What Is A PFP NFT?

Do you know that you can use your profile picture as a non-fungible token? Well, the decentralized nature of the automated market can provide you with excellent opportunities to trade with ease using something as ingenious as your profile picture. In other words, you can use your picture as an asset to make profits on Defi platforms. Let’s discuss it in detail to know what it is and how it works.

What Are PFPs?

According to the dictionary, PFP is the abbreviation for both ‘picture for proof’ and ‘profile picture’. However, on social media and the crypto-world, it is the profile picture that holds a value and enables the user to claim a certain amount of asset value associated with when it will be bought or minted. For Example, a profile picture uploaded on Twitter.

What Is a PFP NFT?

‘PFP-NFT’ stands for ‘Profile Picture Non-fungible Tokens’. Here the profile picture is used as a unique digital asset that can be minted or bought and traded in the digital market.

The PFP-NFT helps the owner to validate and authorize that the picture uploaded by him/her solely belongs to the person.

Here one thing should be noted every picture posted by you on social media is not a PFP-NFT unless you use it as an asset on the DeFi platform. It can be in any form JPEG, PNG, GIF, video, etc.

The DeFi

Whenever we deal with a profile picture as an NFT, the picture remains the same only the owner or the names of the buyer gets associated with it. For example, if person ‘A’ puts a picture for 100 INR and another person ‘B’ buys it, now ‘B’ is the owner of the picture. Afterward, if according to the increase in the market value (depending upon the particular DeFi platform) person ‘B’ sells it for 150 INR to person ‘C’, then again the ownership of the picture shifts to person C, while person ‘B’ earns a profit of 50 INR. All the transactions regarding ‘PFP-NFT’ made here are ledgered and easily accessible on its DeFi platform.

Another benefit of PFP-NFT is that the creator of the PFP receives royalty as it gets more and more minted.

PFP NFT Projects

Nowadays there are many PFPs present on various platforms, a few of which are as follows:

• CryptoPunks — This is among the very first PFP-NFT about which their developers’ Larva Labs were also unsure. Later on, it went on to become the hottest trend on social media and began to be used as profile pictures by NFT enthusiasts. Now it is a collection of 10,000 unique pictures.
• BAYC — ‘BAYC’ stands for the Bored Ape Yacht Club. As the name suggests it is a collection of about 10,000 cartoons of a bored ape. It became popular immediately after its launch by Yuga Labs in April 2021.
• Cool Cats NFT — It is the collection of 9,999 caricatures of pixelated cats illustrated by Colin Egan. Apart from that, there is a team of a few more people who work on its development and blockchains.
• World of Women — It is the first woman-led NFT venture. It has 10,000 cool female avatars.
• Doodles — It has 10,000 hand-drawn pictures of human faces, animals, pets, skeletons, etc. They are illustrated in pastel colors.

The Future of NFT Profile Pictures

With the growing demands for trendy and cool profile pictures, the future of PFP-NFT looks potentially brighter. It has not only provided a good fortune to the artist but also catered to the needs of art-lovers and created the art-lovers who are wishing to trade.

The potential of getting the trend of PFP-NFT on a hike can be quantified by the ledgers of recent years. By the second quarter of the year 2021, we observe the escalating figures related to digital artworks. The NFTs created by Larva labs, BAYC, Modz, Sup Ducks, etc. have been sold in millions.

Thus we can conclude that for now, the PFP culture is on-trend and booming in the market but every trend has its life cycle or limitations. Despite the scope of creativity and innovations, there are few speculations according to which it seems that many of today’s PFPs will be gone.

Final Thoughts

Looking at the ongoing trend and the future of PFP-NFT it is suggested to make the most of the opportunities available today. Also, it protects your identity if you possess any picture which, in all ways, belongs to you. It reduces problems related to identity threats and fake profiles. But before you invest, as we always suggest, it is highly essential to deeply study the market dynamics regularly.