NFTs, or non-fungible tokens, are a technology that has taken the “traditional” industries by storm in recent months. They can be used to represent unique and indivisible objects such as artworks, videos, songs or iconic sports moments.
In this article, we will explore the emerging use cases for NFTs in these industries, and examine why they are so attractive to consumers and investors.
Use Case #1: NFTs in video games
Video games are one of the most popular areas where NFTs are used. Game developers can use them to create unique items, such as weapons, skins or characters, and sell them as tokens.
Players can then purchase these exclusive items with a currency (mostly virtual game currency) and own them permanently.
The game “Axie Infinity” is a concrete example of the use of NFT in video games. Based on the Ethereum blockchain, it uses NFTs to represent virtual creatures called “Axies”.
Players can buy, sell and trade these Axies, as well as use them in-game to fight and earn rewards.
Use case #2: NFTs in music
The music industry can also leverage NFTs to create new business models. Artists can sell NFTs representing their music, allowing fans to buy shares of the music they love and support their favorite artists.
NFTs can also be used to create unique online concert experiences. Artists can sell tokens that provide access to an exclusive online concert, as well as perks such as meet-and-greets with the artists or limited editions of a song.
A concrete example? Artist 3LAU sold a full album as an NFT for over $11 million. Each NFT represented a part of the album and allowed its owner to benefit from exclusive privileges, such as tickets to the artist’s concerts.
Use Case #3: NFTs in Art
NFTs also have great potential in the art world. Artists can sell NFTs representing their digital artworks, allowing buyers to own a portion of the work exclusively and indivisibly.
NFTs also allow artists to receive royalties each time their work is sold on the secondary market, which can help them monetize their work more effectively.
Artist Trevor Jones is an excellent example of the use of NFTs in art. He sold a piece of digital art, the famous “Picasso’s Bull” piece, for $55,555 in February 2021.
The work was sold on the online auction platform SuperRare and represents a digital interpretation of a famous lithograph by Pablo Picasso. The buyer has acquired the work as an NFT and can now own it exclusively.
Use Case #4 – NFTs in Sports
How can we talk about NFT without talking about sports? Probably one of the industries where the potential of NFTs is greatest, especially in creating unique experiences for fans.
Sports clubs can sell NFTs representing key moments in the team’s history, such as goals, baskets or famous actions, as well as exclusive items (signed jerseys, game souvenirs, etc.)
Fans can then purchase these NFTs and own them exclusively, while supporting their favorite team.
A concrete example of the use of NFTs in sports is NBA Top Shot, an NFT trading platform launched in 2020 by the NBA. Fans can purchase NFT packs featuring famous NBA moments, such as spectacular dunks or buzzer beater shots.
NFTs can then be traded on the secondary market, giving fans the opportunity to own a whole bunch of unique moments from NBA history.
We can also mention the Fantasy Football game Sorare, where the objective is to create a team of 5 players thanks to collectible cards of your favorite footballers. Depending on the actual performance of your players, you will earn rewards.
Use Case #5 – NFT in Real Estate
NFTs can also be used in the real estate industry to represent properties. Owners can sell NFTs representing their property, allowing potential buyers to own a portion of the property exclusively and indivisibly.
NFTs can also be used to represent fractional ownership, allowing buyers to own a portion of the property without having to purchase the entire property.
Here too, there is no shortage of examples. Among them is the company RealT, which allows investors to buy shares in real estate properties in the form of NFTs.
The properties are located in U.S. cities such as Detroit and Miami, and investors can purchase shares in these properties using cryptocurrency.
As you can see, NFTs offer unique opportunities in various fields such as video games, music, art, sports and real estate. They are creating new business models and exclusive experiences for fans, while providing unique benefits and challenges for these industries.
With real-world examples such as “Axie Infinity,” 3LAU, Trevor Jones, the NBA Top Shot and RealT, it’s clear that NFTs are here to stay and can transform the way we buy, sell and own digital objects.
