17 NFT Terms You Should Know w/ Will Lucas

I'm so thankful for all the people who have been in my Instagram d m s since we have been doing episodes, like particularly last week's episode, and then we did win a couple of weeks ago about n f t S. These have been solo episodes, so they kind of stretched me a little bit outside of my comfort zone. Some thankful for all the positive feedback we've been getting because obviously by virtue of what I'm seeing in my comments, UM, in my d ms, excuse me like this, what we're

providing is such a value to you. So I really appreciate you taking the time a minute out of your day to let me know that in my Instagram d M. So thank you, and even if you put it in the comments, if it's one, but I really apreciated all the messages I've been getting about these episodes. So we're gonna do it again today Today, I wanted to spend a few minutes talking about some of the terminology I've seen with people that I follow, like on Twitter and

others on Instagram. Also, like, there are there are people that I follow who are also really really big into n f T s and they had they used some terms in a lot of their tweets that I want to make sure you understand what they mean. I'm one of those people when I see it, when I come across the term in a book, or I come across the term just like reading an article and I don't know what it means, I'm gonna hit the Google. But like, yo, like what does this mean? But I understand not all

of us do that. I understand that sometimes we just take for granted that we will understand if we keep reading this sentence or whatever. But I what I want to do today is take a moment of people who have not done dug deeper into uh a phrase that

they've heard or perhaps UM in the acronym. What I wanted to do today is dig into some of the most popular ones, the most frequent ones I've seen come across my feeds, and hopefully they are ones that you may have seen and maybe you've had some questions about them.

So I'm gonna do my best here to explain a lot of these things so that hopefully by the end of this episode you are more equipped to win and be successful with your journey into non fungible token So I'm not gonna get super deep into things that have nothing to do or I shouldn't say that for things that are not specifically related to n f t s, because there's a lot of directions we can go and we can go really deep into dials, we can go really deep into smart contracts, we can go really deep

into currencies, and they are all relative to n f t s. But I want to go specifically into things that are most most specifically specifically twice, I want to go specifically into the things that are most directly related, and they're gonna be some things I don't mention, So I'm gonna say that up whenever you put together a list or something like this, there's somebody who's gonna say, well, you didn't do this one, and so that's gonna happen.

But some of the things that have been most frequently across my desk, I want to make sure that we explain today. So if you've ever heard of the word or the phrase insider trading. So think of this as you work at Coca Cola. Coca Cola is a publicly traded company. Let's say you're an executive, you like the CTO, you're a vice president of a division, and you know that Coca Cola is about to get into selling n f T s, and so you know that the minute Coca Cola announces that they're going to sell n f

T s, their share price is going to move. If you, being vice president of a division CTO CFO of Coca Cola, go ahead and make bets on that movement before anybody else even has an opportunity to understand what's happening. That's called inside of trading. Right. So there's a word in n f T space called alpha. What alpha means is your alpha ng into something means you have access to

like important insider information that most people don't know. For instance, we just released, um the afro Tech World Metaverse n f T ticket for afro Tech UH two. The afro Tech World conference comes up April UM. So we just

we just dropped remember that, put a bookmark there. We just dropped the afro Tech World n f T ticket, which means you can go right now to bitsky dot com and find the afro Tech World n f T which allows you to hold in your wallets the afro Tech World ticket, which gets you access to the gated the exclusive afro Tech World, This core channel a live discussions, you get into the afro Tech World conference, you get apart, you get to be a part of the community. So

I knew that this was coming. We just announced it like this past week. I knew weeks ago this was coming, so I have insider information. So if I was to dig in, I was alphaing into the afro Tech n f T ticket because I had important insider information like nobody else knew this. I had insider information that the world did not know, and I got into it before everybody else had an opportunity to see what was going on. So I alpha into the afro Tech World n f

T ticket. Our for alphae in in motion aping into something aping like like monkey, like ape a gorilla aping into something. Um. So we've all seen this. If you have anything to do with you know, if you've got a Twitter account, you've seen people aping and stuff. I don't care like what you follow on Twitter. You've seen people just go dumb about certain n f T projects. Another bookmark. Put put a bookmark their projects. We're gonna

come back to that. Aping into something means, it's it's it's effectively like embedded in the DNA of fomo fear of missing out. You see something going him on, an n f T project going crazy, and you go and you buy you you like, invest into that n f T project without even doing much research at all. And these could be scams, these could be valid projects, whatever

they are. You're just getting involved very financially fiscally irresponsibly because because you just see a bunch of things happening in the space and you're like, I'm about to go and drop half of my savings into this particular project without reading a white paper, like, without getting any without doing any homework. It's just irresponsible. I don't care how many people talking about it. It's irresponsible if you have

not done your homework. Air drop. I want to talk about air drop because this is actually something pretty cool and it's a great way to increase your n f T library, your personal holdings. Air drop means, let's say you are a part of a discord channel, and like Gary Vychu, like Gary Vanychuk has, they do a lot of this with V Friends. Let's say you're part of

V Friends discord channel. What they will do is in order to generate interests around valuable V Friends n f T s is they will drop free n f T s in exchange for you doing something or being engaged. That's why they will drop these things to just reward people who are engaged in the community of V Friends. So let's say I was a matter of fact, I

was watching or listening to a discord conversation. UM want I want to say about three weeks ago, there was a football game on and it was on one of the sports channels of V Friends discord channel, and they were you had to listen for a period of time and if you listen or I should say, if you're still listening around the time where they announced the where the how like what do you have to do to get this free n f T, you were then rewarded with that n f T. So, for instance, um, they

would say okay, like on like every half an hour or once an hour or whatever, they would announce we're gonna open up another channel on V friends on discord and right now, for the next five minutes, you can go to that channel, and whoever goes into that channel and drops, you know, the A pound sign whatever, you're gonna be rewarded with this n f T. This air dropped n f T. But you had to be listening when they announced that they were going to open up

that channel, because the channel wasn't always open. So it's a lot like you ever listened to radio back in the day and they were giving the way tickets to like a future concert, and they would say, you know, you have to be listening for the phrase that pays, And so you have you're listening all day long waiting to hear this phrase that pays. And then as soon as you hear the phrase that pays, you gotta call

in in order to get those free future tickets. But if you weren't listening, let's say you got out of the car. Let's say you, you know, turned off your headphones for a minute, and you missed the call for the phrase that pays. You missed your opportunity to get those future tickets. Is this air drop to work the same way. So if you're listening like to a discord, conversation. They can drop that free n f T whenever, and it's gonna happen in a variety of ways. I'm just

using the discord example as an example. You know, this's gonna happen via Twitter, that's gonna happen in your d M. This is gonna happen all sorts of ways. That's happening live at a at a show. But they will drop n f T s free n f T s in exchange for your engagement, just rewarding people who are part of the community. Okay, I see, I have probably have to speed up or I'm gonna just do this in two parts because I'm taking a long time to get

through these doubt UM stands for decentralized autonomous organization. So there are a lot of or more and more projects. I should say that owning an n f T in this community, in this project allows you voting rights and whatever the voting rights are written to be as dictated in the smart contract. And so particularly like let's say, if you own a red Head n f T, I'm I'm making this up. I'm making up an n f

T project, and they're called the red Heads. There are ten thousand red heads in this particular n f T project, and all the characters in this project have red heads, everything for monkeys to people too, squirrels, but all of them have red heads. Okay, but the DOW says, if you own a red head n f T, you get a voting right to say what the next head is going to be in the next set of ten thousand. So everybody who owns an n f T gets one

vote in this particular scenario. You own you own one of these red head n f T s, you get one vote. If you own ten, you get ten votes. And so the next project is going to drop in three months, and it's written in the smart contract what power that particular n f T holder has that is correspondent to their votes. So if again, if I have ten redheads, I get ten votes in this particular scenario that says I get to dictate alongside my ten votes that I want the next set of ten thousand um

red heads to actually be orange heads. So now I have ten votes to make the next collection orange heads. Now what's so cool about this is there you can foreseeably see a day where this could actually be like a homeowners association or actual government to where where people live. If you if you own an n f T for you know, Detroit, Michigan, you could help to dictate what the future of Detroit, Michigan looks like with your vote.

Who's going to be in the state legislature with your vote, your n f T vote n f T s. I don't want you to think of n f T s as just art because n f T s are not just are they We are using them primarily to hold art today. But it's an n f T is a technology that can be across any vertical and it could actually have real life implications to how you live and move in the world ultimately. So that's the direction we're going in, which is why these conversations are so important.

So an n f T as part of a DOW, a decentralized altonomous organization, could dictate whether your grass is allowed to be three inches or four inches because you hold a vote inside your homeowners association, which is an n f T, which is part of a DOLL in this world, so that is your vote. Your n f T serves as your vote as part of a DOLL. A decentralized autonomous organization gives you voting rights. So the next two phrases are actually kind of my favorite too,

UM definitions that we're gonna do today. One of them is out of alphabetic order, but it makes sense to do with them together. Um. The next one is diamond hands and paper hands. Um. These are fun to me because I love the conversation that we have when let's a bitcoin drops by ten percent over you know, a period of three days, and like, people like the world is on fire or you know, Ethereum goes up ten percent and people like, you know, there's a rush on

this thing. There's a rush on those coins. There's a rush on Sheba. And then as soon as you know, it goes down one tenth of a percent, you know, people like, you know again the world is burning. So n f T S, you know, these these are the two phrases that we're gonna use specifically regarding n F T S. Diamond hands is when you describe a person who, you know, what, I believe in this. I believe in this, you know art, I believe in this particular project. I'm

gonna hold onto it. I don't care what you're talking about with the value. I don't care what you're talking about with the price fluctuations. I don't care what you're talking about with the volatility, the negative news. I'm holding onto this because I believe in it, or I'm gonna hold on it for some other reason. But I'm holding onto it for whatever my reasons are. I'm holding on to these n f t s regardless of the volatility

in the marketplace. Paper hands is kind of like the opposite of diamond in So paper hands is somebody who's like, you know, I'm getting rid of this, and they might actually be losing money on the on the cell of their crypto or their n f T because paper hands means you sold it at too low of a price.

Let's say somebody today like I don't even know what crypto punks are going for, but let's just say you know they're going for like a bunch of heather, and the cheapest one you can find it's like a hundred grand. So now somebody goes and sell its for dollars. That's paper hands, because like, you sold it way under price, you got it. I don't have to go deeper into this, y'all. I'll get the point, y'all. SMERT. The next one is probably the fastest definition. I'm gonna have this whole episode.

And it's a drop. I told y'all to Bookmarket when I said earlier, a drop just means it's the launch of the n f T, Like we just launched the Afro Tech World Metaverse n f T. It's officially launched. We dropped it. Boom. The next one is actually probably the most fun to do UM and that's d R. And this is not like Kristen d R or this is not a fashion this is d R D Y who are? This is when you should do your own research.

This is you know, remember that you might have heard the story of the people who bought what's the show that was on Netflix squid Game. So these people, a bunch of people, a lot of people bought these squid coins that it was a play that earned cryptocurrency squid.

It was called squid and a bunch of people bought these squid coins, and the the developers of these coins didn't allow people to resell the tokens, and so ultimately it was deemed like a rug pool, which will come back to and maybe part two because I'm going over long rug pool. Um. They didn't allow people to resell those tokens, and then the people who developed this coin is token took off with everybody's money. It was a scam. And so if you would have done your own research,

you probably would have read the white paper. You probably would have looked into the founding team. You probably would probably would have looked into things that they may have done in their past. You would look at the resume to see, you know, are these credible people to be putting together a new project. And before I invest a bunch of money, instead of just going on the hype,

I'm going to do my own research. Do you or do your own research instead of just going with the hype because you're listening to people all on the internets, you can lose your money. Don't follow the hype, pay attention, then do your research. Floor. Um, this is I kind of mentioned this before and when I was describing another term a minute ago, and it was about like what is the cheapest way I can get into a particular community, So like the floor is the cheapest item in a

project like crypto punks. So let's say I want to find a crypto punk that I can afford and I'm not jay Z, so I don't know what. But jay Z paid for his let's just say he paid like seven hundred fifty thousand dollars. And so I'm not jay Z, and I can't pay seven hundred fifty dollars for a crypto punk. And it's I go. I go to you know whatever they're settling them, maybe they're on open Sea. And then I go and look, Okay, well, if I can't spend seven d fifty dollars, what is the cheapest

crypto punk I can find? So I just did a quick Google search and what I found was the cheapest crypto punk that is available today is UM three thousand dollars. So you have to determine whether that's manageable for you. But that is the floor for n f T s in that particular project, three thousand dollars. That's the bottom. Fomoh, I don't have to spend a bunch of time here. You know what fear of missing out is. I know

a lot of people buying crypto punks. I know a lot of people buying um B, a YC board, a yacht club. I know a lot of people buying these things. Unless you know, I can go and feel some type of way because I'm I'm missing out this you know, money grab and so that's a fear, and so people do strange things when they're afraid. And so you don't have to go buy things, but a lot of people do buy things because they fear like they feel like they're gonna miss out. So it's a fear of missing out.

It's called phone gas. We talked about this on podcast before. But gas is the fuel. It's the toll that you pay for playing in this game on the Ethereum network. So I mentioned before on the podcast that every time you interact with the blockchain, you are using computational power. So gas is the fee you pay for that computational power because those computers somewhere in the world, all over

the world use electricity. And more so, you are paying for that computational data that block to be adjusted based on your activity, whether you're buying n f T, whether you're selling an n f T, whether you're minting an n f T. Every time you interact with the blockchain, you're gonna pay for it. It's called gas. It's the tax you pay metadata. This one's fun for me because I take pictures and I'm a videographer and an editor.

So you know, whenever have you if you've ever taken a photo like on your iPhone or for an actual like you know, camera, like a cannon or whatever, and you put it onto a computer and you open it up, you can sometimes see a bunch of other stuff in the file that you didn't realize where in the file. You just thought the picture was in the file. But then you find the name of the file written on this you know, get info. You find like the date and time the photo was taken. Inside the image, you

find the camera information. You find the settings that the camera was set to at the time the photo was taken. You find all where the photo was taking in the world. You find all this other data that you didn't realize might have been baked into the image. You just thought you were taking a picture, but you didn't realize you were collecting all this other information. That's called metadata. And in every n f T, there's other data outside of just the visual thing that you might see. There is

other information that makes that n f T unique. It could be the name of the author, it could be the dating time it was created, It could be the device it was created on. That can be spelled out in the main day in the metadata. It could be

the location the n f T was creating. All this other information makes that particular n f T unique and it's baked into the n f T. So I've been doing a lot of creation of my own n f T s, and we're gonna talk about that because that's called minting in n f T. I did an episode a couple of weeks ago that was like, how to mention your first n f T. It's a very valuable episode, So if you have not heard it, please go back a couple of episodes ago and listen to how to

ment your first n f T. And So, what minting in n f T means, it's when you put a digital asset into circulations so that it can be bought by somebody else. And so let's say you create a piece of digital art, or you took a picture of a piece of art and you made it into you know, a f T. You put it on the blockchain that you went to open See or some other platform where you can mint n f T s, and you put it up for sale. You put it up for auction.

That's called minting inn n f T. So when you take a digital asset, you place it on the block chain so that it can be purchased by somebody else. You you put in the circulation and somebody else can be You can buy it, they can sell it, they can collect it. But whatever they are doing, they can only do it because you put the item up for grabs.

PfP profile pictures. So if you've probably seen if you're on Twitter, like jay Z's p FP his profile picture which is a crypto punk, and a lot of other people have their profile pictures set to their n f t s and for instance, like these are not just avatars.

These are not just just pictures that somebody said, Okay, I'm gonna make this my avatar, but these are verified like algorithmics set it set uh pictures and so often in order to create like a p A an actual p FP, you need you need to attach your digital wallet to the platform, like for instance, on Discord, I can connect my coin base or meta mask wallet to my Discord, which then verifies that I own this particular image,

whether it be a JPEG, a PNG, or otherwise. But it is my profile picture now, so I said it as my profile picture, but it's verified that I own that particular image. It's unique to me project. If you've ever heard anybody say, you know this n f T project, Like what do they mean? Um? And n f T project is a collection. It's a collection of art or other digital assets that are you know, all released as part of like a series or some overall you know

story or roadmap. UM, like crypto punks is a project because like there's ten and there's ten thousand n f T s in this particular project a board a yacht club, Like that's a project. I don't I think there's ten that ten thousand in that one also, but the collection is called a project as simple as that. The rug pool is something that we talked about earlier when we

were talking about squid games. Like when they go create these tokens, these n f T s or whatever, and then they see a bunch of people like ape n They didn't do their homework, They just ape into something, and you know, they stopped working on the project, or they take the money and run, or they shut the project down completely. All the n f T s could disappear. Because we're gonna talk about this one day too. I'm

so excited to talk about this idea. Your n f T can disappear, and we're gonna talk about that on another episode. Now is not the time, but it can happen and you could have no control over it. But the rug pool is effectively a scam. You know, you got the rug pool from under you, so you bought of these squid coins, these squid tokens, these squid and their t s, and the developers did some shady stuff.

They run off with the money. Now, whale is something I think we're gonna end here because I actually didn't think I would get through all of these on this episode, but I did pretty good. A whale is somebody who's just got a bunch of money to invest in n f T s. Now, this is not the same, particularly as just somebody with a bunch of money. This is somebody with a bunch of money that has it to invest. It's like in their wallet, their digital wallet or the

cold wallet. This is somebody who's got a bunch of ethereum or bitcoin or whatever. They've got a bunch of money ready to invest in their account. They are considered a whale. So I would imagine somebody like Jack Dorsey, you know, immediate past CEO of Twitter, CEO currently of Square. That's somebody like a whale. I can't imagine him having a bunch of money in his digital wallet, or somebody like an Elon Musk they have a bunch of money

in their digital wallet. I can imagine. There's probably some people that you and I are very familiar with, like a Future or Meek Mill or jay Z who has a bunch of money cryptocurrency in their wallet and it's able to be invested, or is already invested in a bunch of n f T projects, or you know what was select few of highly valuable n f T projects.

So what's important to know about Wales is not that you could just point them out, but there's there are people who can make the whole market move, like you know, they could send out a tweet about a particular thing. I remember when Elon Musk was talking about Sheba like and the market on Sheba moved because he was into it. I remember when Tesla said, you know, or the people a Tesla said, you know, like we're going to accept particular cryptocurrency, and then all the whole market for this

particular currency just moved. And so that's what you call a whale somebody who has a bunch of money or a bunch of coins able to be invested, and they could move markets should they used to wield that power. So that is what you call a whale. So they're obviously so many more terms out there, definitions that could have been made that while I may make later in another episode, but at least wanted to give you a

really solid foundation. If you get a handle of the terms that we've talked about today, you will have a very good foundation of, you know, knowledge that you can build on to help you in your journey to you know, curate a really cool n f T collection and hopefully build value with that collection. So you can see an r o I. So we're gonna talk more about n

f T s on this podcast, so stick around. Black Tech Green Money is a production to Black of the Afro Tech on the Black Effect Podcast Network and I Heart Media and it's produced by Morgan Dabon and me Little Lucas, with additional production support by Love Beach and Marissa Lewis. Special thank you to Michael David's Jermain Hall. It's a car savan Yan, you know, like the wine. Yes, that's his real name. Learn more about my guests and other tech disruptors and innovators at afro tech dot com

in the video version. A video version will be up on YouTube next week, So tap in enjoin your black tech, green money. Leave us the five Star Radio on iTunes, Gonna get your money. Peace and love,