Updated: Oct 1, 2021
Loot is a generative list of items that could be found in any given RPG game. These are text-based NFTs which purposefully don't include any images, stats, or additional context. This leaves the purpose of each item up for interpretation by whoever decides to create something using these lists and allows Loot's community to decide the project's future.
Fun fact: Loot was created by Dom Hofmann, creator of Vine.
Mint price: Free (+ gas)
Launch date: August 27th, 2021
Each loot bag contains 8 items:
Loot has become an instant phenomenon in the NFT space. A lot of it's hype can be attributed to flipping the usual top-down approach of projects into a bottom-up approach.
This new approach forms communities first and builds the product second - incentivizing the community to build value for their NFTs rather than waiting for a team to deliver a product.
Collectors create value rather than the creator
No gatekeeping creative decisions
Derivatives play an important role in both the growth and decentralization of Loot's ecosystem. Without them, Loot would just be 8 lines of text without any additional utility. As seen by tweet below, people are already organizing to create interfaces based on their list of items.
Synthetic Loot was created to expand the userbase of Loot to anyone with an Ethereum wallet - even if they don't own one of the 8,000 Loot NFTs. Synthetic Loot is considered a "virtual NFT" because it cannot be minted, transferred, or sold. This occurs because Synthetic Loot is based on a wallet's seed, meaning only 1 synthetic loot is available per wallet. The contract for synthetic loot can be found here.
Adventure Gold ($AGLD) was created as a token meant to be used for future Loot-related games. Each Loot owner was able to claim 10,000 AGLD tokens which had an value of over $30k within the first day of its release. The original announcement can be found here.
There's a lot to unpack with Loot. (no pun intended)
Redefined Life tweeted my favorite summary of Loot which also applies to any project following a bottom-up approach.
Loot is a Lego piece that can be used in the metaverse for any project that deems it useful to integrate.
The most unique aspect of Loot is that derivatives are required for the project to progress. Projects using the bottom-up approach can reach higher levels of decentralization because their value is not tied to one single entity. In other words, each layer that gets added to the game creates another layer of decentralization.
This is especially important for metaverse projects because there hasn't previously been a way to reach these levels of decentralization. Think about the different virtual worlds for example: Even though land plots can be owned by the community, there are still teams behind Decentraland, Cryptovoxels, and The Sandbox which directly benefit from the platform and can make changes to the world at will. Technically land ownership is decentralized but are their whole platforms decentralized? Not to the extent Loot can be.
Another benefit that should be noted for projects like Loot is the potential for future airdrops. It wouldn't make sense to expect Loot owners pay more money to receive the game's next features when the original price of the NFT only cost gas fees. This would allow owners to potentially receive a continual stream of benefits from each new upgrade to the Loot metaverse.
Loot will most likely do well in the long run because of the exposure its received and the passionate community behind it. It's spurred my imagination and caused me to become absolutely fascinated with this new concept of bottom-up NFTs. Loot feels a lot like a Yams moment to me with how quickly it captivated the NFT community. Pandora's box has been opened and I expect more projects to use this approach to build a variety of unique, fun, and creative metaverse experiences.