Delphi Digital: Why not dump BLUR now?

Moni

Odaily资深作者

2023-02-20 04:22

This article is about 2020 words, reading the full article takes about 3 minutes

"A reasonable fully diluted valuation for Blur would be somewhere between $2 billion and $3 billion."

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"A reasonable fully diluted valuation for Blur would be somewhere between $2 billion and $3 billion."

This article comes fromTwitter, the original author: Delphi Digital NFT researcher yh.ΞTH

Odaily Translator |

Delphi Digital NFT researcher yh.ΞTH posted on social media to explain why it is a "mistake" to sell the BLUR tokens previously obtained from the airdrop, and why Blur's bidding pool model is a game changer for the NFT market. Odaily compiles the relevant content as follows. It should be noted that BLUR is hot recently, and investment needs to be cautious, DYOR.

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Blur's bidding pool model is a game-changer for the NFT marketWhat is the most important product experience for the NFT market? The answer is simple: make it easy for users to buy and sell NFTs.

At this stage, most of the transactions in the NFT market come from giant whales. What they want to do most is to process transactions faster when selling large amounts, and to match lower prices when buying large amounts.

Compared with the DeFi field, the current NFT trading experience is not satisfactory. Before the emergence of the Blur NFT market, the user experience of NFT trading was poor, and the professional large-value trading market was not optimized, and NFT trading needs to have at least the same experience and usability as DeFi.In addition to experience, the current NFT has another pain point: liquidity. The encryption industry has also explored many ways to try to solve this problem before, such as fragmented NFT, asset tokenization, and other incentives (such as transaction volume/listing rewards), etc., but the effect is not obvious.

NFT liquidity is still very thin.

For example, if you want to sell 20 Doodles NFT at once today, it is almost impossible, and the entire transaction may take days or even weeks to complete. Not only that, once the trading time is extended, there may be a risk of a spiral decline in the NFT floor price, causing traders to have to readjust the trading price.So, what optimizations and improvements has Blur made in the NFT market? In fact,Blur introduces a Bid Points System

In contrast, OpenSea, LooksRare, and X2Y2 currently adopt the pending order trading mode, resulting in poor or inaccurate platform liquidity, while Blur has identified the pain points of the market and found the right solution to build a dedicated An NFT trading platform based on high-quality product experience, ordinary users can obtain deeper liquidity than OpenSea in the Blur market, and giant whales can also conduct large-value NFT transactions without friction.

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Why is it not a good choice to sell BLUR now?

The release of BLUR tokens means that its team has begun to transfer the power of protocol value distribution to the community. It is no exaggeration to say that Blur is one of the most successful projects in the NFT field in terms of decentralized governance. According to Blur's token economic model, the total circulation of BLUR tokens is 360 million, of which 12% will be allocated to the community, so how will the remaining tokens be planned?

In the first round of airdrops, most of the BLUR tokens have been claimed, and the transaction volume of tokens has reached the level of one billion US dollars. Users who want to sell airdrops should have sold by now, and the tokens have been transferred to a more "forward-oriented" " in the hands of people. In this case, the first year of sell pressure on BLUR tokens could be high as the circulating supply will nearly triple to 1 billion by the end of the year. Even so, most of the tokens are still owned by the community, and investor/team allocations have a 4+ year restriction period.There is no doubt that Blur has become a typical representative of today's NFT market, but it is also a "bet" on the future development of the industry, because when the overall NFT collection rises, Blur will benefit.

Assuming Blur becomes the NFT market leader in the future, given OpenSea's valuation of up to $13 billion, Blur's reasonable fully diluted valuation will probably be between $2 billion and $3 billion. As of now, Binance, the world's largest crypto exchange, has not yet listed BLUR, but as long as Blur continues to maintain its sales advantage and further "grab" market competitiveness, it may only be a matter of time before Blur lands on Binance.

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