CoinShares Develops Twitter Bot to Track ‘Fair’ NFT Prices
CoinShares International Ltd, Europe's largest digital asset trading house, has spurned its usual diet of exchange-traded and capital markets products for a new project: a Twitter bot that can tell users the true price for a nonfungible token.
Pricing for NFTs, unique digital collectibles ranging from pixelated artwork to plots of land in video games, is usually driven by how much hype the collection's creator has generated. Popular collections include Yuga Labs Inc.'s Bored Ape Yacht Club, Larva Labs' CryptoPunks and Otherdeed, which represents digital land created for Yuga Labs' virtual world Otherside.
CoinShares said that since demand for NFTs declined in recent months -- as much as 97% from the sector's record highs in January -- it's become harder to figure out exactly what an NFT is worth. So its research team spent time building a bot that can do the hard work for you, assessing attributes from the quantifiable to the abstract.
To decide on an NFT's price, the bot considers factors like hype, rarity, the access given to exclusive content, overall transaction volume for the collection and previous sales. At the moment, it only engages with listings on NFT marketplace OpenSea, and only for a select number of collections.
“NFTs are the newest asset to come to crypto markets and it's important that everyone feels comfortable buying and selling them,” said Jean-Marie Mognetti, chief executive officer at Stockholm-listed CoinShares, in a statement Thursday.
It's not the first time that CoinShares has dabbled in the world of automated trading intelligence, either.
The firm also has a subscription service called Hal -- coincidentally, the same name as the evil on-board artificial intelligence system from 2001: A
Read more on tech.hindustantimes.com
