Would you buy “digital marijuana”?
Jessie Grundy would like to sell you a digital marijuana pouch. Blockchain-based "NFTs" are coming to cannabis. Grundy is the founder and CEO of Peakz, a premium cannabis brand based in Oakland, California.
Lava Coin, the digital cannabis strain.
He has spent most of his life marketing and selling cannabis: first to other teens as a student at Skyline High School in Oakland, then to other underground entrepreneurs and dispensaries. legal in the California cannabis market, and now to wholesale and retail customers in Arizona and Oklahoma as well as California, where Grundy has made branding and distribution agreements with other state-licensed cannabis companies .
But today, Grundy is selling what he believes is a world first: a bag of cannabis, which only exists online, hooked up to blockchain technology for "authenticity."
Called "Lava Coin", this digital bag is available all over the world. And, unlike most other marijuana, it's also legal all over the world.
You can't smoke it, but as an added bonus, if you buy the “first digital cannabis strain ever,” and if you're based in Oregon or California, you also get “real” physical marijuana.
"The future is looming and chain stores will continue to fit into society," Grundy said at a recent interview. "This digital cannabis strain will live on the registry forever, and the fact that it has a physical counterpart makes it one of a kind."
The highest bid, at time of publication, was $ 61,02.
A marketing gimmick, an Internet age blunder or a sign of the times? Maybe all of this at the same time
In any case, it's only a matter of time before the world of scripting "digital assets or" NFTs "(for" non-fungible tokens ") hits the cannabis industry, and Lava Coin seems to be the first example of “NFT for Digital Grass”.
For information : A non-fungible token is a special type of cryptographic token that represents something unique; non-fungible tokens are therefore not interchangeable. This contrasts with cryptocurrencies like bitcoin and many network or utility tokens that are fungible in nature.
Convince the public to pay with "real dollars" (assuming this is the real agent, a discussion that is ongoing and best left to evolve, with respect to "assets" that don't exist that online and which is a familiar concept from Silicon Valley.
Convincing people to exchange money for digital 'tokens' is the reason Farmville became a profitable game (and, at least in part, the reason the game's creator, Zynga, became a profitable game. public).
But as reported Reuters On Monday, digital assets exploded in popularity during the COVID-19 pandemic.
A year ago, a Miami-based art collector bought a 10-second video for $ 67. Anyone can watch the video, but only one person can own it - or, more specifically, only one person is verified as the actual owner of the digital work through a blockchain. And last week, Pablo Rodriguez-Fraile "sold" his rights to the video for $ 000 million.
NFTs are found in the world of sports collectibles as well as in the art world. A company called NBA Top Shot currently sells "original verified" digital versions of highlights clips - which, as Defector pointed out, can also be viewed, by anyone, anytime, on the internet, for free.
But this is different! "Rare" items are fetching fantastic prices all the time: comics, sneakers, hats, artwork, cars. If there are still several copies of Action Comics # 1 (including one sold for $ 3,2 million in 2014), the “non-fungible” part of the “non-fungible tokens” refers to the idea that each NFT is completely unique and original. There can only be one!
This is why a digital weed strain is different from a cannabis seed that can be used to grow new cannabis, or a basketball business card that can be lost, tampered with, or printed multiple times.
It all sounds weird or hazy to people used to paying for something they can physically hold, drive, wear, or turn on. This may also be the reason why NFTs are so popular among chain store enthusiasts looking to find applications for this technology beyond crypto-knowledge, as well as investors wondering what will be next. speculative asset to yield 100 times more.
Bitcoin is popular because it's valuable, but bitcoin is valuable because you can exchange it for fiat currencies with which you can pay bills, buy houses, and - why not - weed.
This is why there is a healthy debate over whether bitcoin is really money, or whether bitcoin is just speculative assets that - unlike a lump of coal that you can burn, or a block of gold that you can turn into a crown or use in sensitive electronic devices - has no intrinsic 'value'.
Again, putting all of that aside for a moment, what is the “value” of Lava Coin, Peakz's digital cannabis strain?
First of all, whoever buys it will receive a sachet of real cannabis with unique genetics, which Grundy has been working on for the past few months, and which will be unique to the strain of Lava Coin being sold (provided it is present in California or in Oregon or that she can physically go there).
On the other hand, they will have something that no one else can claim to have, unless they resell it.
"The reason anyone would want digital weed is its uniqueness," said Grundy, adding that blockchain-based proprietary genetics would at least solve one perennial issue in the weed world. : who found which strain, with the exact genetics identified, and who did it first.
“I think we will continue to see these things in the future,” he added.
But for now, there is only one piece of lava.
The auction ends on Saturday.