Snoop Dogg on Crypto Winter and the Future of NFTs

Perhaps the most famous celebrity in the Web3 zeitgeist is Snoop Dogg, but being an early adopter is nothing new for Snoop.

In 2014, the rap icon became part of a $50 million investment in Reddit, which at the time valued the company at around $500 million. The platform is worth $15 billion today, according to PitchBook. He is also known for his private investments in fintech companies such as Robin Hood, Klarna and MoonPay, as well as for investments in cannabis. In 2015, just a year before cannabis was approved for recreational use in California, Snoop co-founded in Los Angeles. Casa Verde Capital – Venture fund, the size of which has more than doubled.

Of course, anyone who follows him on Twitter these days knows that his focus is on everything Web3 ⁠, especially NFTs.

NFTs are unique digital assets such as works of art and sports trading cardswhich are verified and stored using blockchain technology, but critics consider them advertised and potentially harmful to the environment, given the energy-intensive nature of cryptocurrencies. Many NFTs are built on the network behind ethereumsecond largest token.

Earlier this year, Snoop announced his plans to turn Death Row Records, the record label he acquired from Black stone– controlled by MNRK Music Group, into the “NFT label”. Shortly thereafter, one of his first NFT collections, titled The Journey of the Dog, sold at auction for over $100,000. In September, Snoop revealed that he has a pseudonym known as the anonymous NFT art collector Cosomo de’ Medici, who has a digital collection worth over $17 million.

“I know [NFTs] they have a great opportunity to succeed in music because sooner or later the labels will have to step in,” Snoop told CNBC in an exclusive interview last week at the NFT.NYC conference in New York. come home, sit down at the table and understand that catalogs and the things they store are better served on the blockchain than sitting in a catalog and building a web.”

“And it’s not just about the labels,” added his son, Cordell Broadus, aka Champ Medici. “It’s movie studios, tech companies, beverage companies… everyone is rushing to Web3 and seeing how big Dogg is in space.”

Snoop’s sandbox game

Snoop has also spent the past year digging into the metaverse.

He recently partnered with gaming platform The Sandbox to sell the Snoopverse Early Access Pass, which gives buyers access to the experience in The Snoopverse, his own branded world on The Sandbox platform. At launch, 5,000 early access tickets were issued using blockchain technology. Each currently costs just over $600, and according to The Sandbox, currently 1114 owners, which means the sale generated nearly $700,000, a significant decrease from the $1.7 million it received earlier this year. The recent downturn has been dubbed by many as the last “crypto winter,” referring to the period when cryptocurrency prices fall and remain low for an extended period of time.

“I feel like every major industry has its downfalls,” Snoop said. “The depression was in every industry you can look at…alcohol, tobacco, clothing, food; in every industry you can imagine.”

Some crypto industry leaders are expecting period of “creative destruction” destruction of many players. Mark Cuban is a recent major investor in blockchain technology. compared the collapse of the cryptocurrency to “the lull experienced by the internet” during the dot-com bubble, and tweeted that there were too many imitators. Snoop Dogg is of the same opinion.

“This [crypto winter] weeded out all the people who should not have been in this space and who abused the opportunities available there,” he said. there will be great things to choose from,” he added.

Snoop’s latest project is a collaboration with Food Fighters Universe (FFU), which claims to be the world’s first NFT restaurant group. His ice cream brand Dr. Bombay’s Sweet Exploration is due to open in Los Angeles under the auspices of FFU. The brand was inspired by Snoop-owned NFTs from the famous Bored Ape Yacht Club collection, many of which skyrocketed in value to become the most recognizable NFTs on the internet, but plummeted in value during the recent digital currency sell-off.

ApeCoin, the token launched by the creators of Bored Ape Yuga Labs, has surged since Snoop appeared on the NFT.NYC stage on Thursday night to unveil a new Bored Ape-branded Eminem single in the rap duo’s corresponding music video. .

As is the case with many NFT collections, FFU token holders have exclusive access to various festivals, benefits and perks by owning one of the 10,000 NFTs in the collection. In addition, all physical restaurants covered by the FFU will accept cryptocurrency as a form of payment.

FFU co-founder Kevin Seo told CNBC that it will launch “this year” and will be a dessert retailer based on the Snoop Dogg community. In addition, Champ Medici’s Bored Taco will continue to be a food truck and ghost kitchen brand.

“We are excited to continue creating ways to use cryptocurrencies as payment and show utility through our NFT Food Fighters Universe, with access to events and free food with our NFT holders,” Seo said.

“Web3 and NFTs? This is just the beginning,” Champ told CNBC. “People will look back on this five years from now and see how innovative the Food Fighters Universe was and how we were pushing the boundaries very early on when other people didn’t see the vision.”

Bye prominent investors continue to believe There are many skeptics about the long-term potential of digital assets, including Cathy Wood of Ark Invest.

Speaking at TechCrunch Discussion on climate change last week, bill gates described the phenomenon of cryptography and NFT as something that is “100% based on the Greater Fool Theory”, referring to the idea that overvalued assets will rise in value when there are enough investors willing to pay more for them.

Billionaire Microsoft the co-founder joked that “expensive digital images of apes” would “greatly improve the world”, referring to the highly publicized Bored Apes.

Meanwhile, crypto investors continue to struggle with aggressive interest rate hikes by the Federal Reserve and deteriorating liquidity. pushed big players into financial difficulties and gave a bullhorn to some of the NFT’s biggest naysayers. The wider space is also still reeling from the effects $60 billion crash two major tokens last month.