(Bloomberg) – A collection of dark stocks rises after plans are revealed to immerse themselves in the exploding digital art scene powered by NFTs.
Non-fungible tokens, or NFTs, are cryptographic assets used in computer ledgers known as blockchains, similar to the network that Bitcoin supports. They make it possible to track property and sales prices as well as the number of copies present via each unique identification code. They broke mainstream consciousness last week when artist Beeples ‘Everydays: The First 5,000 Days’ sold for a record $ 69 million.
Takung Art Co., an online platform for artists to trade in works, is up around 900% since the Christie’s auction. Oriental Culture Holdings Ltd., a marketplace for the sale of sculpture, collectibles, and stamps, has nearly tripled.
Entertainment stocks like video game company Liquid Media Group Inc. and virtual reality-focused Integrated Media Technology Ltd. have also exhausted the potential to develop the NFT space. Liquid, which signed a distribution deal with Atari this month, more than doubled after Atari launched an NFT-enabled crypto casino last week and created an NFT gaming platform with Bondly. IMTE gained up to 80% this week as message volume across the company at Stocktwits grew over 400%.
Other companies have taken a sharper turn to address NFTs. Sino-Global Shipping rose up to 34% after it announced it was partnering with public e-commerce chain CyberMiles to launch an exchange for NFT collectors, artists and investors to create and trade digital content.
The rush to invest in NFTs follows rallies seen in other hot stocks this year, from pot stocks to electric vehicles to bitcoin, as retail investors focused on the next big thing.