We are excited to bring Transform 2022 back in-person July 19 and virtually July 20 – 28. Join AI and data leaders for insightful talks and exciting networking opportunities. Register today!
The digital asset industry has exploded over the last two years. But there’s still a hefty dose of skepticism when it comes to cryptocurrency and non-fungible tokens (NFTs). NFTs especially have developed a stigma due to the commonplace of scams, rug pulls and counterfeits.
While some may struggle to see the value of a digital image or similar items, others have jumped in headfirst. In fact, 2021 saw NFT sales eclipse $17 billion. These new digital investments have provided artists with an entirely new way to monetize their art. Not only that, but the buying, selling, and trading of these tokens have made it quite a lucrative business for others as well. I speak from personal experience as we recently launched an NFT collection that saw 9,993 NFTs sell out in 48 hours for roughly $4.8 million.
But as with any industry, where there’s innovation, there’s also room for those who take advantage of it for their own good. This, however, shouldn’t negate the good that can be done with blockchain technology and NFTs. This new wave of innovation has introduced entirely new ways to help change and improve countless lives across the world. Here are three benefits for those not as familiar with NFTs, and why they should get involved.
Ethical investing digitized
Ethical investing has become increasingly important in today’s world. People are more aware of where their money is going, what it’s supporting, and how it’s being used. This has encouraged companies to pioneer social causes and goals such as zero carbon emissions and ethically sourcing materials. Digital assets are taking this to the next level.
While there isn’t a strict category for these types of digital assets, several notable projects have incorporated charity and social causes as part of their mission. One such project is my own NFT studio, Meta Brothers. We’ve made it our mission to donate a portion of our profits to Drop4Drop. Since its inception, the company has donated approximately $150,000 and is building 80 water wells in underdeveloped countries in partnership with Drop4Drop, changing the lives of roughly 80,000 people.
As the CEO of Meta Brothers, I have made it my focus and priority to build a strong NFT brand that provides holders both long-term value and benefits, while helping those who are less privileged. Prosperity should be something shared with everyone, and I view it as part of my obligation to give back and help make the world a better place.
This isn’t the only project focusing on inclusion and philanthropy, either. KRebels, a Koala NFT project, promised to donate $50,000 to the International Fund for Animal Welfare (IFAW), as well as 5% of its ongoing sales.
The Women Rise NFT is a collection of NFTs celebrating strong female leaders throughout the centuries and focusing on encouraging diversity in the Web3 space. The project also donated 2.5% of its sales to the Malala Fund. This has shown that NFTs are a great way to do product social engineering.
NFTs can be a life-changing investment opportunity
But blockchain technology isn’t just changing lives through social causes either. Digital investments have the ability to change an individual’s life through monetary means as well. Decreasing interest rates and inaccessible investment opportunities have encouraged the growth of digital assets such as NFTs.
Compared to savings accounts with dismal interest rates, the Web3 ecosystem offers considerable potential with new NFT projects and decentralized financial applications. Not only that, but NFTs are quickly becoming the go-to medium for unique online artwork, music, videos and more.
A popular example of an NFT being a great return on investment is the Bored Ape NFT. The cheapest NFT was sold for approximately $70 in early 2021. Now NFTs from that same collection are worth up to $290,000. The CryptoKitties collection is another example, which had sold for $3.24 in 2017 and as of December 2021 was worth over $250.
From another perspective, digital investments are something that anyone can participate in. They often don’t require the same kind of initial large sum of money that traditional investments may require, and are open to most individuals, regardless of where they live and what social class they may be in. This has helped create an even playing field and provided access to a wide variety of opportunities.
Even those uninclined to purchase NFTs can still benefit from their growth. Cryptocurrencies are quickly growing alongside NFTs and have proven to be interesting investments in themselves. There’s a lot that can be done with cryptocurrency, and purchasing NFTs is just one of those facets.
Using NFTs to build or extend your brand
Some of the biggest brands from Nike to Gucci have embraced NFTs as a new way to expand their brands. Celebrities such as Floyd Mayweather and Snoop Dogg have also introduced their own NFTs, as well as worked alongside other projects. And while some may be doing this to make a “quick buck,” many see this as a new opportunity to engage their customers and fans.
NFTs provide an interesting avenue when it comes to engaging with fan bases. Not only do they provide a new medium for companies to reach their audience, but they provide NFT holders a way to benefit and profit as well.
But you don’t have to be a celebrity or big brand to create NFTs either. With the development of easy-to-use tools, anyone can create their own NFT or NFT collection. While the NFT creation process is simple, it’s the marketing that can be tough on individuals. Celebrities already have a large following to utilize, but smaller creators will need to put in work to market and generate noise around their NFTs.
Focus on engaging your audience through social media and apps such as Discord. It’s important to build a story and community around the project. People want to identify with and support causes that align with their own experiences.
Try to build some utility or interesting aspects into the project. There are a lot of NFTs to compete with, so setting yourself apart is crucial. This is where things such as donating to a social cause can really help.
Creating your own NFT collection isn’t an easy process, but it can be incredibly rewarding for both you and your following. Invest in your audience because they are the ones investing in you and will ultimately decide whether the project is a success or not.
Tamara Yannay is the CEO of Meta Brothers and House of Legends.