Ralf Glabischnig is an entrepreneur and founder of Crypto Oasis who is committed to developing the blockchain ecosystem both in Switzerland and worldwide. He is one of the initiators of the Swiss Crypto Valley, one of the world-leading Blockchain ecosystems in Switzerland. Based on the experience and success of Crypto Valley, he and his team have set up Crypto Oasis as the ecosystem in the Middle East. Through a strategic partnership with the DMCC, the DMCC Crypto Centre was launched in Dubai. With half of the blockchain-based businesses registered within the Freezone, it is the core of the community in the region. Here is what he has to say about his journey, the blockchain ecosystem, and its stakeholders.
You have prominently established yourself as a seasoned entrepreneur and businessman. We would like to know about your very first step in the world of cryptocurrency.
It all happened coincidentally. I moved to Zug, Switzerland in 2005 and opened his first company in 2009. Back then we had no idea about bitcoin. In 2013, we opened a business center in Zug, a co-working space for all kinds of companies. Many firms were knocking on our doors looking for blockchain companies and it was then that we started digging deep into the industry of blockchain. I come from a software development and strategy consultancy background, and we saw various people coming to Zug. So, to support this we began inviting startups to join us in the Crypto labs that we started.
In the year 2015-2016, we started a blockchain competition where instead of investing in startups we gave out our prize money of $100,000 for the best idea in blockchain insurance, finance, and real estate. It was then that Crypto Valley, a leading blockchain and cryptographic technology ecosystem happened to us.
How does Blockchain influence the ecosystem of the creatives and vice versa?
Blockchain is cutting out the middleman. In the traditional process, different people are involved between the creatives and the customers. With blockchain technology combined with social media, we were able to cut out a lot of these middlemen. If a young artist creates a painting and wants to sell it, he probably gets $500 for the first painting he sells through a traditional channel out of which $150-200 would stay with him. But with social media on one hand and blockchain on the other, he would be able to get the whole $500 or probably at least $480, since $20 goes for running his business. This makes the entrepreneurs get closer to the customers not only on social media but also in transactions.
Blockchain opens new doors toward boosting the creative economy. What are your thoughts about it?
There are successful digital art projects in the NFT space like “Crypto punks” and ‘Bored Apes’. They have not tried to bring the physical world into the NFT world, like a tokenized Picasso, they have been created in the digital world and are now expanding into the physical world. I believe, what we see right now is the creation of the fundament for the metaverse. And it is important how we define and position ourselves as individuals and organizations in this new world. We can own and create NFTs which are existing in both worlds, as Nike does with the partnership and takeover of RTFKT as an early mover, or just consuming and following the new trends. It needs creativity to get into this new Metaverse space, not just a brand to say, “I got a successful product range in the real world, now let’s put the same product as NFT in the digital world and expect this strategy to be successful.” It is like the end of the 90’s typical corporates trying to enter the digital world… and fail!
What differentiates an investable NFT from a Ponzi scheme NFT?
This is a tough question. The intention of the creators of the NFTs is what matters at the end of the day. When we evaluate startups, we investigate the founders running the startup; whether they “only” want to make money, or are planning to create a sustainable business. The same goes with NFTs. It is the intention that matters, and the utility they want to deliver. We always try to understand their approach and take a look behind the scenes. NFT are much more than only art, they have so much potential utility to redefine ownership.
Is it the right time for contemporary artists to take a digital turn or is it otherwise?
I believe that to take a turn into digital depends upon your ideology, vision, and thought process. The digital art world has big differences from the contemporary art world. Just putting your artwork one to one in the digital world will most likely not work out. You have to build a community in the digital world and create some benefits (utility) for them if they buy (and use) your NFTs. In a digital world there are also totally new laws and rules: Take for example land in the digital world. If a celebrity (like Snoop Dogg) owns a piece of land, the value of the land around him raises. But in real life, he could only have a limited number of neighbors. In digital land, it could be 100s or 1000s. So“location, location, location“ gets a new definition. Similar rules are affecting galleries. In the digital world, you can move from one major spot (e. g. the Louvre in Abu Dhabi) to the other (the MOMA in NY) in a second. With the opportunity to visit all the major sports, it is very difficult to attract attention with a secondary location or brand. It´s about accessibility. In the digital world, we can overcome time and distance issues.
What should be the first step for a creative to enter the world of NFTs and Metaverse?
The first step should be to go to discord communities, traders’ communities, and follow digital artists. You need to understand the artist. It is unique to build a fanbase depending on what kind of artist you are. Artists need to learn and rethink. Just not copy one idea since it will not add value to the art.
Is it important to have technical know-how before starting an NFT project?
Artists should have a good technological partner. Also, the right research and support are needed regarding the legal and business environment. You need to understand how to make money, and how to do taxes. If you need to pay income tax, you need to know and learn about it. In the same way, when you sell something digitally, to make sure it is secure, you need someone who understands the different frameworks.
How do you see the NFT space developing in the future?
People always ask me where we see this going. I believe that NFTs will be the ultimate ownership of your art and on the other side, the transactions will be on the blockchain. We will see this in the coming 10 years. And a very important part will be the secure “custody” of your digital assets. The industry still needs to improve the user experience to reach mass adoption.
How do you plan on incorporating the local artist community within the Blockchain ecosystem of Crypto Oasis?
We are creating societies that are similar to members clubs and everyone is able to join. There will be a creator society and a collector society to share knowledge and experience and give access to the industry. On the other side, we created our own Crypto Oasis Metaverse Collection, which is a fund-like investment structure to buy digital art and other metaverse objects. So people can join us to invest in this new world. And we are exhibiting our collection in the metaverse and in the real world, as we did on Art Dubai.
What message do you have for our readers?
NFTs are much more than just pieces of art, NFTs are non-fungible tokens with various added values, use cases, and utilities. It enables a new way of ownership and has a huge potential for growth in the future! The actual version of the Internet is the Internet of Information, the next version will be the Internet of Value, and NFTs will enable this WEB3 and the Metaverse.