> After FTX declared bankruptcy, the entire FTX.us domain was redirected to a page providing information on the bankruptcy proceedings.

> NFTs that had been minted on the FTX platform relied on metadata from an API at that domain, meaning that the NFTs are now pointing to broken links. Owners of these NFTs can still see that the NFT exists, but images no longer work—even when viewing the NFTs in their own wallets, or when listing them for sale on other platforms.

https://web3isgoinggreat.com/single/ftx-hosted-nfts-break-after-website-is-redirected-to-a-restructuring-page

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FTX-hosted NFTs break after website is redirected to a restructuring page

After FTX declared bankruptcy, the entire FTX.us domain was redirected to a page providing information on the bankruptcy proceedings.However, NFTs that had been minted on the FTX platform relied on metadata from an API at that domain, meaning that the NFTs are now pointing to broken links. Owners of these NFTs can still see that the NFT exists, but images no longer work—even when viewing the NFTs in their own wallets, or when listing them for sale on other platforms.Other projects that rely on the FTX NFT platform's API, such as the Coachella NFT project, also broke: the Coachella NFT platform shows 0 NFTs in existence. Those NFTs still show up where they are listed on external NFT platforms, although the images and metadata are broken.

Web3 is Going Just Great

@rysiek
FTX was a centralized exchange and it looks like their NFT minting follows that same route by using https://ftx.us/api/nft/spl_metadata/ in the metadata making ftx.us a single point of failure. There are systems in place to address these concerns for NFT data such as using the IPFS distributed file system.

https://en.m.wikipedia.org/wiki/InterPlanetary_File_System

Not saying it is a foolproof solution but it does help eliminate a single domain as a point of failure.

Kroll Restructuring Administration