Since NFTs are still largely unknown in our society, there are only a few statistics available, however none of these surveys provided extensive data on NFT rentals.
This is why we created an NFT Research Campaign primarily focused on exactly this.
(This research campaign was conducted via Twitter and Discord — so the respondents were already familiar with cryptocurrencies.)
The results indicate an extremely bullish scenario for NFT rentals.
1st Question — Do you own an NFT?
More than 50% of the respondents own more than 10 NFTs
What surprised us the most was the fact that the majority of the respondents own more than 10 NFTs. Only 7.2% of the respondents don’t own at least one NFT.
2nd Question — Do you own an NFT with some sort of utility attached?
What also surprised us was that although the NFT market is currently dominated by PFP NFTs, well over half of the respondents own NFTs with a utility.
The more utility an NFT has, the more likely it is that someone would be willing to rent it, making it much easier for owners of those specific NFTs to generate passive income compared to an avatar NFT.
3rd Question — Do you own any gaming asset NFTs?
This made us really happy as well.
The gaming sector is already one of the biggest markets in the digital world and is expected to grow much further with the rise of Play-to-Earn games like Axie Infinity.
Virtual ownership of in-game assets like property or items such as cars, weapons or even wearables for your in-game avatar like glasses, hats or shoes will be one of the most sought after NFTs in the future — making them a perfect fit for NFT rentals.
4th Question — Do you know that you can rent or lend NFTs?
Happy to hear that the majority of respondents have already heard about the possibility of renting or lending NFTs.
5th Question — Would you lend out an NFT if it could generate passive income automatically?
Well this is kind of a no-brainer but it demonstrates that the vast majority of the respondents are not interested in putting their valuable NFTs aside only to wait for a potential increase in value — instead they want their assets to work for them.
6th Question — Would you rent an NFT asset to test out a gaming experience before buying it?
One of the most important takeaways of this survey is the fact that around
90% of the respondents would potentially rent an NFT just to test out a game before buying it.
This has a substantial meaning for every gaming project out there.
By integrating our rental solution into games, everyone has a chance to play a game without having to buy the respective NFT first, leading to an increased influx of new users.
Since we can add rental royalties to this rental solution, gaming projects don't have to worry that this will result in revenue losses due to possible reduced sales and thus lost dividends.
So there is no excuse for gaming projects not to implement rental solutions — your community will love it.
7th Question —Would you rent an NFT asset to attend a virtual event or real-life event?
Similar outcome!
On the one hand the possibility to rent the NFT out to others to grant them access to the party and generate income and on the other hand the possibility to experience the hottest parties without spending 200,000 dollar on one specific NFT — everyone wins with NFT rentals.
8th Question — Would you rent NFT wearables for an avatar?
The concept of virtual identity is still very young and with the relatively high entry barriers for metaverse characters (partly caused by the lack of rental solutions as well) we have already expected these mixed responses.
With all the upcoming metaverse projects it is just a matter of time until people will start developing interest in their virtual appearance similar to the PFP NFT hype.
A few excerpts from our respondents regarding NFT rentals in general.
„The fact that you finally can make some profits with your NFTs without having to let it go since there is also an emotional value for some in NFTs.“
„Renting solves some of the illiquidity issues of NFTs and give additional returns.
I have a gaming NFT, but I don’t have time to play all the games.“
„Renting NFTs for testing out any gaming experience and using it for attending events is mind blowing, brilliant idea.”
„It allows people with little capital to take advantage of NFTs for a period that would be otherwise economically inaccessible to them.“
„This helps solving the liquidity issue of having an NFT!“
„Lowers the entry barrier for users to play games.“
What most people considered challenging were the potential high gas fees that could diminish rental profits and prevent people from renting out NFTs in the first place.
We have invested a huge amount of time optimizing our codebase to reach the maximum gas efficiency possible. Additionally we are already finalizing our multi-chain solution support for Solana, Polygon and more to decrease gas fees further and enabling renting for everyone.
Conclusion
The survey shows that there is a great need for NFT rentals that goes beyond gaming and real world events. With regard to companies like Nokia, Blockbuster or Kodak, which have become irrelevant by ignoring innovations, it is critical for companies to follow the interests of their users.
Gaming projects in particular have to recognize that there is a big interest in renting or leasing NFTs in order to generate passive income.
With Ubisoft joining the NFT-gaming sector it is just a matter of time until other big gaming studios will follow.
In contrast to these well known areas of use the fact that NFTs can grant access to real world assets is still relatively unknown.
Soon the Airbnb host will no longer have to wait for the guest’s arrival or need to send them any number combination to open the door.
The guest will just rent an NFT from the host that allows them temporary access to the residential property.
What may sound strange at the present time will be the absolute standard in a few years’ time.
This is why we look to the future with great joy and are looking forward to helping integrate our rental solution into every project that wants to set themselves up for the future.
About reNFT
Let your stale NFTs generate revenue and rent NFTs temporarily.
The reNFT vision is to bring any asset that has a rentable use case whether in the digital or physical realm on-chain as an NFT for trustless, secure, and quick rentability. We see this as anything ranging from intellectual property rights, physical/digital real estate, to in-game item purchases in gaming experiences. We live at the intersection of NFTs and DeFi.
The initial and core reNFT product enables peer-to-peer renting of ERC-721 and ERC-1155 non-fungible tokens (NFTs) on Ethereum mainnet.
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