What is an NFT and Why Should I Care?

So what now?

NFTs gained a lot of hype during the pandemic and it can be difficult to ascertain whether it is a fad, a trend that is “over” or actually here to stay. It’s important when assessing NFTs to take a step back and examine the bigger picture and in doing so, as we enter new market conditions it may be less about an NFT bubble burst, than NFTs settling down post-hype into more level stability. Gartner’s Hype Cycle helps illustrate the progression of a new technology and current conditions may be moving through the “trough of disillusionment” towards to plateau of productivity and as pointed out in the same article, it can reframe NFTs as “newcomers challenging how we perceive and register ownership of assets".

For brands, NFTs represent a way to engage with audiences in novel, creative and engaging ways, particularly through gamification and collectables. For artists, it presents a new business model allowing them the opportunity to continue to make a commission each time their art is re-sold so they can continue to earn after the initial acquisition. NFTs have the potential to transform other markets like property and vehicles by changing the rule of ownership, and cutting down layers of intermediaries.