Token Smart

The community for the non-fungible token (NFT) and its collectors, developers, and artists. The original community account. Free from bias and paid interests.

[Token Smart @token_smart]

Just like not every NFT project would be advisable to purchase as an investment, not every crypto influencer is fit to provide advice. This account continues to provide a filter to help guide NFT newcomers toward sound advice and leading innovators

[Token Smart @token_smart]

A reminder that even tried and trusted dapps can be hacked and result in complete loss of funds.
Size according to what you can lose.

[Cirrus @CirrusNFT]

In hindsight maybe depositing a reasonably sized home into an app called "Munchables" to earn "Schnibbles" so that I could feed these things so that they can level up and earn more "blast points" was a bad idea

[Token Smart @token_smart]

One of the most notorious and profitable NFT traders shares wisdom

[Pranksy @pranksy]

It’s time for another Friday Focus with yours truly, sponsored by @Meta_Winners (https://t.co/rzxAOSJ1yV)

This week, let’s talk about the significant ETH price drops we've seen recently across the majority of historic NFT collections.

Over the last 30 days, these collections have been at the receiving end of a hammering of their floor price (ranging from 30-60% in ETH terms). With @BoredApeYC down 35.4%, @doodles down 52.9% and @azuki down 41.1%, according to @MagicEden.

It’s worth noting that ETH itself is up just over 50% against the US dollar over the same 30 days. However, what people outside the market often don’t realise is that Ethereum NFTs don’t have a history of being tied to dollar values, unlike those on @flow_blockchain or @WAX_io. Essentially this means that they don’t directly and immediately relate to the price of ETH. So, what is driving this price action?

Despite headlines suggesting NFTs are dragging behind, indirectly insinuating a strong connection between high Ethereum price and a sudden increase in NFTs, the reality is different. [1] History suggests that when we see substantial gains for major Cryptocurrencies, NFTs tend to suffer in the immediate aftermath. Interest moves away from NFTs as short-term collectors and speculators often chase money, volume and quick gains. @dlnews suggests that rising fees and Gas prices are to blame - and this can form a small part of the picture. However, if they assessed the patterns in NFT trading across the years or analysed events, like the @OthersideMeta mint, they might realise that if somebody wants a high-end asset, they don’t mind paying the fees to claim it.

One of the major contributing new factors in this particular cycle is the growth of lending and loans against NFTs. The downward trends of the last 30 days have been strengthened by the mass liquidations of loans against certain collections. Users can now essentially ‘short’ or ‘long’ NFT collections and receive liquidity against their NFTs to purchase and borrow even more NFTs from the same collection. If the price drops, these loans can default and cause a spiral of liquidations - therefore dropping prices further and faster than previous cycles.

The notorious high point of the last NFT market occurred in early May 2022, where BAYC hit a floor of 145 ETH. However, Ethereum had hit its all-time-high price of the cycle ($4,891.70) a whole 6 months before this, in November 2021. In this 6 month gap, countless traders and speculators moved away from the major cryptocurrencies and looked to invest their newly found profits into other assets, such as NFTs. NFTs also provided these investors with the ability to flaunt their digital wealth on social media and the blockchain.

In Psychology, it is often said, “The best predictor of future behaviour is past behaviour”. Now, admittedly, our evidence is limited by only a short market history for NFTs. This aside, it could easily be argued that now is a good time to buy some of the established collections in ETH terms. It may not be the perfect entry point, but it could be seen as a strong one.

[1] https://t.co/qkTiIJWkzo

[batsoupyum @batsoupyum]

I don't do much in PFPs anymore, but decided to look into BAYC and wtf seems to be nonstop carnage there (I personally own zero).

And I think this has a lot to do with it. Lending 👇

[Plum @Plumferno]

First Bitcoin + Ordinals drainer spotted in the wild, y'all - be careful what you're clicking on😩

[Revoke.cash @RevokeCash]

There have been many scam ads on Twitter recently claiming that Uniswap or OpenSea had been hacked. These platforms are NOT hacked. But these ads try to send you to a fake Revoke website that tries to steal your money.

See our previous thread on avoiding scam websites below:

[Quit @0xQuit]

As promised, a short code breakdown of how we were able to reverse exploit NFTs earlier today, and put them back in the hands of their rightful owners.

1/🧵

[Cointelegraph @Cointelegraph]

J1mmy.eth trades like Warren Buffett, his collection peaked at $150 million, and he once minted 420 Bored Apes with @pranksy. Find out more about the @AvaStarsNFT founder and @FLAMINGODAO member in this week's NFT Collector.

(Via Cointelegraph Magazine)
https://t.co/xCvNQEiJ22

[Adrian | Longevity Habits @adidust]

How to stay safe wen dealing with NFTs.

Source: @vlozano_eth

#memeingethereum

[carlini8.pcc.eth 🧶 @Carlini8]

If you take anything away from today…

Please remember nothing is ever “on” a hardware wallet

A hardware wallet is a key to your wallet, not the wallet itself

A cold wallet or hard wallet isn’t on the tech, it’s on you. Paper wallets were the first cold wallets

More later

[Adrian | Longevity Habits @adidust]

How to win in web3?

🧵1/8
• Don't store your crypto on centralized exchanges
• Do not invest more than you can afford to lose
• Use protocols before they have a token
• Expand your investment time horizon
• Never store your private keys online

[Andrew Steinwold @AndrewSteinwold]

FTX down
Luna down
Celsius down
BlockFi down
Voyager down
Three Arrows down
Alameda Research down

How the heck are:
- Apes @ ~$85k
- Clones @ ~$9k
- Punks @ ~$80k
- Squiggles @ ~$18k

And games like Sorare continuing to have +$1m daily volume

NFT peeps dgaf

[Leonidas 🧡 $DOG @LeonidasNFT]

Show empathy over the coming days. A lot of people in your feed are having a hard time.

[Rudem00se @rudem00se]

Dear interwebz frens: this is phishy af

Despite it *looking* like @opensea -
No clicky, stay safe!

[natealex @natealex]

i know, i know. it's difficult to move outside your comfort zone

to continue to do well in this space, you must adapt. you need to keep learning and trying new things

stay stagnant and you will reach a point where your expertise is simply common knowledge

[vitalik.eth @VitalikButerin]

The terminal total difficulty has been set to 58750000000000000000000.

This means the ethereum PoW network now has a (roughly) fixed number of hashes left to mine.

https://t.co/3um744WkxZ predicts the merge will happen around Sep 15, though the exact date depends on hashrate.

[Token Smart @token_smart]

@yossylondon Tornado Cash

[natealex @natealex]

sometimes people ask why i didnt buy more punks when they were sub $50 and the answer is "the same reason you dont buy the massively underpriced blue chips right now"

low liquidity
static or falling prices
most winners require PATIENCE

its not 2021 anymore

[Token Smart @token_smart]

What a smart ape 💯

[Quit @0xQuit]

99% of users don't understand the behind the scenes when interacting with Ethereum, and that leaves them vulnerable to attack.

This is the master thread for newbies and journeymen alike - everything you need to know to avoid getting scammed, and minimize damage when you do.
1/🧵

[Token Smart @token_smart]

I hope most of you don’t read this because you are taking care of your mental health and enjoying a life bigger than tracking crypto Twitter.
If you are happy then you’ve “made it”