Non-fungible Tokens (NFTs) are not a new-age buzzword anymore. In fact, they have taken a front seat in the mainstream market. In 2021, it rose to such unprecedented prominence that Collins Dictionary announced the acronym (NFT) as ‘Word of the Year’. Needless to say, whether you think these tokens are nothing but another fad that will dissipate shortly or the next big thing in the cryptocurrency and blockchain metaverse, one cannot ignore them today.
NFTs exploded last year. Already mega-giants like Coca-Cola, the National Basketball Association (NBA) and Yum Brands (parent company of Pizza Hut, KFC, and Taco Bell), and individuals like American rapper Eminem and seven times Ballon d’Or awardee Lionel Messi have embraced the NFT marketplace. Moreover, a leading media outlet quoting a Chainalysis report highlighted that in 2021, NFT sales volume broke all previous records by reaching the mark of USD 27 billion. Suffice to say, this niche and the fast-growing market will continue to thrive as everyone who can afford or have even some fundamental knowledge about futuristic technology is desperately trying to become a part of the NFT-led cryptoverse.
If you are also planning to venture into the high yielding ecosystem of the NFT marketplace, here are a few key trends that will boom in 2022:
Sing along to my stereo
Entwined with the NFT channels, the music industry is slowly becoming an integral part of this blockchain ecosystem. Last year, Kings of Leon, the Grammy-winning band, became the first to release an album as NFT. Considering in the current system, only a handful of music artists attain the true worth of their work, many independent players are taking advantage of NFTs to gain maximum profits while also retaining their creative freedom. Long before users started shifting to streaming platforms instead of buying physical albums, music artists were facing issues for getting enough monetary compensation from record companies. Through NFTs, artists can sell directly to their fanbase and have better control over the revenue.
What stands between you and success?
The super-frenzied NFT market welcomed sports megastars like LeBron James, sports leagues such as the NBA, and teams like Paris Saint Germain (PSG), Real Madrid, and Barcelona. Fan tokens are the buzzword today, not only in foreign lands, but in India too; many franchises participating in the Indian Premier League (IPL) and Pro Kabaddi League (PKL) have started harnessing the power of NFTs. In this context, Deloitte Global has forecast that NFTs for Sports Media will garner approximately USD 2 billion in transactions this year.
Gaming sensation P2E
Over the past few years, video gamers have already made a name for themselves in the YouTube and social media ecosystem. Long before NFTs came into the gaming industry, hardcore gamers and content creators were earning money by playing video games. However, now by buying and selling in-game Play-to- Earn (P2E) NFTs, gamers can gain monetary benefits by exchanging their playing time with token rewards. As per 2021 industry reports, the gaming arena is the second highest-grossing area of development with respect to NFTs. Having said that, NFT experts have stated that 2021 was just a warm-up for P2E NFTs and many blockchain-based games are in the pipeline to launch this year.
Art for money or money for art
Crypto arts, also known as NFT arts, are taking the relatively pacified artistic world by storm. Digital images of cartoon characters and avatars of celebrities like Jimmy Fallon and Snoop Dogg are pretty popular among the NFT clientele these days. These digital art NFTs are not working wonders for already renowned digital work existing out there, but budding artists are also leveraging this groundbreaking platform to get income while pursuing their passion and love for pure art.
For example, a 20-year old digital artist, Jazmine Boykins, who goes by the name ‘Blacksneakers’ has started selling her digital artwork (mostly about black lives narratives) through NFTs. While earlier also she was getting numerous comments and likes on her digital art-related posts, now with NFTs, people are buying her work, and it has become her steady source of income.
Lifting others with NFTs
Fundraising through decentralized methodologies has become a trending affair in the 21st-century. Many leading celebrities like Ellen Degeneres raised a hefty sum by auctioning a series of NFTs and donating that for charity. In the era of rapid digitization, cryptocurrency, and blockchain, using NFTs for charity purposes is a convenient method for social welfare.
What does the future hold?
Undoubtedly, the pandemic era will go down in the annals of crypto and blockchain history. Younger generations that are well-versed in digital format and want to own some substantial if virtual part of their favorite sports team, art, games, or music are quickly investing in relevant NFTs. This blooming market currently presents enormous possibilities and opportunities. Even while reading this article, a new NFT in your favorite industry must be popping up or gearing to launch.
Digital language is the future; that’s guaranteed. If you also want to be a part of this highly profitable and engaging marketplace, then today is the right time to take a step forward. Arm yourself with the knowledge about NFTs or take help from some blockchain-based NFT engagement platform and become a part of this flourishing ecosystem.
Views expressed above are the author’s own.