The NFT Degen Culture Unpacked

March 10, 2023

(YorkPedia Editorial):- London, United Kingdom Mar 10, 2023 (Issuewire.com) – The advent of Web3 and the blockchain has brought about a new era of innovation and creativity in the world of technology but W3S Group has spotted a flaw with this digital revolution.

A ‘magpie’ culture has emerged that can include huge purchases with little to no research, where people are quick to jump on the latest trends without fully understanding what they are investing in.

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This is evident in the recent release of Vitalik Buterin’s first official NFT; ‘Gitcoin Presents’. People rushed to buy the NFT without fully understanding the product roadmap, they just saw the name that was attached and jumped in feet first. W3S unpacks the rise of the ‘Degen’ in the Web3 world and its implications on mental health.

The release of Vitalik’s first NFT project caused a frenzy in the crypto world, and W3S believe that most of the purchasers followed the herd rather than researching, and purchasing on merit. They saw the name attached to the project and bought on impulse or fomo (fear of missing out).

As a lot of people act in a similar way in the space, it has become common place for this type of activity to inflate the project’s floor price over and above the utility of the investment.

The problem with the degen and zero research culture is that it can reinforce or even lead to gambling and excess. People are so eager to jump on the latest trends that they forget to do their due diligence. This can lead to people investing in products that have no real value, leading to losses and disappointment and worse psychological effects such as addiction and depression.

The NFT culture, in particular, has given rise to this culture of excess. People are buying NFTs not because they believe in the product or the technology behind it, but because they see it as a way to make a quick profit. This is not a healthy mindset for a sustainable Web3 community to thrive, as it goes against the ethos of decentralization and community building.

So, what can we do to combat this gambling NFT culture in the crypto ecosystem? The first step is education. People need to understand the technology behind the products that they are investing in. They should at least have a high-level understanding of the roadmap and the vision behind the product. This will help them make informed decisions and avoid investing in products that have no real value.

Secondly, we need to foster a culture of community and support. Undoubtedly, the technology has bought many talented artists to the fore but the inherent clamber for the rarest NFTs can lead to bitterness and disappointment towards the whole scene. W3S believes that the disparate communities should work together to build products that have real value and solve real problems. The timebound and scarcity fueled nature of a public mint should be rethought to be more inclusive and provide more opportunity to understand what is being purchased.

In conclusion, Web3 has a number of considerable benefits but it has to address the underlying and hidden problems of pseudo-gambling and excess that it is nurturing. The low barriers to entry and NFT minting process, in particular, has exacerbated this problem and will need to be addressed in order for wider adoption to take place.

At W3S we believe that we need to focus on education and community building which is why we have set up our Web3 Academy that allows interested parties understand the crypto zeitgeist and identify meaningful investment opportunities.

Visit https://w3s.group for more information.

Media Contact

Jonathan Pullinger

W3S group

Source :W3S group

This article was originally published by IssueWire. Read the original article here.