To better comprehend the proposed cryptocurrency Bill’s influence on NFTs, we consulted with key specialists.
This will also be determined by how NFTs are classified. Many NFTs, unlike cryptocurrencies, are backed by tangible assets.
“It (the Bill) might or might not pass” (impact NFTs). It all relies on how the Bill is written and what they put in the definition,” says Manish Kumar, co-founder of the GREX and RealX blockchain-based financial markets systems.
While both cryptocurrencies and NFTs have a digital record saved on a blockchain, many NFTs are backed by tangible assets, which is not the case with cryptocurrencies, according to Kumar. As a result, how the Bill defines cryptocurrency may have an impact.
In November, Fantico group CEO Abhayanand Singh told Outlook Money that the NFTs have a physical equivalent. They have real objects such as Amitabh Bachchan’s costume from Shahenshah, Akshay Kumar’s clothing from Dhadkan, Praneeti Chopra’s costume from The Girl On The Train, and Manoj Bajpayee’s costume from Bhonsle, for example, in addition to the NFT.
However, other analysts feel that because cryptocurrencies and NFTs are both part of the blockchain family, the Bill would have an impact on both.
“NFTs are a type of cryptocurrency that is a subset of crypto tokens. The digital asset ecosystem includes non-fungible tokens as well as other tokens such as utility tokens, fan tokens, stablecoins, and privacy coins. Any regulation that has a negative influence on cryptocurrencies will threaten the growth and associated business activities with digital tokens, such as NFT, according to Sharat Chandra, a blockchain and emerging tech enthusiast.
India’s NFT Market is Growing
The global NFT market has exploded as a result of the bitcoin craze. WazirX NFT Marketplace has added 898 new NFT makers and 685 collectors since its inception on June 1, 2021, according to data given by the company.
“Our existing consumers are early adopters, tech-savvy producers, and collectors who believe in the core philosophy,” says the company. Before the pandemic, people couldn’t get their hands on NFTs as a source of income or an asset. “The internet is currently ruled by NFTs,” says Vishakha Singh, vice-president of WazirX NFT Marketplace. She went on to say that the cryptocurrency Bill will clarify NFT categorization and taxation.
A number of celebrities, including Bollywood stars Amitabh Bachchan, Salman Khan, Sunny Leone, and others, have launched or are planning to launch NFTs in India.
On the NFT site beyondlife.club, Bachchan just offered NFTs and personal treasures. His autographed antique posters, a recital of his father’s famous poem Madhushala, and other mementos of his celebrity were among them. According to beyondlife.club, the digital artefacts from his NFT series sold for almost $966,000 in a recent auction.
Khan plans to launch his NFT in December with the help of NFT platform BollyCoin. According to BollyCoin, he completed the pre-sale round of 20 million tokens worth $2 million in less than a month.
Kamal Haasan, the actor-turned-politician, has announced the introduction of his own NFT collection with Fantico, an Indian licenced digital collectibles platform.
Sunny Leone’s “Misfitz” NFT collection has 9,600 NFTs that are “totally unique, issued on the Ethereum blockchain,” according to Misfitz.
Experts, on the other hand, believe that the NFT market is still in its infancy. “In the next year, we anticipate to see a lot of NFT use cases develop.” “Right now, we’re just focused on introducing as many use cases as possible,” Singh adds.