Overwhelmed by the sheer volume of NFT projects appearing on the Avalanche Blockchain? Perhaps you’re pining for more long term holds and want to identify the next blue-chip NFT project.
What is a blue-chip anyway?
Generally speaking, it’s a term that is commonly used to describe companies – Investopedia defines it as “an established, stable, and well-recognized corporation”
How does this tie into the NFT world?
Well, you could start by simply switching the above definition to: “A blue-chip NFT project is an established, stable, and well-recognized NFT Project”, but that isn’t helpful if you are looking to get into a project pre-mint.
An important point here is that outside of Ethereum’s BAYC and Punks projects, the majority of Avax NFT projects are less than a year old. So at the time of writing, the Avalanche community is yet to properly establish whether current blue-chip projects are even, blue-chip! Although, there are plenty of contenders.
Considering the size, the volume of work and age of the Disney brand, most people would undeniably agree that it is considered a blue-chip in relation to global companies.
Walt of Avalanche, where art thou?
At AvaxNFTs we assess potential blue-chip’s using the below criteria:
- Long Term Value – Based on real provable data, such as floor price, total volume and weekly sales.
- Tone Of Voice – How they treat others is extremely important.
- Team Credibility – Doxxing is not always necessary if they are well known “anon” actors with a proven track history. How much skin they have in the game matters.
- Twitter and Discord – Channels must have an active and organic following, real engagement with the community is very important.
- Clear Rarity Metrics – Using established and trusted sites such as AvaxRarity.
- Superb Artwork – Judged accordingly on the level of effort shown.
- Associated Marketing Assets – Fluid and consistent across different mediums.
- Well Executed Utility – Completed roadmaps and continual progress are key.
NFT projects.
What do you think makes a certain number of them blue-chip?
Drop your favourite below ⬇️#NFTs #NFT #AVAX #Avalanche #AvaxNftRush
— Avax NFTs 🔺 (@AvaxNFTs) January 31, 2022
We also judge projects on the Three I’s
Innovation – Is the project doing something new here?
Insight – Do they have a deep understanding of the community, giving them something they don’t even know they need yet?
Influence – Will this project become influential over time, is it already influencing?
When evaluating projects, it’s no longer just about what is said, talk is cheap. It is about what they actually deliver, how and when.
Over the last few months, we have seen a number of projects not following through on what they promised, setting unrealistic expectations that are not even coming close to being realised. This causes damage to their reputations, undermines holder confidence and prevents them from achieving potential blue-chip status.
It is certainly difficult to find the next blue-chip NFT, but it is safer if you have a solid strategy when reviewing potential investment opportunities. If you discover a blue-chip, they are the safest option to hold long term.
We are working on a comprehensive NFT Buyers Guide for the community later this year, to help you refine your search and give you the edge when looking at speculative NFT projects.
We’d be interested to hear what you think makes a blue-chip NFT project – hit us up on Twitter
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