It’s been impossible to avoid hearing about NFT Marketplaces in recent months. Hype for the tokens—pitched as proof of ownership of a digital item—has reached a fever pitch, while billions of dollars have poured into the market for them. To some, these non-fungible tokens are the hottest new collectible hobby, to others a powerful investment tool, and still more, they’re the future of the internet.
The reality is, as always, more complex. In their current state, NFTs aren’t actually capable of doing much of what they’re often claimed to do. The highly technical nature of how NFTs, blockchains, and cryptocurrencies work means that it’s easy to simplify the explanation of the tech to the point of being misleading.
Forget a simple majority — OpenSea, one of the largest online NFT marketplaces — announced this week that a solid 80 percent of the NFTs minted through its free creation tool are spam, scams, or otherwise fraudulent.
OpenSea announced a reversal of the decision to limit free NFT minting in a recent Twitter thread because NFT and crypto fans were livid over the restrictions. Still, the company did explain choosing the first place.
A Rampant and Difficult to Stop Problem in th NFT Marketplace
Cent’s founder Cameron Hejazi has said that there is a significant problem of people selling content tokens that did not belong to them. It is a fundamental problem with the NFT marketplace overall, Reuters reports. Cent was one of the first NFT marketplaces to host a million-dollar NFT sale but has frozen most transactions on its platform since February 6.
“There’s a spectrum of activity that is happening that basically shouldn’t be happening — like, legally,” Hejazi tells Reuters.
NFTs Aren’t Authoritative Tokens of Ownership.
The most persistent misleading claim about NFTs is also the one that’s closest to being true. Enthusiasts frequently claim that since NFTs are fundamentally unique and live on a trustless blockchain, this constitutes proof that you “own” a digital asset. There’s only one token like this one, and you have it in your crypto wallet, so the thing it signifies must be yours.
This framing is misleading for several reasons. NFTs can only convey ownership (or rather, possession, but we’ll come back to that) of the token itself. As software engineer Molly White explained to WIRED, “With NFTs, the thing you’ve bought does not tend to give you ownership of the underlying item (image, game asset, etc.) in any way you would normally transfer physical or digital art.”
My Personal Experience With the NFT Platform BackerySwap
I’ve been into NFTs for quite a long time. So I was using the different NFT markets places personally and tried to create my NFT on Backerswap. Actually, I created 5 NFTs from two different accounts. They took money from me, and the NFTs were pending a few hours. After a few hours, it was disappeared from the account without any reason and without any possibility to find them again. For your info, I left one of them open in a tab in the browser and only then did I see that it was rejected. So they took money from me, rejected it, removed it from my accounts and nothing, no notification, no any message.
I lost my hard-earned money in the NFT scam!
In addition, Backeryswap is paying for minting, but then they reject the NFT rejecting, and they will not receive money back and reject reason. Moreover, a few of the NFT marketplaces that are making their name to the headline are:
