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Non Fungible Tokens: The Most Expensive NFTs Sold in 2021

In the cryptocurrency world, NFTs, also known as non-fungible tokens, is unique, non-transferable data record maintained via blockchain technology, which is a kind of digital ledger. NFTs are associated with digital assets that may be duplicated, such as photographs, videos, and music.

Why NFTs are Booming?

The domain of NFTs which many new traders are seeing as the next frontier of revenue generation, particularly in the arts. The term "non-fungible" refers to the lack of a counterpart for which the item may be exchanged. Blockchain technology is used to establish the authenticity and ownership of a piece of digital artwork.

It has attracted non-crypto groups including celebrities, gamers, and collectors. According to DappRadar's data, NFT transaction volume reached $10.67 billion in the third quarter of 2021. This is a 704% increase over the last quarter.

How NFTs can be valued?

The formula which can be used by the investors to know the value of the NFT and the NFTs developers to create ways to increase its value consist of four components

NFT Value = History of ownership + Utility + Future Value + Liquidity Premium

History of ownership is important as NFTs value is based on the issuer and prior owners. Famous artists or well-known corporations frequently make or issue NFTs which give them significant value. The NFT's utility value depends on its usage. The more useful NFT is, the greater its utility. Game assets & tickets are two primary categories with significant usefulness.

The future worth is driven by both valuation changes & future cash flows. Speculation is sometimes the key driver of price appreciation. An increase in Liquidity increases the value of NFT. The liquidity premium is the main reason why on-chain assets should be worth more than off-chain ones.

List of most expensive NFTs sold in 2021:

The list of NFT includes the top 5 most expensive ones sold in 2021. It will give new traders, investors, and artists an insight into the profit possibilities.

Digital artist Pak's work, The Merge, fetched US$91.8 million on Nifty Gateway.

Paks NFTs art The Merge:

On Dec 2, 2021, The Merge by Paks officially has become the most costly NFT ever sold, with over 30,000 collectors contributing for a total price of $91.8 million.

Beeple’s collage, Everydays: The First 5000 Days, sold at Christie’s

Beeple’s NFT Every Day's: the First 5000 Days:

Another of the most expensive NFT artworks which have been sold to a single owner. Beeple's artwork is of the highest caliber and is widely regarded as such in the community; This project is a collage of 5000 pieces of Beeple's original artwork. Beginning in 2007, he promised to make one piece of art every day, and his work was eventually auctioned for $69.3 million in 2021.

Beeple’s Human one:

Beeple artwork NFT is one of the expensive NFTs ever sold, claiming three of the top places. HUMAN ONE sold for slightly under $30 million on November 9, 2021, according to an interview with Christie's.

CryptoPunk : ID #7523:

This CryptoPunk is an expensive NFT sold for $11.8 million. In June 2021, the artist sold ‘Covid Alien' at Sotheby's. An internationally sought-after alien punk. #7523 is the third rarest CryptoPunk in the collection, and it's the most expensive.

CryptoPunk : ID #3100 :

Larva Labs manufactured nine unusual teal-colored CryptoPunks. Blue and white headband for this NFT. It went for $7.58 million in ETH in March. Surpassing its peers in price on March 11, 2021, #3100 surpassed #7804. It is the fifth rarest CryptoPunk.

Closing Thoughts: The top NFTs sold in 2021 are included in the list above, yet there is much more to know. The NFT market will only grow, as the figures show. With such strong growth rates predicted, it appears prudent to participate in these assets straightaway.

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