A real “NFT winter” market crash is coming, according to NFT entrepreneur Gary Vaynerchuk, aka Gary Vee. The social media mogul made the comments at the “Crypto Goes Mainstream” event held by Yahoo Finance and Decrypt. During the event the social media mogul explained why he “can’t wait” for what he believes is a necessary market correction.
“The conversation’s about to get very interesting when we hit an NFT winter because there’s way too much short term greed and supply and demand issues.”
Gary Vee points to early days of internet for “NFT Winter” context
The past year has of course seen some down periods for the NFT Market. However, Vaynerchuk predicts that the coming NFT Winter will be a “real” crash. He says the real NFT winter will be different to the shorter down periods of the past year. However he sees this as an overall positive for the industry. He explained his reasoning by making comparisons to the market movements of early internet companies.
“…look what happened in 2000, March/April, when the whole Internet craze crashed. Yes, everything got caught up in that undercurrent… Short term behavior overvalued everything. It got washed. And this was the time to buy Amazon and eBay because those were real companies.”
Altogether, he expects an NFT market correction will provide a golden opportunity for investors who “do the homework”. That will be the best time to buy into projects that will perform well in the long run, according to Gary Vee.
Vaynerchuk’s NFT convictions unaffected by potential crash
Clearly Gary Vee isn’t ringing the death bell for NFTs any time soon. Nevertheless, the VeeFriends creator did repeat his usual warning that the values of most current projects will decrease over time. “NFTs are here for the rest of everybody’s life, and it’s going to get more meaningful, not less.. Buying an $18,000 llama with a taco in its mouth from an anonymous founder is high risk.”