NFT buying and selling fever in Vietnam

A few months ago, the first Vietnamese artists started to participate in the business of NFT (Non-fungible token). In mid-March, rapper Binz collaborated with Tuniver to launch the NFT collection for the new song “Don’t Break My Heart”. The copyright of this song is divided into NFTs with 4 different classes, corresponding to 4 levels of revenue copyright sharing rate.

This means, NFT owners can share in the money earned from song copyright sales. In addition, they also receive exclusive BinZ items and limited events.

Earlier this month, Nguyen Van Chung – the author of “Mother’s Diary”, “Flying Between the Galaxy”, “Rainy Road”, became the first Vietnamese musician to release NFT. His way of doing it is to divide the right to receive income from his 200,000-subscribed Youtube channel into NFTs through cooperation with NFT5.

He called it “equitization” of this channel. Specifically, his NFT buyer will receive the channel’s revenue in a certain percentage, like holding a “share” of the channel. Confident with more than 300 songs about love, 300 children’s songs and 100 multi-genre songs, this musician expects a stable and passive income from royalties and Youtube channel will attract the world. NFT investment.

Or just earlier this week, supermodel Vinh Thuy, who self-identifies as a technology enthusiast, is also preparing to “encroach” on NFT with the “1988Dragon” collection after more than a year of research.

The NFT is a non-replicable digital authentication certificate. It is stored in a blockchain and is used to represent ownership of electronic goods. Thanks to the very nature of blockchain technology, a record of ownership is always available, cannot be modified, and ensures that there is only one owner at a time.

The fact that artists started to participate in making money and promoting their names with NFT has added more atmosphere to the NFT production market in Vietnam, in addition to the NFT game segment, which has grown to the level of international resonance.

According to Mr. Truong Gia Bao, Chairman of DTS Digital Transformation Alliance, Vice President of Vietnam Association of Financial Consultants, NFT is currently popular in two forms. One is NFT based on real assets, for example, the form of splitting real estate assets by blockchain for joint investment has appeared in Vietnam. Claims that own that fraction are NFTs.

The second form of NFT is pure digital assets. They can be items in blockchain games or artwork by artists ranging from music to painting. Many people produce digital products and they do the extra step of turning it into NFTs to certify ownership of that digital asset.

“There is still a trend that after a real painting is turned into NFT and successfully auctioned, the author destroys that painting so that NFT becomes the only digital asset of that work,” Bao shared at the meeting. seminar organized by Vietnam Blockchain Union (VBU) – a social enterprise on blockchain, organized on April 19.

In fact, before Vietnamese artists joined the NFT business, some other industries also had experiments or ideas. Besides dividing real estate by blockchain to buy together, the tourism and resort business also initially made a move.

In February, Crystal Bay and Beowulf Blockchain launched an NFT travel platform, allowing customers to buy, sell and exchange reservations. Also at the seminar, the founder and CEO of the Sanova Hotel chain said that there were also plans to shake hands with a Korean partner to do NFT in the hotel sector.

“This is just an idea, but we have not yet implemented it because it is still quite new in the tourism service industry,” Ms. Quyen said. Sanova herself also owns the Thang Long Warriors basketball team and also cherishes the desire to be a NFT in the sports field.

“We have worked with the coach to try the idea of ​​NFT basketball but have not implemented it because the project depends on many different factors, not only a team but also at the league level,” said Quyen. know more.

If the NFT supply market has only recently emerged, the demand side in Vietnam is quite active, especially when the NFT game called Axie Infinity is globally famous. Along with those who jumped into playing NFT games, many people started pouring money to buy NFT items sold on exchanges to wait for the opportunity to increase the price to sell for a profit.

Some people feel it’s a myth that Bored Ape Yacht Club (BAYC)’s cheapest “bored monkey” costs $500,000, or has to spend $50,000 – $100,000 to buy an Azuki fashion NFT item. However, there are still investors, including Vietnamese, who accept to pour money into such a market.

According to a Finder report in November 2021, the percentage of Vietnamese Internet users with NFT ownership is 17.4%, higher than the global average of 11.7%. According to this report, Vietnam is also in the top 5 of the world with the most NFTs.

According to a survey conducted by Statista and Milieu in Southeast Asia in November 2021, 68% of Vietnamese respondents believe that the value of NFT will increase in the next 5 years, compared to 21% who think otherwise. This is also the most optimistic figure of the six countries they surveyed, including Indonesia, the Philippines, Thailand, Malaysia and Singapore.

Explaining that some viewers spend a lot of money to buy NFTs is a waste but others still rush in, said Nguyen Trung Anh, Founder of MetaHub Community, it is reasonable according to the investors who support that they evaluate The item’s outlook will continue to increase in price, and finality. Along with that, owning a valuable NFT is also an “entrance ticket to many rich groups”.

“Some companies are building KOLs (social media influencers) for NFT and auctioning. These characters may appear in the Metaverse world (virtual universe) later, so the price is high. I think it’s quite reasonable,” he added.

However, the excitement of the NFT market is still “wild”, so it also comes with many challenges. First, price pump speculation and junk NFTs are inevitable. A number of 2021 reports have noted that many of the world’s high-value NFTs increase in price continuously to unimaginable levels but are actually only traded between certain wallets.

Or like creating NFTs is so easy with just a few steps like on the world’s largest NFT trading platform, OpenSea, garbage NFT is also rampant. “There are a lot of NFT garbage because of the situation of piracy or based on other people’s ideas how it happens in the real world, it’s the same in the virtual world,” said Trung Anh.

The next concern is whether the NFT market is in a bubble? Some people compare it to the tulip mania in the Netherlands in the 17th century. Trung Anh thinks it is better to bet on NFT works by real artists and proven talent in real life. .

Along with that is the legal corridor for digital assets like NFT. Due to the lack of a clear and complete legal corridor, this is a true “wild” market and more or less “playable”.

Currently, Vietnam has taken the first steps on policy for blockchain technology of which NFT is an application. This technology is one of the digital technology fields on the priority list of research, development, and application to actively participate in the 4th Industrial Revolution in Decision No. 2117 of the Prime Minister in 2020. .

“We need to create awareness about the legal corridor. This field (blockchain) is active, so a certain legal corridor is needed to both manage and develop,” said Trinh Xuan An, Vice Chairman of the Group. young National Assembly deputies of the 15th term, comments.

On March 23, Deputy Prime Minister Le Minh Khai had an opinion to direct the ministries of Finance, Justice, Information – Communication, and the State Bank of Vietnam to build a legal framework on virtual assets. , virtual money.

Earlier this month, the State Bank of Vietnam announced to collect comments on the draft Decree on Controlled Trial Mechanism for financial technology (Fintech) activities in the banking sector. The document contains content about the application of blockchain technology, distributed ledger (Blockchain Technology, DLT) in banking activities.

“This draft has regulations on blockchain and distributed ledger applications, but it is only for banks. If there are regulations to expand the application to many other fields, it will be better,” said Mr. Dao Tien Phong. The lawyer who runs the law firm Investpush Legal expects.

In the immediate future, it is still time to wait to know how much Vietnamese artists “make a profit” with the NFT business direction, after familiar side jobs such as stock investment, real estate, opening restaurants or selling cosmetics. Even the blockchain real estate market or the tourism NFT is similar.

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