What is the “Loot” that is sweeping the crypto world? How much is it worth?

Loot is an NFT project that is taking the crypto world by storm. Unlike other NFT collectibles, Loot is completely decentralized and relies entirely on the community to assign it value. While it may one day become the largest NFT project, its value is currently overvalued and more of a cool experiment than the next generation of NFTs.

Loot has been dominating the NFT space over the past few weeks. Since its launch on August 27, it has seen over $256 million in trading volume, with each of its 8,000 NFTs selling for over $20,000. Let’s take a look at Loot, its future plans, and why exactly it’s garnering attention.

Loot was created by Dom Hoffman, who is best known for creating the video-sharing platform Vine. Each Loot NFT is a text-file-like list of common items in fantasy games, such as “twin wands” or “dragonhide skill boots.” From an art standpoint, these NFTs are pretty dull.

Hoffman intends the lack of artwork to be a feature and calls on the community to make their own interpretation of the meaning of the text. With no company, entity, or any other organization formally involved in their project, it is now entirely up to the community to create whatever they want with NFTs. It is a fantasy or role-playing game where imagination is the key driving force behind the development of the project. This is in stark contrast to other NFT projects, such as Bored Ape Yacht Club, where centralized companies decide what features the NFTs provide.

One of the main reasons for the series’ initial popularity is that all NFTs are minted completely free upon release.

In just three weeks, the community behind Loot has created a ton of different resources and expansion packs. Some of these include Adventure Gold, the token that manages Loot items, Potion text files, Enemy NFTs, and more. Designers have also begun creating images for some of the text items, making them more valuable by digitizing them.

The idea of ​​having a fully decentralized and community-run project excites many in the cryptocurrency space, including Ethereum’s creator, Vitalik Buterin.

While this project is very interesting and fascinating as a case study, it is certainly overvalued at its current price, especially considering how little value the community has added. While the community behind Loot has certainly contributed greatly in giving it its current valuation, they have done nothing to make owning a Loot NFT valuable or enticing, other than making minor improvements. Additionally, the idea of ​​Loot providing users with fantasy gaming items is interesting, but has yet to become a reality, and likely won’t be for a long time.

One theory is that Loot NFTs are factored into future updates and applications that may be built around the project. However, no one knows what those updates are, as there are no official developers, roadmaps, or whitepapers.

Furthermore, since the future of Loot is entirely determined by the community and there are no paid developers, there is a serious lack of motivation to continue development once the hype dies down. Despite being one of the most discussed NFT projects today, it is only a matter of time before the hype subsides.

Granted, in the future, if there is enough development around Loot, it could be given real value and become the largest and most popular NFT project with unlimited potential. However, for now it is just an interesting case study of what happens when a community takes full control of an asset, and the side effects of a bubble in the NFT market.