Not all the projects popping up promising Chia NFTs in exchange for a CAT when the standard is released will actually deliver the goods. That is a hard reality, and possibly a bit anticompetitive considering my association with one of them, but it is sadly true. After Space Marmots launched its pre-sale so successfully there were a number of copycat projects spring up right away. Marvelous Marmots is not counted in there, we consider them to be a contemporary, but immediately after our first pre-sale the new hotness was a CAT that would be eventually redeemable for an NFT of various flavours. But I think there are going to be some rugs pulled during this process.
The CAT Cambrian Explosion was set off because it became easy to mint a CAT and offer files launched making it very easy to trade them around for real XCH, or each other. Freddie is documenting the insanity happening at street level with these things at 1mojo.trade, and I am deeply worried a number of people without a ton of money and who are less sophisticated about scams are going to pour critical resources into a meme token that is quickly worth nothing. Because of the low trade price and volume on those things, its probably not going to be endemic to the ecosystem but it is a side effect to such low-friction transactions.
The thing that has me most worried, probably somewhat because my team kind of started it, is the fact that NFT projects are springing up like candy offering to sell a CAT that will be redeemable for an NFT once the standard launches in a few months. I don’t think each one of these projects is going to deliver. I think a lot of them will, but most of them are launching anonymously and we don’t even know if they are coming from inside the community or outside grifters looking to cash in.
Digital Spaceport recently put out a video on the subject, and I am going to embed that at the bottom of this post ad you should really go check it out (and subscribe if you haven’t already), but he really does go into a number of issues that I have with the entire ecosystem. There isn’t enough information being shared. And yes, Space Marmots isn’t immune to that with some terms and conditions we are still working on required for customers to make an informed decision. But some of the other projects we don’t even know who is behind them or if they can even deliver what they are promising.
Some, if not most, of the NFT projects popping up in the Chia space – and there are more every day – will certainly deliver something. But at least one I know of may run into IP rights issues and a few seem to be run by teams going to great lengths to stay anonymous with brand new discord accounts and Twitter handles that don’t seem to even follow or be associated with an original identity in the Chia Community.
The reason the Space Marmots and Marvelous Marmot presales went so well was because the community knows who both teams are. Both projects have team members that have been active in Chia for a year and both projects have a seriousness about them (while being appropriately silly) that I am confident, and would be as an outsider, that they will complete. That doesn’t mean the others won’t, but it would be a lot easier to evaluate that probability if we knew who was behind them. Until then my recommendation has to be to avoid pre-sales from teams you don’t know, even if in making that recommendation I am falling on the “bad” side of a conflict of interest. I just don’t want to see people getting screwed.