desire to see and look for beauty — maybe even in places where people think beauty doesn’t belong. The short history of NFTs tells us that aesthetics is not (at all) the main thing connected to the future value of anything, but if you even don't like it and it has no value in time, you picked a bad one.
If you haven’t been interested in art, design, illustration, it doesn’t matter, start with modern trends from the turn of the 20th century and you’ll see that even 100-year-old stuff can be pretty damn cool and what’s more, you might start to see clear inspiration, references and visual quotes in NFT collections too. Suggested keywords: Bauhaus, American modernism, futurism, cubism, and from specific names: Keith Haring, Marcel Duchamp, Frida Kahlo, Andy Warhol, Salvador Dali, Tamara de Lempicka, Piet Mondrian, David Hockney, Roy Lichtenstein, Zdzisław Beksinski, Toyen, Rene Magritte, Edward Hopper
This content is a part of the whitepaper for the Postdigital Metafesto,
NFT collection on Ethereum blockchain from Ryska.
Being digital has ceased to be an advantage in any field, it is now the norm and a new question arises who are you in the digital world?