Visible things with social proof have always attracted us. Although NFTs have been a total razzmatazz since 2021, their varied use cases are still intertwined, and their possibilities are often undermined. Below are the top 10 NFTs forms/use cases that you need to know before you venture into this exciting new space:
- Art NFTs: Some of the most expensive and common forms of NFTs, such as Larva Labs’ Cryptopunks and Yuga Labs’ Bored Ape Yacht Club. This type solves the problem of fake productions of original artworks, which bereft artists of a crucial part of a dedicated artist’s lifework: recognition and authenticity.
- Collectibles NFTs: Recollecting the case when Logan Paul got served with a fake Pokemon card for which he spent $1 million, it is an interesting use case to know how NFTs are filling this authenticity gap in the collectible industry.
- Sports Moments NFTs: Top examples include NBA Top Shot Marketplace, where fans can buy iconic basketball moments in the form of pictures or videos.
- Music NFTs: Due to the dominance and oversaturated markets ruled by streaming platforms, music NFTs allow a direct fan to artist interaction, thus giving value to both parties through direct ownership for fans and more significant revenue for artists.
- Gaming NFTs: The NFT Metaverse economy is the soul of blockchain gaming. Things like in-game NFTs embody the earliest impressions of the blockchain tech by immersing with the gaming market of around USD 300B. Examples include CryptoKtties and Axie Infinity.
- Domain Names NFTs: They are asset classes in themselves. Protocols like ENS provide the ownership authenticity of the domain names coupled with NFTs forms.
- Virtual Lands NFTs: Metaverse hype has made the concept of virtual lands in places like ‘the Sandbox Game’ sell for millions. Revenue generation activities like hosting concerts, parties, and development activities are becoming significant income sources for the owners.
- Real Estate NFTs: With Real Estate, the costly and lengthy paperwork involved is cumbersome and makes the process of buying unappealing. However, with Real Estate NFTs, this process is wholly digitized using smart contracts, allowing for purchases with a button click.
- Fashion NFTs: Giants like Gucci & LVMH made millions from their NFT drops displaying a series of innovations and advancements in fashion trends and ideas, signaling the industry’s receptiveness to the scope of digital representation through NFTs.
Financial NFTs: Being versatile, authentic, and unique contracts, NFTs can also be used as collateral, securities, and trading instruments to exercise DeFi services like lending, borrowing, and yield making.
