NFTs have made possible a host of things including the Metaverse.
The Year 2021 belongs to the Non-Fungible Tokens (NFT). So much was the rage for NFTs that it was chosen by the Collins Dictionary as its the Word of The Year.
NFTs began experiencing widespread media coverage when digital artists pocketed vast sums of money for their creations.
Digital Artists Selling Their NFTs
One of the most notable auctions of NFTs is that of the artist Beeple. His artwork is named EVERYDAYS: THE FIRST 5000 DAYS. It was auctioned off by Christie’s on March 11 and fetched an amount of USD 69,346,250.
Later its record was broken by MERGE by Pak on December 7. Barrons has cited Nifty Gateway, a leading NFT marketplace, and claimed that the artwork holds the record for the largest sum earned by a living artist.
NFT Makes Metaverse Possible
But this isn’t the only impact of NFTs. They made possible the Play-to-Earn GameFi universe. By storing a user’s purchases on the blockchain, NFTs have opened a new source of income for gamers who just have to clear the stages and earn tokens.
Unsurprisingly, DappRadar has ranked Axie Infinity, a Play-to-Earn game, as the highest generator of volumes for NFTs, with all-time volume standing at $3.81 billion. Its revenue grew 48 times in quarter 3.
Beyond gaming, the whole Metaverse is based on NFTs. Every user has an avatar and property owned on a blockchain.
An NFT can be used to back any reproducible piece of data, for instance, images, videos, sound, etc. This can also help in authentication and protect intellectual property. This has empowered creators and developers.
Will NFTs carry on the same craze in 2022? Comment below.
News recommendation: As per GST Department, WazirX has Evaded Taxes of INR 40.5 Crore!