The NFT business of the sprinting $1 billion giants is on the way

More and more global industry giants have come up with the idea of ​​NFT.

Meta (the world’s largest social platform), Ticketmaster (the largest ticketing platform in the United States), Nike (the world’s largest sports brand), NBA (the world’s largest basketball event), Louis Vuitton (the world’s largest luxury goods group)… …more and more global industry leaders are beginning to pay attention to NFT business, and companies with earlier layouts have already gained considerable income.

Tiger Sniff observed that since the popularity of NFTs, the NBA, the world’s largest basketball event, has completed more than 1 billion US dollars in sales revenue; the world’s largest sports brands Nike and Adidas have both received nearly 200 million US dollars and more than 100 million US dollars in sales revenue. ; The income of Louis Vuitton, the world’s largest luxury goods group, is even more difficult to calculate. Its well-known brands: Givenchy, Bulgari, Louis Vuitton, Hennessy, Dior, Tiffany, etc. have all sold various NFTs… …And these giants deployed NFTs and achieved good revenue, which generally only took more than a year.

In the past six months, a trend has become more and more obvious: more and more companies, especially “global leading companies” have begun or increased their investment in NFTs. And these leading companies have directly driven the entire industry to enter NFT.

NFT (Non-Fungible Token), a digital certificate based on blockchain technology, is considered a unique digital asset. In the offline world, a physical book of Haruki Murakami is only a few dozen yuan, because there are tens of millions of the same book on the market. However, if Haruki Murakami makes his “Norwegian Forest” a limited-issue NFT on the Internet through the NFT platform, the price of the NFT may be hundreds of thousands or even millions of yuan. In the same way, whether it is Louis Vuitton, Nike, or the NBA, they all have their own classic works that can even go down in history, and they are still creating new works or wonderful moments. And these wonderful and moving works cannot directly bring instant benefits to enterprises under the previous technical system. The emergence of NFT has changed this.

It has been found that the more a company has a good reputation, high customer loyalty, a large number of users, and a lasting brand, the more revenue NFT can bring to the company. As a result, NFT has become a money printing machine for some century-old stores.

This is just the beginning. NFTs are rampaging in the real world like savages, trying to emulate the Internet and bring their influence to every corner of the world. The first batch of large-scale enterprises that have achieved rapid business growth due to NFT will soon be born.

“Money Printing Machine”

NFTs, are at the tipping point of mass adoption.

According to incomplete statistics, more than 30 industries have begun to deploy NFTs on a large scale, including the luxury goods industry, sportswear industry, automobile industry, sports events, Internet industry, media industry, film and television industry, music industry, food and beverage industry, etc. .

To judge whether NFT can be accepted by the public, and in which industries and fields can be the first to gain the favor of users, sales are an indicator worthy of attention. According to data from blockchain company Flow, NFTs have earned more than $1.17 billion for the NBA, a world-renowned basketball event. The NBA’s NFT project, NBA Top Shot, has been widely praised by users.

Today, NBA Top Shot has more than 1 million users, and the NBA will make NFT videos of the stars’ goals, allowing fans to freely buy, trade and collect. When Kobe Bryant jumped and scored a crucial goal; when Ronaldo scored a hat-trick to change the end of the game, the moment was wonderful, and people wanted to collect it. And publishers such as NBA ensure that the moment can be recorded and formed as an NFT with unique collection value through NFT technology.

The NBA’s successful promotion of NFTs to the public is not an isolated case and can be replicated. For example, the National Football League has also launched the NFT business, and as of August 26, 2022, it has obtained $78.7 million in sales revenue.

Huxiu found that from basketball, rugby, football, tennis… almost all large-scale sports are promoting the combination of NFT and these events. The NBA is one of the best, and it has a strong appeal and rich sports data resources. Before that, the data didn’t have much commercial value.

The advent of NFTs has changed this.

In addition to sports events, NFTs have also been favored by major sports brands. At present, both Nike and Adidas are making a lot of money in NFTs. Nike has now earned more than 100 million US dollars in revenue, and Adidas’ sales are also approaching this figure. It is hard to imagine that NFT, a new technological form, has brought hundreds of millions or even billions of dollars in revenue to many traditional enterprises in a very short period of time.

And the small target of 10 billion seems to be waving to the first large enterprises to enter NFT.

Similar to the sportswear industry such as Nike, luxury goods is also an industry that is naturally integrated with NFTs. For high-quality, high-end consumer brands, providing users with unique customized products and feelings has always been the goal they pursue. However, many companies spend a lot of money on countless advertisements, and the effect is only staged, and companies often cannot solve this problem from a technical level. For example, the Tiffany NFT limited-edition necklace priced at 330,000 yuan was sold out in 20 minutes. It is characterized by a combination of virtual and real. When you have an NFT necklace online, you will also get the same physical necklace offline.

It should be pointed out that NFT is still a too early technology or product form. Many products have not stood the test of time, and it is impossible to fairly and securely reflect the value of data in a short period of time. At present, even in most situations, people buy NFTs not because they recognize the value of one thing, but many are just pure speculation. This is also the process of the market advocating bubbles that a new technology will inevitably encounter in the process of development.

NBA sales revenue exceeds 1 billion US dollars, Nike sales revenue is close to 200 million US dollars, Tiffany and other major luxury brands continue to make efforts… NFT broke into various industries with lightning speed, it seems that every industry It all blends in. There are other questions before people: what more help this business model can bring to the real economy? Is it sustainable? Who will become the second and third to earn more than 10 billion yuan from the NFT business alone?

Besides marketing, what else can NFTs do?

A strategic investment manager of a major Internet company once put forward a soul torture: What impact does NFT have on the real economy?

This question is directly related to whether NFT can reach 1 billion or more people, and it is also a question that many officials and entrepreneurs are thinking about, from the United States to Japan to China.

The former CFTC (US Futures Trading Commission) chairman also mentioned this issue and expressed his views in his new book “CryptoDad”. “In 1990 it was not clear what impact the Internet had on the real economy, and soon after, many of the Internet companies that still exist today became the most important drivers of the global economy, and there was no such model before, as is the case with Crypto today. Or Web3 Inc.”

Back in 1998, Yahoo was one of the largest Internet companies in the world at that time, and its main revenue business was actually placing advertisements for Coca-Cola, Nike, and Louis Vuitton on the Internet. In fact, the Internet ecology at that time was too single, and it was difficult for people to see the huge help the Internet had on a country’s real economy.

The same is true for NFTs. At present, the value that NFTs bring to the real economy is mostly reflected in marketing. However, there are also companies that are experimenting with the more special and unique value that NFTs can generate. Among them, TicketMaster, the largest ticketing platform in the United States, and Meta, the world’s largest social giant, have attracted people’s attention.

For half a year, Ticketmaster and blockchain company Flow have quietly launched NFT pilot programs, such as automatically issuing ticket NFTs as souvenirs to participants of specific Super Bowl LVI events. It is reported that in the six-month pilot program, they minted more than 5 million NFTs.

In fact, like Nike and other companies, Ticketmaster discovered the value of blockchain very early. In 2018, Ticketmaster acquired UPGRADED, a company that uses blockchain to convert physical tickets into digital tickets. The blockchain can make the issuance and resale of each ticket open and transparent, and anyone can inquire. And scalper tickets and fake tickets have always been a problem that the ticketing company has not been able to solve.

Ticketing is a scene that can cover most of the crowd. Whether it is a movie, a music festival, a sports event or a variety of activities, tickets are an extremely wide-ranging scene. It is also one of the easiest scenarios for NFTs to reach the level of 1 billion users and break the circle on a large scale.

However, it is not easy for blockchain technology to be implemented in practical scenarios. Until the emergence of NFT, Ticketmaster found that there are new solutions to many problems in ticketing. In July 2022, Ticketmaster released an announcement to recruit a product manager for NFT ticketing tools, with the goal of productizing ticketed NFTs.

Many people in the industry have discovered a broad market for ticketing combined with NFTs. Binance, which has just been promoted to the sixth place in the Forbes Global Unicorn, has discovered this, emphasizing that NFT tickets can solve the problem of fake tickets and scalping. Its executive Zoe Wei said that the launch of NFT tickets shows that NFTs have a variety of usage scenarios, and he said that NFT-based tickets may eventually expand from sports to the wider entertainment industry. Currently, Binance has partnered with Società Sportiva Lazio to launch NFT tickets for all of the sports club’s home games at Stadio Olimpico.

In Europe and the United States, more and more ticketing companies, sports clubs, sports brands, and entertainment companies have chosen to cooperate with blockchain companies such as Binance and Flow to expand their NFT business. And NFT solves a series of problems such as scalper tickets, fake tickets, and resale for these traditional industries through its traceability and data pricing.

In addition to ticketing, another scenario that can take the lead in bringing NFT to the public is the Internet platform. Tiger Sniff observed that at present, Meta (the largest social company in the United States), Tencent (the largest social company in China), Line (the largest social company in Japan), Vkontakte (the largest social company in Russia), Twitter…all the world’s Well-known social giants are embedding NFTs into their most important phenomenal products.

Among them, Meta has been very active in the past six months, and even its CEO Zuckerberg is directly involved in the NFT business. Zuckerberg hopes that NFT, a data form that is decentralized, can be directly linked to currency, and can price online works, can stimulate the creative passion of Meta ecological creators. At present, the two most important products of Meta: Facebook and Instagram already allow users to publish NFTs. These two products reach almost one-third of the world’s population.

If most of the companies that have achieved revenue growth through NFTs are using the marketing value of NFTs, then ticketing platforms, Internet platforms, and automobile companies use NFTs in more diverse ways and with different goals.

NFT is getting rid of the inherent impression that people can only generate marketing value, and solve more practical problems such as counterfeiting, creator economy, and auto parts confirmation.

Posted by:CoinYuppie,Reprinted with attribution to:https://coinyuppie.com/the-nft-business-of-the-sprinting-1-billion-giants-is-on-the-way/
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