Updated on January 24, 2023 9:40 AM
NFTs generated on the Solana blockchain are known as Solana NFTs. But what precisely does that mean? An ownership certificate built on the blockchain is known as an NFT, or Non-Fungible Token. These cryptographic assets and the metadata they contain are singular and non-fungible.
A dollar can be swapped for another dollar, a bitcoin can be exchanged for another bitcoin, and a SOL can be exchanged for another SOL, making these things fungible according to the principle of interchangeability. Since many (but not all, including ERC-1155s) NFTs are distinct and distinctive, they cannot be swapped for one another and are consequently non-fungible.
Solana is expanding the NFT market's user base and, thanks to its cheaper gas costs, attracts more involvement and engagement than the Ethereum network. Given that the majority of NFT deals are for less than $200, Solana's grassroots strategy could outperform Ethereum in some areas.
Stores of value will play a larger part in Ethereum's NFT role. Solana, in contrast, will emerge as—and in some ways already is—the hub for trading, fresher collections, and artists seeking to get into the worldwide market.
Let's look at two of the most popular NFTs on the Solana Ecosystem: DeGods and y00ts.
An NFT brand called DeGods is supported by a deflationary pool of 10,000 DeGods and the DUST Protocol ecosystem on the Solana blockchain. The DeDAO and the DeGods Discord group, which includes some of the best whales, alpha callers (analysts), and builders in the Solana ecosystem and beyond, are only accessible to DeGod owners. In actuality, only the DeAlpha team has a demonstrated history of sharing high alpha.
Owners of DeGod will also daily earn $DUST. As it develops the DeGods ecosystem and collaborates with other Solana initiatives, the DeDAO will continue to produce utilities for $DUST. The integration of $DUST into other significant initiatives, such as play-to-earn (P2E) games, betting systems, markets, etc., will happen soon.
DeGod NFTS will probably increase in value and offer the largest benefits over time when compared to other DeDAO assets because it is the foundation of the DeGods project and also because it is the genesis collection.
Although there were initially exactly 10,000 DeGods in circulation, the burning process has caused the overall quantity to drop, making it deflationary. Because holders can burn a DeGod to obtain $DUST, this is true. The formula for calculating $DUST earnings is as follows:
$DUST Quantity = 1000 + (Number of Remaining DeGods - Rarity Ranking)
The Solana-based (SPL) token $DUST, which is produced by either staking or burning a DeGod, is the fuel that drives the whole DeGods network. Although $DUST is not meant to be economically valuable in and of itself, it will serve a variety of functions both inside DeGods and in other initiatives around the Solana ecosystem.
The current utilities of $DUST include:
The token will have a maximum supply of 33,300,000 and will go through three phases of halving, each of which will result in a 50% reduction in emissions (also known as holders' staking rewards).
FrankDeGods, one of the dynamic and approachable project managers in the Solana NFT domain, is in charge of the DeDAO team and has developed a cult-like following. And the staff seems to be quite skilled at providing value, with a focus on growth.
Its amount of importance in the NFT market, which has piqued the interest of even NFT degens from the Ethereum community, is evidence of this.
DeGods launched DeadGods Mutation, one of the most bizarre works of art ever created, an alpha software, an online shop, a pretty reliable NFT utility token, and many other things in such a short amount of time. DeGods also encourages its members to exploit the collection's intellectual property (IP) and create their own business endeavors.
The same developers behind DeGods and Dust Labs have created Y00ts, an NFT collection on the Solana blockchain. Before y00ts, the initial concept was puppies.
The team predicted a Duppies mint at the end of July or early August in early July 2022. The crew revealed a shift in strategy after a Twitter hack by saying, “We tried some sh#t. We learned some sh#t. Now we’re trying some new sh#t. “
The y00ts NFTs were created using a single picture of a yeti with varied information placed on top of it. The y00ts in all their splendor gained privileges as a result of these features.
The upcoming NFT brand y00ts, which includes 15,000 yeti-like avatars, has drawn a lot of interest from both Ethereum and Solana circles. Only a dozen art pieces have recently been made public, and Twitter has largely praised them.
Y00ts will be used as a stand-alone collection party, thus it won't be associated with the DeGods logo. This is done in part to allow NFT aficionados who can't afford DeGods to participate in the community. The cost to mint one y00ts is 375 DUST tokens.
Y00ts is seen as a new "meta" in the NFT sector since it lets users sell and create PFPs. Additionally, it is located on one of the industry's quickest blockchains. This collection contains a total of 15,000 NFTs.
Unless you have the ability to predict the future like a fortune teller, you cannot be certain that your NFTs are outstanding long-term investments. Anyone who pays attention can make a reasonable estimate. Here's why:
In the end, DeGods was successful because it had a strong staff and supportive community. The squad has the talent to succeed at the top as well as the perseverance to stay on course and the humility to avoid falling from favor. DeGods has undoubtedly increased the standard for NFT initiatives.
Y00ts has the potential to revolutionize the field of NFTs, not just in Solana but also in Ethereum. It stood out in a crowded market because to its insistence on building a fantastic community from Day 1, its innovative method of handling intellectual property rights, and its single-minded concentration on PFPs.
A blockchain platform called Solana is intended to run scalable, decentralized apps. Compared to competing blockchains like Ethereum, Solana can handle many more transactions per second and has cheaper transaction costs.
By a rather large margin, Ethereum is the more widely used cryptocurrency when compared to Solana. The market capitalization of Ethereum is roughly $210 billion, which is a lot more than Solana's market capitalization of $12 billion.
Solana plummeted by a third in a single day as a result of a widespread crypto market crisis caused by the collapse of FTX. Solana saw a more severe and prolonged decline than other cryptocurrencies because of its well-known connection to billionaire Sam Bankman-Fried, the outgoing CEO of FTX.