The reason why NFT artwork is worth millions isn't just for a speculative market so another chump will buy it from you at a higher price, but it also has another value. Like all artwork it is used for tax avoidance. The high price of NFTs allows a wealthy elite to squirrel away millions to accrue value without being taxed. They are more handy than a real piece of artwork or some expensive property in London because a digital image isn't vulnerable to physical damage or maintenance costs. It's obvious why this shit is exploding.

  • Metalorg [he/him]
    hexagon
    ·
    3 years ago

    Artwork pays capital gains in the US upon sale yes

    • 4zi [he/him, comrade/them]
      ·
      3 years ago

      The high price of NFTs allows a wealthy elite to squirrel away millions to accrue value without being taxed

      • Metalorg [he/him]
        hexagon
        ·
        3 years ago

        They can use loopholes like buy/sell in cheaper places by moving artwork around for sale and 1031 exchanges where they reinvest gains into more assets in the same tax year.