The Scope of Business Modernisation with NFTs

If you’ve been following the crypto space, you probably already heard bits and pieces about NFTs or Non-Fungible tokens. Even though the history of NFTs can be arguably dated back to 2014, this piece of crypto started to gain much popularity in 2021. NFT is basically a crypto token. What makes it different from other crypto tokens is that NFTs are non-fungible tokens. The recent updates in the NFT domain are quite surprising. As NFT tokens are being sold for millions, and images, emojis, etc being auctioned at record value make one wonder what is happening in this sector.

The global market for NFT soared from 13.7 million in the first half of 2020 to 2.5 billion in the second quarter of 2021. As of April 12, 2021, around 23.7 thousand NFTs had been sold in the art category in the preceding 30 days. As of September 15, 2021, the total number of sales over 30 days has reached about 94.5 thousand. During that time, the secondary market accounted for almost 54 thousand transactions. 

Some NFT collectors consider them as collectibles with intrinsic worth due to their cultural importance, while others regard them as investments, betting on rising prices. Due to unparalleled demand, the sales volume remains high. According to NonFungible.com, buyers have outnumbered sellers by a margin of 10,000 to 20,000 every week since March. The monthly sales from a major NFT marketplace – OpenSea, have recorded the highest sales in June. Part of the transaction in some of the largest NFT sales, such as those at auction houses, takes place “off-chain.” 

In this whitepaper, we discuss the business modernization opportunities with NFTs.