Blue Chip NFT: What is It and How to Recognize One?
Anyone who gets into investing at some time or another will hear the term “blue-chip”. But what exactly does it mean?
In a classic 3 color poker set, blue-chips NFTs are considered the highest value, and this is where the term originated. And, much like these highest value chips, “blue-chip” companies are considered the best of the best, able to operate profitably in good times and bad, built on a foundation of quality and reliability.
In the equities market, blue chip companies are those who have a proven track record of return, with continued business innovation to stay relevant. Some companies are so synonymous with what they make, their brand name almost becomes the object. For many people, you don’t buy a smartphone, you buy an iPhone. For others, you don’t buy an electric car, you buy a Tesla.
👀 Finding “Blue-chip” companies
As previously mentioned the best way to start finding Blue-chip companies is to simply think which companies you respect the most, who are also global brands with a large market presence. Stock indices are also a good way to find blue-chip companies. The Dow Jones, one of the leading stock market indicators and index followed worldwide, consists of 30 industry leaders, all of whom are blue-chip stocks.
But how do you find “blue-chip” companies in emerging markets?
One of the most critical aspects of blue-chip grading is the long term reliability to bring steady return to investors. Truth is there are plenty of companies who seemingly deserve blue-chip status but are simply too new, or exist in an unstable market demographic to warrant such a prestigious classification.
💥 Blue-chip Crypto?
Blue-chip classifications within the Crypto space is an even more daunting subject. Crypto has seen huge worldwide adoption, especially in the last few years, but the entire history of Crypto is still less than 15 years old, so how do we probably classify crypto assets as blue-chip?
Additionally, many Crypto projects are highly decentralized, often run by DAOs and the projects community, meaning a crypto projects future outlook is dependent on a different type of system than a traditional corporation. Still, understanding what makes something “blue-chip” can be a great way to find sustainable returns, with little risk.
✨ What is a “Blue-chip” NFT?
The NFT Market has an even shorter history when compared to Crypto. This exciting form of technology has taken many industries by storm, especially the art market. If you could invent a time machine, many of us would choose to go back and invest in blue-chip companies in their earliest days. So how do we find the emerging industry leaders within the NFT space?
For some NFTs, they simply have history on their side. Coca-Cola might not be the best tasting drink in your opinion, but it was one of the first widely distributed carbonated beverage manufacturers. For some NFT, they were simply some of the earliest to go viral and have massive followings. For others, it’s about the project or artist themselves, based on reputation. Some simply look to trade based on scarcity or aesthetics. Whatever the reason, all blue-chip NFT tend to have the following characteristics:
- Loyal and balanced community that has strong engagement.
- An actual utility use for the tokens that isn’t mere speculation.
- The project team is reputable and well respected.
- The NFT collection has shown strong long-term value and predictability.
⚡ Top Blue-chip NFTs
Let’s take a look at the top Blue-chip NFT collections to know about, to figure out what drives the market, and what motivates investors when looking for long term value in the market.
Bored Yacht Ape Club
Probably the best marketed NFT community there is. The BYAC community is well known for its famous members including; Shaq, Paris Hilton, Stephen Curry, Jimmy Falon, Post Malone and more. BYAC was recently featured on the MTV music awards as part of a live performance by Snoop Dogg and Eminem. The collection features 10,000 generatively created Ape pictures. Upon release of their token, the APE coin, BYAC air-dropped tokens to NFT holders. APE tokens allow holders to participate in governance votes, and can be used within the BYAC ecosystem to buy merchandise, and participate in events and games.
CryptoPunks
Launched in mid-2017 before the world knew what an NFT was. CryptoPunks is the NFT space as Bitcon is to crypto, the first of its kind who has cemented a strong place in the market since the very beginning. CryptoPunks features over 10,000 unique digital avatars all styled in a classic 8-bit retro design. It was the first NFT project on the Ethereum blockchain, and remains one of the most popular to this day!
Doodles
This colorful project has over 10,000 generative avatars. Doodles’ warm and friendly designs make them one of the most popular NFT collections with huge trading volumes. The project aims to become its own entertainment company for Web3, producing music, games, movies and more. The platform has since released “Space Doodles”, which are personalized spaceship NFT for your Doodle.
Cool Cats
Who doesn’t like cats, we know the internet loves them, and this is even more apparent with the rise of Cool Cats. This NFT collection features over 10,000 digital cats, which grant its owner exclusive access to community events. NFT holders can visit Cooltopia, the Cool Cats main city, and participate in adventures, quests, battles, and even build their own home.
World of Women
This unique NFT collection focuses on the empowerment of women. Created by Yam Karkai, the project has over 10,000 digital avatars representing women in all their unique differences. A unique Web3 project focused on diversity and inclusion, World of Women is a well respected project with a unique niche within the NFT market.
The Future of Blue-Chip NFT
These are just a few examples of some of the early leaders in the NFT space. Communities and projects that are creating real value for investors and community members. The limited history of NFT makes it impossible to tell the future of Blue Chip NFT, but the technology underlying the NFT craze isn’t going anywhere. When it comes to verifying digital assets, nothing is better than NFT tech, allowing unique blockchain tokens to be used to create immutable records of digital data. Which digital assets will prosper from the use of NFT and provide real long term results for investors. Only the future will tell!
About Pikasso
Pikasso is a firebase infrastructure for NFT apps and games, creating an easier way for projects to create NFT, all on low-cost layer-2 ecosystems. Pikasso saves users the time needed by using a no-code platform to create NFT, with an improved UX/UI, and marketplace generator for each NFT project, all while bridging the gap between web2 and web3 content.
