CoinShares Releases Experimental AI Bot for NFT Price Calculation
CoinShares, one of Europe's largest crypto investment companies, has launched a new tool for valuing NFTs on OpenSea.
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Yesterday (October 13), Europe-based digital asset management platform CoinShares released an experimental artificial intelligence (AI) bot that helps investors determine the right price. most reasonable for an NFT.
The pilot project, CoinSharesNFTAI , will aggregate datasets and output the most affordable prices for a rotating list of the top NFT collections on OpenSea.
To interact with the bot, the user needs to get the OpenSea link of a specific NFT and tweet at the bot. From there, the bot will respond with a best price estimate.
CoinShares says the bot reruns the algorithm every week to calculate the price of the latest collections. The timeframe from October 10 to 16 will be for CryptoPunks, Bored Ape Yacht Club, Clonex, Moonbirds, Doodles, Azuki collections...
CoinShares said:
“Valing NFTs is no easy task. Their value is volatile and there are millions of collections on the market, ranging from well-known projects like Bored Ape Yatch Club to lesser known artists with no trading history.”
According to the published research paper , the bot is built on top of a hedonic model to establish price indexes from thousands of NFT transactions. The data is focused on Ethereum NFTs and uses the official Opensea API to download properties and past sales of certain NFT collections.
However, as of yesterday afternoon, some people have complained that the bot offers prices much lower than the current best number (price floor) on OpenSea. Some expressed skepticism about the accuracy of the tool.
“Your model sucks,” said Jack Hermes, who owns NFT GOBlinTown, bought on July 8 for 2.6 ETH (approximately $3,170) valued at only 0.88 ETH, leaving approx. 1,124.48 USD.
FoxCryptoNews summary
Oct 14, 2022
