[2:20 – 3:57] TopShot appealed to NorCalGuy because it seemed like something normies could get into not just crypto guys. His friends like sports so it was a good place to start. Moved to a love of generative art. Building relationship with artist through purchases brought him to really love 1/1s.
[3:52 – 5:45] PFPs are more of a quick income generator, 1/1s are more long term. Generative art falls between the two. This value pyramid is based on the fact that PFPs are just easier to sell.
People like, Cath Simard for example, who work hard and get into the community, NorCalGuy feels those works will appreciate.
[5:45 – 6:34] This echoes similar comments from traditional art collectors who are trying to cross over. Some of them see an appeal of flippable projects but others really still value the due diligence of traditional relationships.
[6:34 – 7:56] NorCalGuy feels that most PFPs don’t have enough community behind them. Instead, with 1/1s, if it’s the art that you like and you can connect with that artist and what they do, then you can gauge better the outcome. Most of his 1/1s have come with a physical copy. If getting into it now he would buy established PFP projects like a Punk or an Ape as a hedge against the 1/1s.
[7:56 – 9:31] For Kizu this is similar to a traditional gallery space, not wanting to be purely commercial while also wanting to support experimental work. Flippable projects subsidize love for less commercial works. He compares this to how NorCalGuy collects.
[9:31 – 11:48] Sabretooth talks about how the 1/1 format of collecting really started with SuperRare and this is now common, but before that 1/1s were not really native to crypto art. Looking at web 2.0 or even 1.0, the things that tend to succeed are native and not skeumorphic. If this model continued, could it be the case that 1/1s become relics of their time?
[11:55 – 14:00] Primary or secondary collecting doesn’t matter to NorCalGuy. With Brendon North it was initially all secondary but he got it for almost the same price as primary.
He determines whether good price or not by looking at things like; previous sales, social engagement, and non-NFT sales. Ultimately it goes off gut feeling, recommendation, and experience.
[14:00 – 18:03] Sabretooth draws attention to the idea that NFT collectors and crypto investors are basically making relative valuations based on other currencies or works that are successful.
NorCalGuy feels that rather than taking that approach, he really goes off of artist’s work ethic and proof that they’re in it for the long haul. He gives the example of photographer Eric Rubens or Brendan North.
[18:03 – 20:06] Instagram changed the game for a lot of artists; it created a line of direct communication with buyers that fostered a relationship of tailoring work. Previously this was only done through galleries.
NorCalGuy doesn’t want to give artistic direction. He stays with the simple idea that, if I like it, I buy it. He does however thing that artist can use help with pricing.
[20:16 – 21:23] The market was hyperactive back in February/March (2021) and NorCalGuy feels this lead to overpricing, hints the slow down in the following months as collectors waited for the market to readjust. Artists should consider their peers as potential collectors and price accordingly.
[21:29 – 23:10] NorCalGuy hasn’t collected outside of Ethereum. On one side because he’s lazy, on the other because he thinks the issue of gas fees will soon be resolved and there won’t be a need for the other platforms.
This brings up the question, how much of the pricing in Ethereum is simply because of the high gas fees?
[23:10 – 24:56] Comparing this to the traditional art world, Kizu feels it is like collectors buying at Art Basel for a higher price than one would pay at the smaller fairs. Some only want to collect from big fairs because they want someone to do the curation for them; they want the valuation that comes along with the established names.
[25:14 – 26:44] Just because an artist is selling doesn’t mean they are legit. NorCalGuy talks about why it is important to thoroughly research artists.
[26:49 – 27:15] Ansel Adams is NorCalGuy’s favorite artist.