In the Web2 world, when we think of platforms, we think of all the user data and activity that’s made available to developers in the form of APIs and seeking the platform’s permission to build apps. In the new world, we are free to use blockchains and build anything without anyone’s permission. While this on it’s own is another topic and a clear value proposition of blockchains, I want to focus on how the same concept extends to NFTs.
When Facebook first started, it didn’t start as a platform, it started as a networking site. After massive user activity, it started to evolve into a platform. Similarly, on the surface just a few months ago, NFTs appeared to be just about 1/1 art, unique profile picture projects (a product, if you will) and what started as such have started to look a lot like platforms. And of course, this makes sense given the composable nature of crypto.
Take for example the following projects:
Loot: Instead of a fully baked NFT project with a defined narrative and mechanics, it allowed everyone to buy text-based NFTs that uniquely list items (i.e. Chain Mail, Wool Shoes, Titanium Ring, etc). Developers then started to build projects to advance Loot and build on top of it. Lootmart and LootWatcher are some example “apps” that expand upon Loot NFTs.
PunkBodies: PunkBodies allows owners of CryptoPunks, Zunks, BGan Punks, or DystoPunks PFP NFTs build full bodies of their avatars (disclosure: I own some DystoPunks).
These are just 2 examples but I am sure there are several others building on the composability of NFTs.
DAOs / Communities
Another tool that gives platforms legitimacy is the ability for its members to organize in some way that benefits everyone. Web2 platforms organize as companies to centralize development and receive most of the financial benefits whereas Web3 projects use DAOs or act like DAOs to allow their members to share their voice in the form of proposals and help the “platform” decide where to go. Below is an example of Loot NFT owners leveraging proposals to help drive the project forward.
There are all sorts of other topics and challenges related to proposals and voting mechanisms but that’s a topic for another day. For now the main idea I want to pass on is that NFT projects as platforms are also using DAO structures to advance the development of projects.
The Future
So, we’ve seen NFTs go from being 1/1 art to 10k unique profile pictures to thriving communities and an ecosystem of apps starting to build around them. The permissionless nature of crypto will continue to make things interesting and while anything is possible, I think next we’ll see partnerships across different NFT projects - imagine the BAYC and Cool Cats project/community partnering to create a new line of NFTs and other forms of media. Another exciting development will be when each NFT owner with full commercial rights to their 1/1 NFT begins to build things from their perspective (i.e. comics, merchandise, etc).
And while the post is titled “JPEGs as Platforms”, think about how fast things will move when NFTs begin to represent assets like real estate, companies, and other forms of IP and agreements.
If you’d like to discuss this more, feel free to reach out - @abe__anwar.