In 2021, the world witnessed nonfungible tokens (NFTs) as a possible short-term investment opportunity and a way to make a quick buck.
Paired with a burgeoning bull market and an investor cohort keen on the technology sector, the blockchain and its derivative assets, like NFTs, became an investment hotspot, attracting billions of dollars. Fortunes were made and lost in the NFT frenzy; CryptoPunk #9998, an NFT which sold for 124,457.0675 Ether (ETH) — worth over $533 million in October 2021, exemplifies the incredible valuation spurts of NFT projects at that time.
Despite the lavish sums, critics questioned the true value of these digital collectibles. Yes, of course, the technology has exciting implications for verifiable ownership of digital items on the blockchain, but could one truly justify a half-billion-dollar valuation on a piece of digital art?
As a result, the conversation around NFTs is now fixated on the technology’s utility. What is in store for the future value of NFTs, and how will entrepreneurs, investors and customers use them in their personal and professional circles?
The evolution of NFT utility
NFT utility has come a long way since 2021.
During the most recent crypto bull run, the main utility of digital collectibles was their ability to tie digital content with an owner through publicly verifiable blockchain data — magnified by the ability to flex the notoriety of the collection via social media as a profile picture. However, critics disparaged the supposed utility of NFTs, since anyone could technically access the collectible content due to the public nature of the smart contracts that manage the ownership rights.
With the emergence of new trends in blockchain technology, most notably the metaverse and Web3, the utility of NFTs has experienced an evolution. For example, the classic use case of NFTs in the metaverse is proof of ownership over one’s items and the ability to access membership-only communities. Top-tier retail brands such as Nike and Adidas have already begun experimenting with NFT releases and access to different metaverses.
Moreover, NFT technology has made advances in relation to real-world assets as well by democratizing investing opportunities and making them accessible to a wider range of investors. For example, NFTs have been used to fractionalize ownership in high-end real estate and physical artwork. By purchasing NFTs tied to fractionalized physical goods, retail investors have the opportunity to become partial owners of luxury assets that have previously been out of reach.
Operating in a similar vein, artists in music and entertainment have paired NFTs with rights that grant their owners exclusive access to high-value redeemables. In this space, purchasing NFTs could grant collectors the opportunity to claim free tickets to metaverse or in-person concerts and events, access exclusive content like a new song or video and even participate in meetups with these famous artists.
A Hard Working Man NFT collection
Staking their claim as part of the evolution of NFTs in music entertainment are The Avila Brothers, Billy Ray Cyrus and Snoop Dogg.
In collaboration with metaverse experts Animal Concerts and crypto media powerhouse Cointelegraph, the world-renowned music artists are taking their latest hit song “A Hard Working Man” to Web3 via an exclusive NFT collection depicting the artists in a wide range of hard-working professions.
The “A Hard Working Man” NFT collection will be another step forward for NFT utility, as these digital collectibles pair artistic renderings of Cyrus and Snoop Dogg with exclusive, real-world rewards and redeemables. The collection will be comprised of over 12,000 digital collectibles in three different tiers for all the hardworking people that keep grinding every day.
The trio hopes to inspire what will be the future of music entertainment — joining the forces of music, art and technology — so for more information, one can check out the A Hard Working Man official website for all the latest information.
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