Elon Musk NFT He once again expressed his opinions about the ‘s. NFTs became popular in the bull market of 2021. At that time, ‘jpegs’ were bought and sold for cryptocurrencies worth millions of dollars.
On December 27, the multi-billionaire and entrepreneur replied to a comment on his platform X. First, DogeDesigner, Adrian Dittmann made fun of, “Does anyone still remember NFTs?” saying asked.
Web links to data You don’t own 😂
— Adrian Dittmann (@AdrianDittmann) December 27, 2023
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In this context, Musk repeated some of what he had previously said on The Joe Rogan Experience podcast on October 31:
At the very least, you should encode the JPEG on the blockchain. If the company hosting the image goes bankrupt, you no longer have the image.
Musk’s criticism comes from a well-informed knowledge of how the NFT market mostly works. Essentially, a central database hosts images (jpegs) linked to an immutable token hash ID on a specific blockchain.
Therefore, investors hold and trade the hash IDs, not the jpeg (or media) itself. This code is the actual NFT that can only be associated with the desired media via the central database.
However, as Koinfinans.com reported, there are still working solutions for this mentioned problem. Some blockchain infrastructures and projects write jpegs, videos, music, and other well-known NFT items directly to the blockchain.
In particular, Leonidas (@LeonidasNFT) wrote the clip with Elon Musk’s words as an Ordinals Inscription. This video is now an NFT on the Bitcoin (BTC) blockchain that investors can own and trade without a central database.
All things considered, NFT technology is improving and other solutions will also increase over time. Enthusiasts are of the opinion that there is great value in writing media to the blockchain to hold and trade it without intermediaries.