Yat Siu, chairman of Hong Kong-based Web3 venture capital firm Animoca Brands, shared his views on the current status and future prospects of non-fungible tokens (NFTs).
Animoca Founder Yat Siu Highlights NFTs' Enduring Importance Amid Memecoin Craze
Speaking at the Foresight 2024 event in Hong Kong, Siu noted that NFTs are currently “battling with memecoins for attention,” but their uniqueness gives them enduring relevance.
Siu explained that the NFT market is struggling to capture the explosive growth seen in 2021 and 2022.
According to data from Cryptoslam, NFT trading volumes peaked at $3.24 billion the week of August 22, 2021, but have since fallen to around $80 million last week.
“Right now, NFTs are fighting for attention with memecoins,” Siu said. Memecoins have become popular among celebrities, influencers and users as a way to express their cultural and social identities, despite being fungible.
Siu likened the current memecoin craze to the wave created by NFT projects that launched three years ago.
Despite the current trend, Siu remains optimistic about the future of NFTs. He believes that as the Web3 space matures, the importance of NFTs in representing reputation and identity will become increasingly evident. “Ultimately, when this cycle continues… what will be more important for your reputation, not money? NFTs,” he added.
Siu also touched on the potential impact of the upcoming US presidential elections on the crypto landscape.
He suggested that a win for former President Donald Trump could lead to a more aggressive stance on crypto regulation and development, while a win for Vice President Kamala Harris could result in a more cautious approach.
As for Animoca's future plans, Siu said the company is considering a return to the public market.
Animoca, which left the Australian Securities Exchange in 2020, is exploring options for an initial public offering (IPO) in Hong Kong or the Middle East, potentially in late 2025 or early 2026.
*This is not investment advice.
