We’ve asked Chat GPT about the 3 main concerns related to NFT ticketing and answered them through this article.
We’ve said it before, but we’ll say it again. Here at Oveit, we feel that NFT ticketing is the future of ticketing. The benefits offered by blockchain technologies have the power to fundamentally change the industry for the better. These tokenized tickets are not only protecting your community against scalpers and fraudsters. They’re doing it while allowing you to create new, immersive experiences for your attendees.
Unlike traditional tickets, which generally allow their holders access to a specific venue or area, NFT tickets have the ability to govern the connection between you and your community. While still serving a ticket’s primary meaning, they also govern loyalty memberships, can store extra physical or digital products, and offer access to #web3 experiences. Not to mention that their immutable nature transforms them into desired collectibles!
But as with any emerging technologies, there are valid concerns that need to be addressed. Whilst implementing NFT tickets for events around the globe, we’ve had a chance to see what people’s main concerns are.
But for this article, we’ve decided to have a different approach. We’ve asked Chat GPT to tell us what the 3 main concerns people may be having when considering implementing NFT tickets for their events. We’ve then addressed these concerns and answered them ourselves.
Just to add, we do agree these concerns are normal to have, but as you can see below, using Oveit’s NFT ticketing is easy to use, extremely accessible, and nothing to be concerned about!
Our NFT ticketing system has been created to be user-friendly and intuitive, making it easy for anyone to use. As an event organizer, no #web3 technical knowledge is required. We’ve built our NFT solution to work on top of the existing ticketing processes and we handle all the technicalities. All that’s needed is a wallet address to use for any incoming royalties in the future. If an organizer doesn’t have a wallet, we can set up the NFT tickets under our collection, so even #web3 beginners can easily sell NFT tickets with Oveit.
For ticket buyers, the process is equally simple. NFT tickets are minted straight to the buyers’ wallets, and all they need to do is connect their wallet address to receive the smart tickets. What happens if somebody with zero blockchain experience wants to buy a tokenized ticket? Besides non-custodial wallets, we also support custodial wallets such as Gryfyn. So somebody completely new to this space can easily open a wallet using their email address. And once they set up a full KYC with the wallet, assets can be recovered even if they lose their login credentials.
Issuing, distributing, and tracking NFT tickets are all done through our proprietary system and partners’ network, allowing our users to use these features without any #web3 technical know-how. We’ve developed a full smart ticketing process that can be used by anyone interested in the benefits of blockchain technologies, even without any experience in the area.
Here are some of the use cases:
Our network of payment processing partners allows you to sell tickets for both fiat and cryptocurrency and receive your money in fiat currency, regardless of how your customers decide to pay.
You can sell NFT tickets even if you don’t own a crypto wallet. All smart tickets can be deployed under Oveit’s collection, so you and your community can benefit from all the perks without worrying about the complexity of the process.
Anybody can buy an NFT ticket, even customers who haven’t interacted with #web3 technologies before. NFT tickets can be bought with fiat currency through traditional card payment, just like any other electronic ticket. Customers who don’t own a crypto wallet can easily open a Gryfyn wallet – a custodial wallet that requires only a valid email address.
With Oveit, NFT tickets can be scanned just like regular electronic tickets. We’ve worked hard to create a smart ticketing process that resembles the traditional eTicketing process. Although based on blockchain technologies with improved capabilities, the interaction is as smooth as the current process. Your customers will show you a QR code that you scan with our mobile app. In the background, this technology completely changes the process, making it safer for all parties involved.
With Oveit, you can use our mobile apps to scan electronic and NFT tickets, together with all the included perks. Our NFT ticketing capabilities are built on top of the existing ticketing process – ensuring a smooth process for both. No special hardware or additional software infrastructure is required in order to use our smart ticketing solution.
When it comes to costs, we’ve kept them simple as well. While Oveit runs on a subscription model, for NFT tickets we’ll take care of all the minting costs and charge just a small percentage of the cost of these tickets. This way, you’re sure that you will never have to pay anything extra for the blockchain technology that supports the NFT tickets – you’ll pay just for the minted tickets.
We hope this article helped you get a better understanding of how we address the main concerns regarding NFT ticketing. And although we’ve focused on what are, according to Chat GPTthe 3 most common, we know that there are other questions you may have. So here is what we want you to do:
If you have an NFT ticketing-related question for which you haven’t found an answer, leave it in the comments. And we’ll answer it for you. Meanwhile, we’ll keep asking Chat GPT to see if other relevant questions appear – and we’ll update this article accordingly.
This blog post explores the advantages of using NFT ticketing compared to traditional (e)ticketing for event organizers. NFT ticketing provides a more secure and personalized experience for ticket holders, while allowing for better control over the secondary market and generating more revenue. On the other hand, traditional ticketing offers a more familiar and accessible experience compared to NFT ticketing.
Due to their specific nature, NFTs have rapidly gained attention and traction. The blockchain-based digital assets solve many of our current problems in several industries. And event management makes no difference here. However, although they have been used for numerous events, there is a legit question: are NFTs usable in large events? During this article we are going to answer this question, arguing why we could and should use NFTs in events. Be they large or small.
While blockchain technologies in general and NFTs, in particular, serve a wide range of industries, entertainment is one particular area where these technologies will completely change how stakeholders interact. It’s going to change it fast, making the industry safer, equitable, more engaging & entertaining, and ensuring a more equitable financial distribution amongst creators. And most importantly, NFTs will help you serve your attendees better.
Let’s see how!
How NFTs are helping event organizers
As an event organizer, delivering an enjoyable experience to your community is the top priority. However, regardless of the amount of work you put in, some things are just out of your control. But fear not: some of these issues can be easily solved through NFTs.
One of the biggest concerns, especially when it comes to large events, is related to event tickets. Unlike other goods, tickets to an event, no matter how big the event is, are limited. No matter how much we would like to, there is a limit that cannot be exceeded. And this makes event tickets extremely highly desired. The bigger the demand, the bigger the problems.
French minister says 70% of Champions League final tickets were fake
https://uk.news.yahoo.com/
There are two issues that currently used technologies cannot solve. Ticket fraud and secondary market sales. Although related, let’s approach them one at a time.
Tackling ticket fraud with NFT tickets
Like in the above example, for highly coveted events, fraudsters will create and sell fake tickets. No matter the security measures you take, somebody will find a way to replicate and sell them. This can lead to unpleasant situations where a large number of attendees, that paid to join an experience, are forbidden from entering the event premises. With large events, this can easily turn into public safety concerns.
Another used method is selling the same legit ticket multiple times. There have been cases when hundreds of guiltless attendees arrived at the gates holding the same, valid, ticket. Unpleasant to say the least.
Through their immutable nature, NFTs tickets will protect your community against fraudsters. These digital assets cannot be copied or altered, and the blockchain network on which they are issued and deployed is guaranteeing each new item. So it’s going to be impossible to release batches of fake tickets and try to scam your community.
At the same time, as these NFTs are minted into a digital wallet, the same NFT ticket cannot have multiple owners at the same time. Unless you decide otherwise. Nobody will be able to sell the same legit ticket to multiple buyers at once.
Unlike the first example, secondary market transactions are in a gray area. While some of these transactions are 100% legit, some are immoral or illegal. While it’s only normal for someone that can’t make it to an event to sell the ticket to someone else, things dramatically change when we talk about scalpers automatically buying thousands of tickets just to resell them for a profit.
But NFT tickets are giving you full control not over the initial sale, but over transactions taking place on the secondary market as well. As NFTs are connected to crypto wallets, you can limit the number of tickets that can be minted to a specific wallet address. Thus preventing scalpers to buy large quantities of tickets from your initial releases.
And as NFTs are governed by smart contracts, this means that they can be programmed to act in specific ways when certain criteria are met. You can set upper and lower prices for secondary market sales or even block them from reselling. Although eliminating the reselling option is not recommended for large events, setting up reselling limits will protect your community against those looking to make an easy profit from your work. But as we will see in the next chapters, secondary market resale can open a new revenue stream for event organizers.
New revenue streams for event organizers
But setting up lower and upper limits for reselling is not the only way to customize the NFTs smart contract. The option to set up royalties is one of the reasons that drove the rapid adoption of NFTs. Here is how this works: each time the NFT is part of a transaction, a certain percentage goes back to its original issuer. In fact, the smart contract can be set up to include multiple parties, not just the original issuer. But you get the point: NFT tickets can help event organizers not control how tickets are distributed on the secondary market, but also get a cut from those transactions. So, for your events, you can set up a smart contract to get 50% of any profit the reseller makes for your tickets. Or to donate it to charity.
For large events, where many stakeholders are involved, this can also tackle another inaccessible market: the invites. Although not talked about, for any large festival there is a secondary market where invites are sold for profit. As thousands of invites go out to sponsors and partners, a consistent number of those find themselves sold by their initial holders. Although not against the rules, these transactions could be easily controlled by the event organizers through the use of NFTs. And just like for the above example, a smart contract could be set up so that a certain percentage of these transactions finds its way back to those putting up the hard world. Or to any other third party that you may think of.
Improving the event-goers’ experience via NFTs
NFTs play a major role in protecting your community against fraudsters and scalpers. But there are many other ways they help you improve their overall experience. The non-fungible tokens are a digital representation of any physical or digital goods (or services) that it’s associated with. If we look at them as simple tokenized tickets, the benefit associated would be the access credentials for the event. And maybe some artwork that it comes with. But the truth is that NFTs allow you to customize the experience beyond imagination. You can pre-pack goods and services that create immersive experiences. You can allow your community access to special gatherings, exclusive content, and merchandise, all based on one NFT. So the NFT is more than just a pretty picture. Behind the obvious digital artwork, there are countless possibilities waiting for us.
The smart contract that governs the NFT can be set up to include merchandise, access to special areas within the event, or even access to digital experiences. Each of your attendees can easily create and own unique experiences.
Imagine this scenario: you’re buying a ticket to your favorite band’s gig. You’re including a t-shirt in this purchase, something to eat on-site, and 2 or 3 beverages. And guess what: you’re not buying your average event ticket. You are actually buying an NFT ticket, and this token offers you access to a meet-and-greet online session. Together with a 10% future discount on any new gig where they will perform. And everything is packed up into an NFT that has some digital artwork created by local artists. Quite a collectible digital token, right? Imagine its work 20 years from now. Especially as nobody will ever question the authenticity of this NFT.
Will token-gated events eliminate admission pains?
Not entirely. But they will definitely allow us to have better control over how things are managed on-site. Unlike a classic event ticket, NFTs are accessed through crypto wallets. Meaning that your attendees have 0 chances of losing or misplacing them.
The entire history and authenticity are guaranteed by the blockchain network and fake tickets are completely eliminated. There will be no need for backup checks. You know, the ones that usually keep everyone from getting there faster. The use of NFT tickets will provide better attendance verification. Thus resulting in a more streamlined, efficient, and secure event experience for both organizers and attendees.
While some issues related to event admission cannot be solved by NFTs, they definitely offer you the strings needed to create better overall experiences. And you can further solve these issues by following these tips:
Crowd control: By managing crowds properly, you can reduce wait times and line-ups at admission, making the event experience more enjoyable for attendees.
Plan ahead: Anticipating potential issues created by big crowds will help prepare and deal with them proactively. Prepare for the worsts, and expect the best.
Collaborate with experienced vendors: Experienced vendors, such as security providers, will help you provide a smooth and secure admission.
Potential NFT-related issues
While it’s obvious NFTs are usable in large events, there are technical and logistical challenges you need to consider. And find the right way to overcome them.
Scalability
One of the first things you need to take into consideration is scalability. Is the system capable of handling increased demand? Large events imply tens of thousands of attendees, meaning that there will be a large number of transactions in a very short period of time. This is why it’s important to choose a solution that is ready to handle these situations. Or you can find yourself in a situation leading to slow processing times and increased gas fees.
Connectivity
As the NFTs are accessed through digital wallets, guests will need to be able to connect online. Although this is an issue in the past, you still need to make sure that your customers can easily access the NFTs. Otherwise, you may find yourself in a very unpleasant situation.
Logistical issues at large events
Simply put, how will you check that NFT on the spot and help your attendee claim the benefits? While in theory, the whole idea of NFTs summing multiple benefits sounds great, you need to have a practical way of actually implementing this scenario. This is one of the main issues we’ve struggled to solve. And we are confident we’ve found the best way to solve the logistical issues for professionals planning to use NFTs for events and festivals.
Adoption rate
I’ve saved it for last as I find it to be more of a theoretical issue. Although controversy around NFTs exists, their utility becomes clearer with each passing day. Today, roughly 60 million Americans own some form of digital asset. At a global level, almost 1 billion people have transacted some form of cryptocurrency. Blockchain technologies benefit from rapid adoption. It won’t be long until all event tickets will be NFT tickets.
Final words
I think it’s safe to say that NFTs are a game-changer in the event management industry. By eliminating ticket fraud and secondary market issues, they protect all the legit stakeholders. The hard and soul of this industry.
Not only do NFTs keep everyone safe, but they also open up new revenue streams. You can now set up smart contracts with royalty options, and earn a cut of any secondary market profits. But most importantly, NFTs can help you enhance the attendee experience, by merging in-person and digital experiences together.
So, whether it’s a large or small event, NFTs are definitely worth considering for all your event needs. From access control to payments.
The event ticketing market has seen fantastic progress over the last few years. And the development of Web3 allowed us to use emerging technologies to deliver better, safer experiences to our communities. So the improvements come not just in the number of sold tickets, but also in the technologies used for them. During this article, we will see how NFT tickets are changing the entertainment industry by focusing on how to set up a token-gated event. And, of course, why you should do it.
Simply put, token-gated events rely on a verification method based on Web3 tokens – instead of a classical e-ticket, the access is based on a non-fungible token. This makes it extremely efficient as it allows you to use it not just for one event, but also for other activities as well.
People love live experiences, and it’s expected that the event ticketing industry will have an annual growth of 3.5% in the next 5 years. According to Statista, the projected market volume for 2027 is US$82.45bn, a 54% growth from 2019. Our bet is that by 2027 the vast majority of events will rely on NFT tickets. Let’s see why.
What are token-gated events?
Token-gated is an expression that became popular with the rise of Web3. To access these experiences, you need a non-fungible token – like a cryptocurrency or an NFT. And the most popular form of token-gating an event (or any other type of content) is through NFTs and NFT ticketing.
For an event, this means that access management is done by checking attendees’ digital wallets for a specific token. While this is basically the equivalent of NFT tickets, let’s not forget that they are in fact smart tickets. And you can use it for so much more than just checking access credentials at the gates of your event.
So in this case, a token is gating the event – you don’t own a specific token, and you cannot access the specific event. Simple as that.
Initially, as the NFTs were generally used as collectibles, the access to the events they allowed you entrance to was issued separately. So all holders of a specific NFT collection (or a cryptocurrency) would receive their access codes before the start of the event.
Now, you can create flawless processes through NFT ticketing. You can create an NFT that, besides other perks, grants access to a specific event. So it’s a token-gated event where a specific NFT becomes a smart ticket. Unlike a traditional ticket, an NFT ticket’s utility is not limited to a specific event. The token used for admission control is also a limited-edition collectible, can be resold for profit, has different perks and add-ons (like VIP access) embedded, and offers many other benefits.
Why Use Token-Based Access for Your Event?
Setting up token-based access to your events will provide multiple benefits. For you and your community alike.
You may have heard of tokens before, like NFTs or cryptocurrency. For token-gated events, they’re not just simple access codes. They’re special digital smart contracts that can do a lot of different things. For example, they can store information about different access rights, have economic value, and offer other benefits too.
The great thing about these tokens is that they can help create new, exciting experiences. For example, imagine you have a community of people who are all interested in the same thing. With tokens, you can set up a variety of experiences that everyone in your community can access using the same “event pass.” And because tokens can be pre-programmed, they can also act as event passes, loyalty program cards, and even a way to make payments. So whether you’re using an existing token or creating a new one just for your event, tokens can make the experience even better for your attendees, not just during the event but even after.
Benefits of setting up Token-Gated Events
There are several benefits for setting up token-gated events, benefits that we have covered in the article covering the benefits of NFT tickets at large. But there are a few points that we should cover in this article in order to better understand why this type of token-gated event can make the overall experience better for your community.
Exclusivity
Besides security, token-gated events also add the feeling of exclusivity. Just those that have claimed a specific token have access to that event – so they will feel like part of something really special.
Stronger community
This will tighten your community. Traditionally, those joining a specific event are part of a specific community. But unfortunately, until now it was complicated to empower that community as the event ticket would lose all of its powers once the event is over. But now, with the help of token-gated events, the token-based authentication allows you to use the tokens to strengthen your community. The same tokens can be used for gating exclusive digital content, venues, access to limited-edition merchandise, future events, and so on.
Step-by-Step Guide to Setting Up Token-Gated Events
Web3, NFTs, cryptocurrencies; it may sound complicated but it’s remarkably easy to set up token-gated events. With Oveit, each ticket issued by our ticketing platform can be a non-fungible token. Stored on the blockchain, this ticket is in fact a smart contract between you and your community. One that will grant your attendees access to the event, but will also allow you to customize the experience furthermore to the exact extent that you want.
Create your account
The first thing you need to do is to create your account. You’ll just need to set up billing information and choose one or more payment processors. We work with direct debit for both traditional and NFT (e)tickets, meaning that each time somebody places an order money will go straight into your account.
Also, even for token-gated events, you can allow your community to pay with both fiat and cryptocurrencies. We support multiple payment processors for both types of payments, allowing you to serve your customers regardless of the way they choose to pay.
Setting up your event for tokenized tickets
With Oveit, you can easily set up your next event in just a few minutes. You set up the event details like the name of the event, time and place, and what data you want to collect from your attendees.
Setting up NFT tickets categories
For the NFT tickets, you can select the artwork that you want to be associated with the tokenized access credentials. You can choose from different formats like .pgn,.jpeg, or .gif, and the artwork will be minted for each of the tokenized tickets your customers will buy.
You can opt between uploading a single artwork for the entire ticket category or using entire collections. It’s up to you to create the experience your community wants.
Oveit also allows you to set up different perks and add-ons for each ticket category. They can be anything that you want, like special access, merchandise, beverage or food, or even access to future gigs. By using this option, you encourage your attendees to create their own, personalized journeys.
With our software, everything is under your control. Furthermore, you can customize the follow-up email, delivering the message in your exact tone of voice. Once you finish setting up your event you can start selling smart tickets on your website. Using a simple copy-and-paste implementation.
Yes, with Oveit you can sell tokenized tickets on your website. Just like you did with regular (e)tickets. And the great part is that we take care of all the complicated technical requirements, you just need to focus on delivering a great experience.
Getting on hold of an NFT ticket has never been easier. While we recommend MetaMask as the go-to wallet, we support a variety of digital wallets. Your attendees can choose the one that best suits them.
Caption: print screen for Oveit – confirmation page for an NFT ticket order
Once the NFT ticket is actually minted, buyers will receive a confirmation email. They can now sign it to their wallets, becoming the owner of the NFT. It’s also available on marketplaces like OpenSea or Rarible. Your community is now ready to access your token-gated event.
Managing event access at a token-gated event
We’ve kept event access management as simple as possible. Using our proprietary scanning app, you can check the access credentials for each ticket. The blockchain-based tokens contain a dynamic QR code used for scanning. Inside the app, you will see the benefits included in that particular smart ticket.
ticket issues by Oveit for a token-gated event
The dynamic QR code will regenerate every 30 minutes, making it impossible for anyone to copy it. This makes the experience safe for your attendees, as nobody can in fact steal or copy their event passes.
Final words
Token-gated events open new doors for live experiences. Online and in-person. Unlike traditional tickets, non-fungible tokens allow your community to be part of something special. Even long after the initial experience has ended.
While technology becomes more powerful and accessible, industries from all over the world change. The way we do business is not the same. As with any change, technology implementation is also looked at with bad eyes. At least sometimes. But when it proves its utility, it becomes accepted by everyone. Today, we will see if NFTs are useful in entertainment. Of course, as you can guess, there are many benefits associated with the use of NFTs in entertainment. It’s the industry that will be first completely transformed for the better. We will focus on the benefits of using NFTs in the entertainment industry. But first, let’s see what they actually are.
As you already know, NFT stands for non-fungible tokens. Meaning that they are unique items, with unique characteristics, that cannot be divided or replaced. An NFT is a cryptographic asset that represents certain digital or physical goods and its nature makes it impossible to alter it.
As NFTs operate on blockchain networks and they are immutable. Their authenticity and ownership can be verified and guaranteed by the entire network. This, together with the fact that NFTs are minted through a smart contract (a short code that runs when certain predefined conditions are met), makes them powerful.
To put this in other words, NFTs are digital assets that cannot be counterfeited. And that records the item’s complete history. They are associated with digital or physical goods and are pre-programmed to act in certain ways.
The entertainment industry is one of the most active and creative industries in the world. So it was only natural for it to be one of the early adaptors of this technology. And while NFTs are already used for businesses operating in this field, we’re still in the early days. There are many applications for NFTs that will completely change the industry for the better.
The entertainment industry is one of the wides fields there are, covering a wide range of activities. Due to its nature, authenticity and ownership are crucial elements of the industry. And as we have seen above, these particular aspects are well covered by the NFTs. Now, let’s take a look at some practical ways of using NFTs in entertainment.
As their entire history can be verified (and altering it is nearly impossible), NFTs are synonyms for authenticity. This is one of the reasons why people pay so much money for specific digital artworks. Besides, of course, the hype that surrounds this technology. An NFT guarantees you that you are the sole owner of a specific digital artwork. But that is just scratching the surface of something way more powerful.
Here is an example: Imagine you are trying to buy a very expensive piece of art. A painting for example. To make sure that you are buying the original one, someone needs to check its authenticity. Authenticity often comes in the form of a Certificate of Authenticity, stating that you are buying the original one. Well, regardless of how well the checking is done, I’m sure that there other collectors that have paid good money for extraordinary copies. That has, of course, Certificates of Authenticity. Which, by the way, is a separate asset and they can always be separated for good.
When it comes to NFTs, this “Certificate of authenticity” is actually part of the asset itself. It’s hardcoded within the token, signed by its creator, and checked and approved by the entire network. The blockchain network mentioned above. And each new layer of information is added as a new immutable block of code. When you decide to buy an NFT you are 100% sure of what you are buying.
Having this said, it’s obvious why people are investing so much money in NFTs. They are sure that they are not buying worthless copies – regardless of the actual utility of what they are purchasing. This is an overview of how authenticity and ownership are tackled by this technology. But now let’s see which characteristics of NFTs can be useful in entertainment. They will, of course, apply to other industries as well. Take a look at how to use them for tourism.
Another incredible asset stands in the smart contract that governs an NFT. This code programs the NFT to act in certain ways when it meets certain conditions. So an NFT can actually do a lot of things for both its issuer and its owner.
You can program an NFT to include future discounts or benefits. A new band that released its first album can use this option to incentivize them to buy it. The NFT can include, besides the actual album, a 15% discount for all future albums they will release. Anybody that supports the artists by buying their first album will enjoy lifetime discounts on their releases.
Allowing fans to actually own your work. Digital items can be tokenized. You’ve heard about the first-ever Tweet sold as an NFT. But you probably haven’t heard about entire movies that went through the same process. Here is an example, one from our own backyard. In 2021, we’ve sold a movie as NFTs. Although this was for a social cause, the same principle could apply to a filmmaker that looks for a way to finance the work. The movie can be tokenized and sold to the supporting community. Fans will not only own part of the work and can receive a cut if the movie becomes a big hit. They are now part owners of the motion picture. A win-win situation indeed.
Setting up royalties. One of the most important benefits of working with NFTs is the potential to set up royalties. This means, that each time the token is (re)sold, a certain percentage goes back to the issuer. This is very important as creative work tends to increase in value over time. It helps creators benefit from the true value of their work.
As NFT ticketing is what we do here as Oveit, we’ve elaborated on this subject on different occasions. NFT ticketing is one of the best use cases to prove how useful NFTs are to the entertainment industry. But If it would be to name just one benefit, this would be protecting your community. And here is how:
Event ticketing fraud is mainly aimed at ticket buyers. Scalpers are looking for easy money by buying and reselling tickets for outstanding prices. Fraudsters are selling fake tickets. Or they’re selling the same legit ticket to numerous buyers.
With the help of NFT tickets, you can set up upper prices for your tickets on the secondary market as well. Being governed by a smart contract, this smart ticket can limit itself when it comes to price or how many times it can be resold. At the same time, ownership and authenticity are embedded into a smart ticket. This way, no one could ever sell fake NFT tickets or deceive tens of hundreds of people by selling the same ticket.
Now, after we saw how NFTs can be used to enrich the experiences of the stakeholders in the entertainment industry, let’s take a look at some practical examples.
There are plenty of examples of how NFTs enrich the music sector. Music NFTs are pretty common as this is a great way for artists and fans to come together. Usually, music NFTs will offer buyers access to exclusive content together with extra benefits for future releases and events.
You’ve probably heard of Steve Aoki, Snoop Dog, and Don Diablo selling NFT Music for millions. What’s amazing is how this technology can support smaller artists to protect their work.
So instead of focusing on the celebrities that sold Music NFTs, let’s take a look at Verdigris Ensemble, a choir from Dallas. They’ve recorded a 21-minute-long unique interpretation, tokenized it, and listed it for auction as an NFT. It was sold for 56.4 ETH (in May 2021 that worth around $375.00) and they shared the revenue amongst those that took part in the recording.
And this is just one of the cases. More independent music artists are tokenizing their artwork and selling it as NFTs. This allows them to have a direct connection with their fans. And support their business through digitalized ownership.
When it comes to gaming, NFTs take a different form, with both already established companies and web3 startups. In the long run, NFTs will allow players not only to swap assets like skins and weapons. But will also allow them to transfer assets from one game to another. By transforming it into an NFT, the item becomes an immutable token and the player has full control over it. Furthermore, players will be able to use them long after they stop playing a specific game. Or if the developer stops supporting it.
Let’s also take a look at some real examples of using NFTs in the gaming industry.
Have you heard of CryptoKitties? This game allows you to collect and trade digital cats and each cat is an NFT. Will web3 evolve around cute cats as well?
Decentraland is a 3D virtual world where users can play, engage and in various activities, and buy virtual land plots. Not a game in the way we are currently used to, but through gamification, they encourage people to be active in a shared digital world.
Focusing on the classics, Konami sold an NFT collection of 14 NFTs to celebrate 35 since Castlevania saw daylight. Along with the income resulting from the direct sale, the company also keeps 10% of future resales in the form of royalties. Showing that they trust the collection’s value will grow over time.
As I have already mentioned, our example is a perfect showcase of how to use NFTs in the movie industry. This is a flawless process that allows communities and artists to work together. Fans can support projects they believe in, while creators have an easy way to transfer ownership toward their supporters.
For The Whishing Tree – Childhood Memories, we’ve extracted 12.432 video frames. We’ve tokenized them, and sold them as NFTs. This way, everybody that wanted to support this movie (revenue went to a non-profit organization that treats patients with palliative conditions) was able to actually own part of it. The price of an NFT is equal to the cost of home visits made by the non-profit. And the number of frames represents the number of visits they made in 2021.
And while The Wishing Tree – Childhood Memories is one of the first movies sold as NFTs, it will definitely not be the last. “Zero Contact”, one of Antony Hopkins’ newest projects, is also set up as a non-fungible token, making the movie a limited collection. One of the main benefits of NFT Movies, deployed on the blockchain ledger, is that it is protected against piracy. But it can also allow NFT owners access to special extra benefits. Physical or digital.
Just like for music, NFTs can support independent filmmakers who can tokenize and sell their work. Buyers become owners of that specific project. And at the same time, they can benefit from special discounts for future projects, access to premieres, or limited and personalized content.
As Oveit is a company focusing on Web3 ticketing and cashless payments, it was impossible for me to omit ticketing from this list. Events, in the form of token-gated events, will probably benefit the most from this technology. It’s not about stopping someone to access your event with a counterfeited ticket. It solved problems much bigger than that. An NFT ticket is the gateway for a completely new experience. In fact, although we name them NFT tickets, these digital assets are completely different from what we know as event tickets.
There are a lot of great ways we can use NFTs in. And the entertainment industry definitely benefits them. But just like pretty much anything else, there are some concerns about NFTs. And some of them are valid.
Usually, any subject that generates so much hype is used for PR stunts. NFTs made no difference. So, often NFTs without any practical utility were released. And this, in time, affected the whole community. Luckily, more and more projects showcasing the true utility of this technology were born. But there are still 2 main concerns about NFTs and blockchain technology.
What makes NFTs powerful is also making them unfriendly to the environment. Each transaction within a blockchain network is checked and approved in a certain way. As these networks grew in size, so does the need for computing power. But, depending on the cryptographic proof needed to operate the system, there are many differences between different blockchains. While the initial proof-of-work protocol used by bitcoin requires large energy resources, a proof-of-stake validation is more efficient. And while this does not completely solve the environmental footprint issues associated with blockchain ledgers (and NFTs), it’s a big step forward to solving the problem.
As for any new technology, it will take time until NFTs are mass-adopted. The utility of this technology is helping businesses and customers interact in ways never seen before. But it’s still difficult to deliver these experiences to all potential customers.
The transition from web2 to web3 is going to take place over the next few years. And the success of this transition depends on how easy the onboarding process is. And while early adopters are adopting the new technology, it’s going to take a collective push toward mass adoption.
[…]the approach they’re gonna come to us because we’re this cool culture, this cool movement, is just not realistic. Simplifying the process, improving UI & UX, and allowing for that migration to actually happen. I think anyone that kind of stresses that process and makes sure that that’s an integral point of their product is said to have a lot of users.
Yet, experts from McCann Worldgroup expect that by 2026, there will be more than 2 billion web3 users worldwide, accounting for more than 40% of total internet users. Web3 is rapidly gaining ground. And powered by the benefits they provide, so do NFTs.
I hope this article answers the question it’s built around. Although there are (at least) 2 main concerns related to NFTs, the benefits are countless. These new technologies are creating a direct connection between creators and fans. Are allowing communities to easily support artists in a transparent manner. And it helps the latter to reword their supporters.
It’s out of my area of expertise to guess when mass adoption will be reached. But for sure that the critical mass has been reached. The benefits provided by NFTs are allowing us to create better experiences, encouraging end-users to onboard this thrilling ride. So yes, I would definitely say NFTs are useful in entertainment. More than we can even imagine. At least for the moment.
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