By Alicia Maher
The market for nonfungible tokens is expanding. The third quarter of 2021 saw a seven-fold growth in NFT trading volume, per a new analysis from advanced analytics, DappRadar. NFT use cases are fast expanding as innovators realize their potential.
Celebrities looking to cash in on the rising crypto scene had limited alternatives in the past. They could mostly only promote an ICO or spend their funds in a reputable firm. Using NFTs, they may now release sought-after virtual collectibles resembling artwork, records, or items. They can then be auctioned on the open market between fans and financiers.
The Music Sector Is Ideal For NFT Testing
Celebrities ranging from artists and sportsmen to actors and fashion models are busy monetizing and auctioning a bewildering array of blockchain-based commodities and products. Public personalities can use NFTs to communicate with followers digitally and generate new money. Grimes, a Canadian singer, sold about $6 million worth of NFTs previously this year. Some tokens were unique, but others had duplicates. Contradicting the NFT principle—isn’t every NFT intended to be distinctive?— The “copies” raised $5 million.
Kings of Leon also made a stir by marking their latest album, ‘When You See Yourself’, and raising $2 million. The album includes 6 Golden Ticket bids, with the winners receiving front-row seating to every Kings of Leon concert for life. And a $50 record token includes a limited-edition vinyl.
As part of Katy Perry’s impending Play residency at Resorts World Las Vegas, people are thrilled to promote her highly anticipated NFT premiere in December. One billion listens on Spotify have made Katy one of the world’s best-selling musicians. The NFTs will have both digital and physical treasures, so there’s plenty to go around.
These enterprises thrive on innovation, and fresh NFT use cases emerge daily. Consider the blockchain-powered platform Royal, which enables users to buy shares in songs they like and receive royalties as they gain attention. Artists retain the majority of the copyrights to their work while receiving direct income from their most ardent supporters. “Artists and fans may benefit jointly without intermediaries collecting a majority of the earnings,” Royal says. It’s a good notion, but one asks what the record company executives think.
Sports And Athletes Also Going Into NFTs
Music may be the primary driver of NFT adoption, but sports figures are now adopting NFTs in droves. Trading card game for basketball NBA Top Shot has made its maker, Dapper Labs, a multi-billion dollar corporation. For example, Lebron’s two-handed reverse windmill dunk versus the Houston Rockets last February fetched $219,000, according to Top Shot.
Top Shot has processed over 13 million purchases while enrolling over a million users. This method is now being used in other sports such as baseball (Topps MLB), football (Sorare, Socios), and auto racing (F1 Delta Time). Also newly unveiled is ONE Championship’s market on the Theta blockchain, with NFTs enabling special access to actual perks like backstage access, ringside seating, and other customized fan interactions.
Special NFT releases by athletes are also energizing their passionate fans, with boxing champion Tyson Fury, offering an exclusive token for just under a million dollars. The buyer also got an autographed boxing glove and a customized video from the self-proclaimed Gypsy King. It’s natural to ask what comes next. Then enthusiasts and investors will have a wealth of virtual collectibles. Or will NFTs be used in more inventive ways, providing fans with cool perks?