The year 2022 has seen a dramatic price drop in crypto as well as NFTs. After facing a brutal crypto winter, people helplessly watched the value of NFTs slump. Despite the bankruptcies and collapses that poured cold water on NFT efforts, some individuals have earned a fortune from their NFTs. On the other hand, many lost everything as NFTs that were worth millions were not even selling for a dime.
A huge drop in price is concerning, but it need not spell disaster. Against all odds, many big brands and businesses ventured into the NFT space in 2022, seeing the potential. To name a few, Starbucks, McDonald’s, Nike, Porsche, L’Oreal, Adidas, and Coca-Cola are some of the biggies who capitalised on the NFT trend.
This goes without saying, but the year 2023 holds a lot more potential as the rival brands are also expected to jump on the NFT bandwagon to maintain their pace of technological advancements.
If you have just begun exploring the NFT space and have no idea how NFTs have exploded in popularity or what NFTs actually are, then let’s define it. A non-fungible token (NFT) is a digital representation of legal title to a one-of-a-kind online media asset. This might be anything from a painting or song to a 3D model of a product.
Like cryptocurrencies, NFTs rely on the blockchain to record transactions. People typically use cryptocurrencies to purchase NFTs. Now, it’s time to understand what influence NFTs can have on future developments.
The Influence of NFTÂ
The Federal Reserve Board of Governors sees annual inflation of around 2% as desirable. That interest rate is likewise recognised globally. Stocks, along with many other essential commodities like gas, have been negatively impacted.Â
A drop in trading volume for NFTs can be attributed to high inflation making consumers less able to spend and trade in these instruments.
Some people have even gone so far as to say that the NFT sector has completely collapsed last year. The NFT marketplace is still quite profitable despite the effects of inflation.Â
The value of the NFT market is predicted to range from $800 million to $4 billion. While the economy recovers, investors are sitting on their NFTs.Â
The Era of Nike NFT Has Just Begun          Â
Brands like Nike are considering adopting NFT technology to expand their market. The manufacturer of athletic wear has now announced the availability of a customised Web3 system.Â
Nike’s Swoosh marketplace uses Polygon NFTs to sell a wide variety of digital Nike products. For these NFTs, the Polygon blockchain is the one of choice. By teaming up with Polygon, Nike has made it simple for everyone to purchase NFTs.Â
For their in-game characters, consumers may purchase Nike apparel ranging from tees to sneakers. To begin, simply acquire some Ether (ETH) or MATIC tokens and load them into a digital wallet. Nike is a pioneer in putting NFT to work in the real world.
Early in 2023, both the system and the first Nike NFT clothing line will be released. Anyone can afford these forward-thinking NFTs, contrary to popular belief.
Nike has announced that it will retail the high-tech shoes for much less than $50. The NFT revenues from Swoosh have brought in over $90 million for the company so far. Clearly, it has its sights set on keep going in a time when NFTs are commonplace.Â
However, these NFTs are also entertained by trade assistance sites like the-bitcoinsrush.com. These sites aid traders with worthy investing suggestions after analysing the current market situation based upon their AI- algorithms.Â
The Craze of Bored Ape NFTsÂ
One of the most well-known NFTs is the Bored Ape Yacht Club. Two years ago, the art series starring 10,000 personalizable cartoon apes skyrocketed in popularity.Â
There was a $3.4 million sale of a Bored Ape in 2020 and a $1.7 million sale of another in 2022.
Although many Bored Apes are still worth well over $100,000, their average value has decreased. Bored Ape #232 sold on November 24, 2022, for over $1 million. For certain Bored Ape Yacht owners, it’s tough to unload their expensive non-fungible tokens.Â
The market’s apparent demise is not shown here. The number of people looking for the Bored Ape Yacht Club online is rising rapidly; in the past month alone, there have been around 10,000 such queries.
Elon Musk to Becoming The Owner of Twitter Â
There is a lot of activity among NFT fans on Twitter. For incorporating NFT technology, this platform has shown to be one of the most helpful. Twitter announced the addition of NFT profile images in early 2022.Â
Twitter Blue users can flaunt their NFTs in an attractive hexagonal profile frame. Verification and a blue tick are two additional benefits of the premium subscription. It was a great place for people interested in NFTs to meet and talk about the topic.
Elon Musk, already the CEO of Tesla and SpaceX, now also serves as CEO of Twitter. After spending $44 billion, Musk completed his acquisition of the network in October 2022.
A lot of people believe the billionaire is a hidden NFT admirer because he has said both that he hates them and that he loves them. Twitter’s eagerness to accept digital payments is highlighted by recent developments.
The Progressive Fusion of Blockchain & GamingÂ
Many people underestimate the adaptability of NFTs. NFTs have enormous promise in the gaming business, and not just as a complement to works of art. Inflation is to blame for the present market slump in volume and sales.Â
This could be due to the fact that NFTs are still being adopted by the gaming industry. There were a lot of well-received NFT-based games during the recent crypto bull cycle. Take the MMORPG Axie Infinity, for instance, where users can train pets and engage in PvP. Success in the previous cycle is indicative of future success.
Digital assets such as character skins, firearm skins, and rare items are commonplace in games. As of right now, you can play for real money in the Metaverse on games that use NFTs.Â
Blockchain-based NFT games include Alien World and Bomb Crypto. By participating in the game, players can acquire NFTs and other cryptocurrencies with real-world value.
The vast majority of PC gamers would be interested in utilising virtual currencies when playing online games. Studios making video games are eager to use crypto revenue methods.Â
In this way, players will gain many advantages. They consist of a large variety of crypto assets, instant transactions, global accessibility, and privacy.
The Break In CloudsÂ
You have likely read about the purchase and sale of NFTs for hundreds or thousands of dollars. Based on these papers, breaking into the NFT industry appears to be next to impossible.Â
Even if you still think NFTs will succeed in the long run, the present bear market makes that hope seem a bit flimsy. On the contrary, if you look into real facts, you’ll see that the benefits may justify the dangers.
You can invest in NFTs without having a million dollars lying around or even hundreds. Moreover you can even create your own NFTs. Â
There is no guarantee that NFTs are doomed by the current market climate. In point of fact, we have presented arguments that disprove this. The development of Web3 will include NFTs, and they will be adopted by a wide variety of platforms.
The applications of NFTs are practically endless, ranging from the new Nike NFT range to virtual reality gaming. In the near future, demand will increase as their commercial applications mature. NFTs, like cryptocurrencies and stocks, are risky investments yet are worthwhile in the long run.Â
Investing in NFTs can be a fun pastime or a wise financial move, depending on your motivation. Make your own NFT experiment! However you look at it, NFTs are a fantastic way to participate in the emerging Web3.
