Even if you don’t know what they are, it’s likely that you’ve at least heard the term “NFT” being mentioned online over the past year. “Non-Fungible Tokens,” as they’re called, are unique representations of items – either real or completely digital – that exist on blockchain systems like Ethereum. These NFTs can come in many forms, such as photos, games, music, and just about anything else.

Due to their digital structure, each and every NFT is completely one of a kind, meaning they aren’t exchangeable with one another.

Think of it this way:

If two people each have a $100, they can trade with one another and neither person loses any value – seeing as how each banknote is worth exactly the same amount. However, NFTs are a bit different because each one is totally unique. This means none of them are exactly the same value.

Trading NFTs is a bit like exchanging some baseball cards for someone else’s skateboard. This is where the “non-fungible” part of the name comes from, which simply means “non-interchangeable.”

What Gives An NFT Value?

What gives an NFT value

With how strange NFTs may seem, there are a few key things that give them value, such as:

1. Being Unique

If you have an NFT, then you have the only one like that. It is impossible to make the exact same one with identical codes or token numbers. This is constantly backed up and verified by the blockchain ecosystem NFTs are a part of.

2. Scarcity

Because of those previous qualities, each NFT is a scarce commodity. Any artist or creator generally only has, at most, a few NFTs. As such, it’s a safe assumption to make that if you happen to own one, you’re one of the only people to be in possession of such an item.

3. Collectable

There aren’t very many ways to saturate the NFT market, so buying them with the goal to resell them, then holding onto them until their value goes up is a legitimate strategy. There are actually quite a few people today taking advantage of this and making a decent amount of money to live off of.

4. Immutable

Because NFTs exist on the blockchain, they also carry with them the same properties of everything else on that blockchain. Mainly being: they are immutable; their metadata, images, names, or anything else related to it can never be changed, revised, or removed.

5. Everlasting

While it may sound a bit hokey and faddish, due to the fundamental technology, once an NFT exists it will never not exist. The data will always be there because the blockchain is an eternal construct. It’s almost like buying a hunk of gold that can never be destroyed, disappear, or be stolen. It’s yours forever.

6. Can be Resold

However, just because you’ve got it forever doesn’t mean you can’t choose to resell it. And, because of their highly volatile nature, you can even make some ludicrous amounts of money doing so. Some have even sold for well over $20,000!

How Can NFTs Be Used For Digital Marketing?

How can NFTs be used for digital marketing

Telling the story of your brand and interacting with your customers are two of the biggest factors to growing any business. And even before NFTs existed, there were a plethora of ways to accomplish those two things. However, with NFTs continuing to become more and more relevant, they offer incredible new opportunities to give customers brand experiences like never before.

Of course, don’t give up whatever you’re already doing – especially if it’s working – in lieu of NFTs. Think instead about how including these trendy new concepts into your overall marketing strategy can help build hype around your products and services.

Look at Taco Bell’s recent campaign centered around 25 NFTs. Their goal was to support their charity that helps young individuals advance their careers and education by selling these NFTs, and they all got snatched up in less than 30 minutes! As you can see, NFTs can create an insane buzz around your brand when done effectively.

Here are some other examples of how brands have successfully incorporated NFTs into their marketing:

  • Advertisements being converted into NFTs, then sold to customers
  • Up and coming products or services being supported by NFTs
  • Social media competitions where engagement is rewarded via NFT prizes

NFTs’ Potential

There really is no limit to how you can use NFTs to further your brand and business. The only limit is your own creativity! Speak with your colleagues about these concepts, and try to think of some innovative ways you can use them to interact with your audience and build new campaigns.

Increase Your Brand Awareness with Innovative Digital Marketing Solutions

First Page is Hong Kong’s leading digital marketing agency, and we are constantly devoted to creative new and innovative marketing solutions.

And now, we also work with the far-reaching megabrand Superist, who offer their own NFTs and take crypto payments.

Make sure to contact us today so we can discuss how we can help you leverage new concepts to grow your business!