2021 First Quarter Commentary

There’s more money circulating than ever, expanding at an all-time record.

Remember baseball cards on paper?  There’s a new digital spin on them.  It’s called NFTs, non-fungible tokens, aka digital rights.

I could take a photo of this page and, if recent transactions are any guide, receive thousands of dollars from someone who bought the right to enjoy the view.

After selling this page as an NFT, I could send you this letter, you could still read it and then you could do whatever you wish, dropping it into the trash or your filing cabinet.  The whole time, our letter’s NFT owner could be enjoying it all.

As they say, the kids just love it.  The National Basketball Association (NBA) has offered digital trading cards  through their partner Dapper Labs.  They’re booming, issued as limited quantities in potentially limitless editions.  Turns out, the fine print states buyers own nothing but a moment they view on the issuers’ digital platform, the app experience.  It’s the right to enjoy the view, for hundreds or even thousands of dollars apiece.

More money boosts speculative demand, driving up prices.  Spend wisely, or not.  When will it end?