The Pareto principle states that for roughly 80% of consequences come from 20% of causes. It is better known as “the 80/20 rule.”
The Pareto principle applies to many aspects of the world around us. You might find that you get 80% of your work in just 20% of the day. Or that 80% of your investment profits come from 20% of your investments. Or that 80% of your favorite vacation memories come from 20% of your destinations. You get the idea.
I think the same will be true for NFTs. In the future, 80% of NFT value will be in just 20% of NFTs. The remaining 80% of NFTs will be pretty much worthless.
What does that mean for NFT collectors today? It means that you shouldn’t “put all your eggs in one basket.” Instead of buying just a few expensive NFTs, the safer approach would be to buy many less expensive NFTs. That gives you a greater chance of owning at least one of the 20% that will appreciate in value.
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