A whopping 299% growth in the NFT market was noted in 2020 alone. In February 2021, the number of NFTs transacted in 24 hours was more than those traded in the entire 2020. NFTs are now becoming impossible to ignore
Promising Practical Applications of NFTs Other Than Art
Across various industries, there has been a spiking demand for the digitization of items. The properties of non-fungible tokens have opened up opportunities in these industries that weren’t there before. Here are some bold cases of how NFT has been put to revolutionary use.
In the music field, huge waves were made by DJ 3LAU selling 11.6 million dollars in NFTs in February 2021. The music can still be viewed or purchased from the normal platforms but the novelty is the idea of owning this rare token.
Smart contract technology has also enabled musicians to have their copyrights in the NFTs. This allows them to receive credits automatically each time someone plays their music. They can now get their fair share.
Basketball is one of the sports utilizing cryptocurrencies. The National Basketball Association (NBA) has a platform that is dedicated to selling the highlights of its best players. They refer to them as “moments’’. People have actually transacted over 330 million dollars on the site to purchase their NFTs. The site (NBAtopshot) owns the official license for the NBA, allowing videos to be bought through cryptocurrency or credit cards.
A natural home of NFTs is online gaming. Gamers are closest to the virtual world, unlike other industries. Game creators enable an authentic user experience where in-game unique items can be tokenized. They can then be sold, exchanged, or get rewarded to the players.
The value addition brought about by NFTs is evident in the popular game crypto kitties where a crypto-cat sold for 140,000 dollars in 2018.
4. Digital Collectibles
They are one of the most popular resold NFTs as digital memorabilia. The OG memes such as Bad Luck Brian, Disaster Girl, and Scumbag Steve are now making money through auctioning non-fungible tokens. Another example is the recent sale of the first-ever tweet by Twitter CEO Jack Dorsey for 2 million dollars
5. Supply Chain
More people are now conscious about how they consume. People are curious about where their items come from and how they get to them. With the use of NFTs, you can easily verify ownership among other details that pertain to a particular item. An example in fashion is you can verify if your purchase is a counterfeit or an original item..
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Since every token is unique, it can hold specific information about a particular asset making them perfect for identification, certification, or licensing. However, it is a rare case of its application and its development is still in progress. NFTs would ease the access and control of specific documents such as medical histories, educational qualifications, licenses, and so on.
In conclusion, non-fungible tokens are slowly creating a foundation for the use of cryptocurrency in various industries. Its adoption will be very beneficial in combating issues such as fraud, identity thefts, privacy, copyright, and counterfeit goods. As time goes by, we will witness more innovative cases for the applications of NFTs.
To summarize the 6 promising practical applications of NFTs other than art:
- Digital Collectibles
- Supply Chain