AI filters possibly made NFT collections obsolete

Source Cryptopolitan

Breakthroughs in AI rendering may have contributed to making NFT collections obsolete. AI’s ability to impose any art style on images means collections are no longer a scarce commodity. 

NFTs were already fighting for survival before they were dealt another blow after AI grew its capabilities of image rendering into multiple styles. Previously, collections relied on the scarcity of their style and a complex system of traits and characteristics to justify their high valuations.

NFT collections must now adapt to the new wave of image creation to have any chance at relevance. 

AI filters can now render and extend collections to infinite custom images, which can even be re-minted as new NFTs if needed. The appeal of NFT-style avatars as belonging to a community may even be under threat. 

Influencers are already noticing AI’s abilities in producing new avatars. The ability to copy the style of NFT collections can either kill them or give them a new path to recovering their popularity. 

In the past years, NFT collections have used some forms of automated generation or AI art. This time, the new filters and styles also enjoy social media popularity. 

The launch of AI filters rendering multiple styles has already given a boost to meme tokens. A new wave of launches for remastered old memes created a wave of Pump.fun tokens. For the NFT space, the ability to create limitless images and extend collections may bring down value even further. 

NFTs have one possible saving grace – the presence of true believer communities, as well as preferential access and airdrops. NFT artists and creators, however, may see themselves displaced by AI. Previously, NFT artists were tasked with creating the images for all trait variations in the same style for a fixed number of items. 

NFT collections remaster their art

The addition of Studio Ghibli style to ChatGPT led to an explosion of images remastered in that style. 

Collections are now relaunching in that style, as in the case of Ghiblady Maker, generated off the Milady Maker collection. The collection had an asking price of over $10K for its top NFT on OpenSea.

Milady Maker retained a floor price of 3.24 ETH, and has not benefitted from the growing attention. The Milady collection got a recent boost after the Ethereum community used the NFT as their avatars. Despite this, the floor price has fallen by 60% recently, as the community lost its attraction.

The Milady Maker collection retains a relatively high floor price, becoming one of the collections to be remastered in the Studio Ghibli style.
The Milady Maker collection retains a relatively high floor price, becoming one of the collections to be remastered in the Studio Ghibli style. | Source: NFT Price Floor

Other collections like Mad Lads are having even more fun with their avatars, by producing a Studio Ghibli version. Mad Lads remains one of the top 10 NFT collections still commanding a high floor price. 

Even Bored Apes got the Studio Ghibli treatment, though just as a test. The new trend has not created many new collections, as demand for NFT remains more limited due to the relatively high floor prices. 

NFTs have slowed down in the past year, with a total valuation of $1.6B. This is lower than some of the leading meme tokens, as the NFT market remains much slower. Despite this, individual NFTs are selling at prices as high as 135 ETH, with one Punk selling for 420 ETH in the past week. Collections also retain their leading positions, with liquidity still seeking out Pudgy Penguins and Crypto Punks. 

There is no mass interest in NFTs as most of the activity comes from insider communities, with additional sales, mini-collections and airdrops. Older collections are often revived with accompanying floor price rallies. The NFT space remains split between low-cost items used for fun, and the remaining blue-chip collections, which strive to retain value.

Cryptopolitan Academy: Tired of market swings? Learn how DeFi can help you build steady passive income. Register Now

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Bitcoin Briefly Falls Below $76,000: Will Powell Staying on Board Curb Rally? Fed maintains interest rates, Bitcoin price falls below $76,000 as Powell's stay may hinder rebound.On April 30 (GMT+8), Bitcoin ( BTC) narrowed its losses and returned above $76,000, cur
Author  TradingKey
6 hours ago
Fed maintains interest rates, Bitcoin price falls below $76,000 as Powell's stay may hinder rebound.On April 30 (GMT+8), Bitcoin ( BTC) narrowed its losses and returned above $76,000, cur
placeholder
Brent Oil Breaks Through $120 Mark, Strait of Hormuz Deadlock Continues to Ferment, How Will Trump’s Choice Sway Oil Price Direction?Hopes for a resolution to the U.S.-Iran deadlock are fading, and the oil price rally continued during the Asian session. On Thursday, dampened by pessimistic news regarding peace talks, B
Author  TradingKey
9 hours ago
Hopes for a resolution to the U.S.-Iran deadlock are fading, and the oil price rally continued during the Asian session. On Thursday, dampened by pessimistic news regarding peace talks, B
placeholder
Today’s Market Recap: Fed Dissent and AI Capex Surges Define Volatile Earnings Week The S&P 500 edged down 0.04% to 7,135.95, while the Nasdaq Composite gained a modest 0.04% to reach 24,673.24. Meanwhile, the Dow Jones Industrial Average declined 0
Author  TradingKey
15 hours ago
The S&P 500 edged down 0.04% to 7,135.95, while the Nasdaq Composite gained a modest 0.04% to reach 24,673.24. Meanwhile, the Dow Jones Industrial Average declined 0
placeholder
Goldman Sachs: Structurally Bullish on Gold to $5,400, But Warns of Short-Term PullbackGoldman Sachs ( GS) 's latest precious metals research report on gold ( XAUUSD) price trends presents a "structurally bullish, tactically cautious" dual outlook, maintaining its year-end
Author  TradingKey
Yesterday 10: 13
Goldman Sachs ( GS) 's latest precious metals research report on gold ( XAUUSD) price trends presents a "structurally bullish, tactically cautious" dual outlook, maintaining its year-end
placeholder
UAE Announces Exit From OPEC. Wall Street Warns: Medium-Term Oil Prices Face Downside RisksThe United Arab Emirates (UAE) has officially announced that it will formally withdraw from the Organization of the Petroleum Exporting Countries (OPEC) and the OPEC+ alliance on May 1.Bl
Author  TradingKey
Yesterday 06: 15
The United Arab Emirates (UAE) has officially announced that it will formally withdraw from the Organization of the Petroleum Exporting Countries (OPEC) and the OPEC+ alliance on May 1.Bl
goTop
quote