Even if you’re new to Web3, you’ll most likely have heard of NFTs. NFT is an abbreviation for non-fungible tokens, and they are — along with fungible tokens — one of two central token types of the blockchain industry. The term ”non-fungible” originates from traditional economics and refers to interchangeable goods, meaning that NFTs are unique. Moreover, the NFT sector has rapidly grown to become one of the industry’s most prominent areas and has radically changed the digital asset space. The high interest in NFTs partly originates from the flexible nature of these tokens, which means they have various use cases. As such, we’ll in this article allocate our time to explore NFT use cases in 2022. If this sounds interesting to you, follow along as we delve deeper into the concept of NFT utility!
Most people probably associate NFTs with digital art and collectibles like Bored Ape Yacht Club and Crypto Punks; however, NFTs are much more than that, and there is a lot more to discover. As such, we’ll in this article present five interesting NFT use cases in 2022. Hopefully, this will inspire you to be creative and develop your own NFTs in the near future.
If you’re interested in minting your own NFT or Web3 development in general, you’re in the right place. Moralis is the most prominent operating system for blockchain development, and as a user of the system, you’ll be able to create your own NFT in no time. Furthermore, you can create your own set of digital collectibles with ease by learning how to mint 10,000 NFTs!
So, looking to become a blockchain developer? Then sign up with Moralis and begin your Web3 development endeavors straight away!
NFT Use Cases 2022
NFTs have rapidly become one of the crypto industry’s most prominent features, and as highly flexible tokens, they have a vast number of use cases. As such, we’ll take the following sections to explore more about NFT utility. However, it would be challenging to cover all aspects of NFTs in this article, and for this reason, we’re going to focus on the following five 2022 NFT use cases:
- Membership Exclusivity
- Clothing & Wearables
- Music NFTs
- Digital Art
- Digital Identity
If you’d rather watch a video covering these aspects of NFT utility, check out the Moralis YouTube channel. The following clip provides a deeper understanding of how you can utilize NFTs in 2022:
Nonetheless, let’s continue and take a closer look at how NFTs can represent exclusive memberships for various different organizations, clubs, and events!
NFT Utility: Membership Exclusivity
A significant use case for NFTs in 2022 will be providing exclusive access to organizations such as DAOs. DAO is an abbreviation for decentralized autonomous organization, and it’s the governing body of a particular blockchain project or protocol. As such, if you hold an NFT providing access to a DAO, you additionally receive exclusive rights to participate in the governance of a particular platform, project, or dapp (decentralized application). If you want to learn more about these organizations, check out the following Moralis’ guide on how to create a DAO.
Moreover, NFTs can further be used as an indicator or sign that someone is part of a community, has won a competition, or to show loyalty to particular brands. An example here is the recent launch of Moralis Projects. Here you have the possibility to level up your Web3 development skills by building weekly projects along with other members of the community. Once you hone your skills through this process, you can receive awards in the form of NFTs to showcase your proficiency in Web3 development.
Lastly, NFTs can also provide exclusive access to certain events. This isn’t solely applicable in digital settings but for physical events and real-life happenings alike. A great example here is the Flyfish Club which is branded as the first member’s only dining club where exclusive access is bought on-chain in the form of an NFT. As such, holders of a token will receive access to cultural and social experiences.
The Flyfish Club is an early example of a real-life use case for NFTs, and we’re sure to see these types of projects exponentially increase as NFTs move even closer towards mainstream and mass adoption.
NFT Utility: Clothing & Wearables
Wearables and clothing comprise the second category of example use cases for NFTs in 2022 that we’re going to explore. This sector has already been quite popular and has received an abundance of attention in the past year. Moreover, this is also a sector monitor as we’re sure to see digital wearables grow further in 2022.
NFT wearables are often associated with video games and the metaverse. In this regard, NFTs can represent items or pieces of clothing that avatars can wear in games or other digital worlds. However, this isn’t the full story, as there are other ways to utilize NFT within the clothing sector.
An additional example is virtual wearables for social media. There has been a buzz surrounding influencers using virtual items to be more sustainable. Instead of buying new, physical clothing for a single photoshoot, they instead use NFT wearables as a more eco-friendly alternative. This is an exciting sector that might blossom into something larger.
Lastly, NFT wearables don’t have to be limited to a digital setting but can affect more traditional brands alike. A great example is GAP, allowing you to claim items in-store if you hold a certain type of NFT. This ties back to the concept of exclusive memberships where you, as an NFT holder, can receive access to unique items of a particular brand.
NFT Utility: Music NFTs
Another exciting sector that can potentially benefit from NFTs is the music industry. As you might be familiar with, this can be quite a profitable industry for larger conglomerates and record labels. However, their profitability often comes at the expense of the individual artist and through disadvantageous penny-per-stream business models.
A more efficient and advantageous way for individual artists to monetize their work might come in the form of music NFTs. This means that the artists can truly own their work, including trademarks, copyright, etc., and this information can be stored in the metadata of a token. Music NFTs would also allow fans to band together and support their favorite artists directly. As such, this means that NFTs have the potential to eliminate unnecessary intermediaries, something that will positively benefit artists.
This is one of many compelling use cases for NFTs in 2022, and we’re seeing investments being poured into music NFT projects. As such, it can be quite exciting to follow along and see how this sector develops and how NFTs might come to revolutionize the music industry.
Moreover, suppose you have further interest in music NFTs and would like to learn more about the opportunities of these tokens. In that case, we highly recommend checking out this guide from Moralis where you can learn to create a Web3 Spotify clone!
NFT Use Cases 2022: Digital Art
As we mentioned in the introduction, most people probably associate NFTs with digital art. This association isn’t unfounded as this is a use case that has received an abundance of attention from traditional media. Moreover, NFTs have been used to represent digital art for quite some time now, meaning that it’s an established field.
The non-fungible characteristic of NFTs makes them ideal for creating one-of-a-kind art pieces with unique properties. As such, it’s a way for artists to assure consumers that an art piece is distinctive. This is possible thanks to the immutable records of blockchains and the interchangeable nature of these tokens.
Based on this, NFTs allow individual artists to monetize their work like never before, and it has significantly revolutionized the digital art space. Furthermore, it’s possible to include conditions in the code ensuring that artists receive a cut each time the NFT is sold, providing digital artists with new, innovative ideas to keep monetizing their work.
Moreover, a contributing factor to the increased attentiveness towards NFTs are platforms like OpenSea. OpenSea is an NFT marketplace that has seen exponential growth in the past year. The website provides artists with an easy-to-use platform making it more seamless to sell and purchase NFTs. If you’re interested in OpenSea, you can use Moralis and learn to develop your own NFT marketplace in minutes!
However, so far, NFT art has chiefly focused on the inherent value of digital assets, which might come to change in 2022. In the following year, we’ll probably see developers trying to take this technology to the next level and come up with new innovative ideas. An example here is that NFTs might become applicable in representing traditional art. Moreover, NFTs will also make it possible to prove ownership of assets, even physical items.
NFT Utility: Digital Identity
The last of the 2022 NFT use cases we’re going to take a closer look at are digital identities. So far, NFTs have primarily been used to capture and claim ownership of digital assets like videos, artwork, tweets, etc. Previously, we also briefly mentioned NFTs representing physical assets, something that we’ll most likely see increase in the future. However, can we use the same principles and technologies to create digital identities?
This may sound quite far-fetched, but it might become a reality, thanks to NFTs and blockchain technology. Just like it’s possible to store digital concert tickets on the blockchain, we can use the same principles and apply them to digital identities. The characteristics of NFTs and the security of blockchain technology make them ideal for creating virtual identities. In fact, NFTs might enable self-sovereign identities (SSIDs). These are digital identities that individuals control. As such, people won’t be dependent on governments and other centralized institutions. This will be an exciting sector and is definitely one of the NFT use cases to keep a close look at in 2022.
Moreover, having a secure identity is essential, and they are becoming increasingly difficult to safeguard, even in familiar digital and physical settings. Now, throw the metaverse into the equation, and it is becoming even harder to keep one’s identity safe. This is where NFTs enter the picture, as they are an efficient and secure way to establish metaverse identities. As such, NFTs might come to play an essential role as the world gets more digitalized and the metaverse evolves.
If you have further interest in the metaverse, check out the Moralis Metaverse SDK allowing you to create metaverse dapps in no time! For example, you can read up on how to build a medieval metaverse game with Moralis.
NFT Utility – Exploring NFT Use Cases 2022: Summary
NFTs have rapidly become one of the most prominent features of Web3 development, and the number of use cases is continuously expanding. Many of you might associate NFTs with digital art; however, this is only one of many instances where NFTs can be helpful. In fact, in this article, we presented five separate use cases for NFTs that might be worth keeping a closer look at in 2022:
- Membership Exclusivity
- Clothing & Wearables
- Music NFTs
- Digital Art
- Digital Identity
These are only five examples, and there are other sectors, such as DeFi (decentralized finance), that can positively adopt NFTs. As such, this demonstrates the flexible nature of NFTs and that these tokens have the potential to influence many sectors of the economy.
For this reason, it’s in your best interest to learn more about crypto tokens and how to mint NFTs. The best tool for creating NFTs is Moralis, as the operating system makes Web3 development significantly more accessible. In fact, with Moralis, you can cut the development time for all future Web3 projects by an average of 87%, allowing you to save valuable resources.
This is possible due to the established backend infrastructure that all Moralis’ users receive access to. Moreover, with tools like Moralis’ NFT API, and much more, you’ll be able to create blockchain projects with ease.
As such, if you have ambitions to enter the Web3 development space, feel free to sign up with Moralis now! Creating an account is free of charge, and you can begin developing straight away. So, what are you waiting for?