Non-fungible tokens (NFTs) – encoded digital assets that can be bought and sold over the internet – have undoubtedly taken the collecting and investing world by storm over the past couple of years. From bored monkeys and cartoon images to intricate digital art and the latest songs from famous musicians, it seems anything and everything can be turned into NFT. And there also seems to be an insatiable appetite for just about anything that’s come to market.
While not every NFT project is a huge success, the numbers tell the story of a market literally exploding before our eyes. According to DappRadar, which collects data on ten different blockchains, the ledgers used to record who owns a particular NFT, total global NFT sales have fallen from $94.9 million in 2020 to $24.9 billion in 2020. 2021.
While some mainstream market and investment analysts warn that NFTs are just speculative bubbles, the companies getting involved and cashing in are some of the biggest in the world. Coca-Cola, Gucci, the National Basketball Association (NBA), Visa, Budweiser, Nike, Pizza Hut, and auction houses Christie’s and Sotheby’s have all dipped into the NFT realm. Many other Fortune 500 companies are considering selling NFTs.
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On the investment side, the startling numbers tell the story of a world that is hardly a passing fad. According to data compiled by PitchBook, a company that tracks private investment, more than $3 billion in private investment flowed into NFT companies in 2021.
French NFT company Sorare, which sells football NFTs, has raised US$680m led by Japanese investment giant SoftBank. Dapper Labs, the company that launched the hit Top Shot NFT collection in partnership with the NBA, recently raised $250 million from a group of leading investors. Last January, OpenSea, one of the largest exchanges for people to buy and sell NFTs, raised $300 million in venture capital funding. OpenSea has been in business for just four years and is already valued at $13.3 billion.
One of the biggest issues for companies that create NFTs and provide marketplaces for buyers and sellers to do business is that accessing, buying, and selling NFTs can be quite complicated, especially for waves of newcomers and enthusiasts eager to enter a hot market.
And clearly, there are plenty of newcomers out there who want in on the action. In mid-2021, the most searched NFT term on Google was “buy nfts”, while the second most searched was “sell nfts”. According to a 2021 Sotheby’s report, 78% of NFT bidders were new to the auction house and more than half of them were under the age of 40.
As NFTs become more mainstream, the need for familiar ways to trade these assets will become essential. Most collectors don’t have the time or energy to understand the often complicated world of crypto and blockchain. They want what they want, and they want to buy and sell it as they please. The same could be said for artists and athletes and others who want to be creators. The process should be simple and easy to manage.
A new project that has taken this concept to heart is fanpagea new NFT platform that works with major sports and music stars to create unique NFTs for NFT fans and collectors.
On the creator side, Fanpage specifically works with music artists, influencers, and high-profile athletes, unlike other platforms that allow anyone. Fanpage employs a creative team to help talent develop unique and one-of-a-kind artwork. Some of the musicians who will have NFT drops via Fanpage in the coming weeks include the Osborne brothers, Jimmie Allen and Matt Stell, among others.
Fanpage also places a big bet on first-to-market collectibles with its Future All-Stars series, which features rising college baseball stars and other college athletes. For savvy collectors, this could prove a golden opportunity to enter the ground floor of a whole new world of collecting, as college athletes take advantage of new rules put in place by the NCAA and various states. of the country allowing them to profit outside of their name, image and likeness (NIL.) If one or more of these college stars become a major professional player, the collector could one day be sitting on a very valuable asset.
Another very unique feature is that Fanpage allows artists to sell their NFTs directly on their own websites. This is something completely new to NFTs and will allow artists to deal directly with their fans, rather than having to find their favorite artists on a third-party site.
Perhaps most interesting is how Fanpage has built its platform with ease of access in the NFT, crypto, and blockchain realm. Fans can purchase NFTs with a simple credit card transaction while allowing NFT enthusiasts to easily resell their NFTs on third-party marketplaces like OpenSea. Most platforms that allow consumers to purchase NFTs with credit cards require the consumer to store that NFT on that platform.
Fanpage also took into consideration one of the biggest issues with NFTs; that the Etherium blockchain on which most NFTs are built is extremely unfriendly to the environment. Fanpage is built on the Polygon blockchain, a climate-sustainable blockchain that is over 99.9% more carbon efficient than Ethereum.
As the world of NFTs continues to develop and grow exponentially, more consumers new to crypto and blockchain will surely want to get in on the action. The key for businesses looking for success will be to provide easy entry and familiar ways to trade, providing a win-win situation for everyone involved.