More importantly: losing actual money to save on taxes is hugely inefficient.
If he was doing this to save on taxes, he would have taken a paper loss via depreciation -- meaning, not actually selling it, just changing the book value of it -- with the intent of paying capital gains tax at some future date (well, more likely, borrowing against its "true" value indefinitely).
But it's not actual money? The NFTs space seems to just be an extension of the old art appraisal scam: the asset can have whatever value happens to be convenient at a given time.
If he was doing this to save on taxes, he would have taken a paper loss via depreciation -- meaning, not actually selling it, just changing the book value of it -- with the intent of paying capital gains tax at some future date (well, more likely, borrowing against its "true" value indefinitely).