Everything to know about NFT Ticketing

By offering a safe, clear, and effective method of issuing and managing tickets, NFT ticketing is transforming the event ticketing industry. This article will go through the concepts of NFT ticketing, how NFT events work, the advantages and disadvantages of NFT ticketing, and how it differs from regular tickets.

What is an NFT ticket?

NFT tickets are simply blockchain-based versions of traditional paper or digital tickets. They represent payment evidence as well as permission to enter events and experiences. For example, admission to a theme park, a sporting event, or a concert are all examples of events or experiences that can make use of NFT tickets. They can be used as a means of entry and as proof of the authenticity and ownership of the event.

How does NFT ticketing work?

It’s also not too difficult to issue NFT tickets. The event organizer merely creates the necessary amount of NFTs on the blockchain of their choice. During this time, they can either leave the ticket’s price up for bids or they can encode it into the NFT’s metadata.

The NFT tickets can then be published on an NFT marketplace or the website of the event’s organizer. The NFT will be transferred to the customer’s cryptocurrency wallet whether they choose to pay with crypto or fiat money to purchase the ticket. After that, customers only need to show their NFT tickets at the door. The tickets will be validated following a brief QR scan, and the user will then be allowed access to the event.

NFT tickets vs traditional tickets

Since they are kept on a blockchain, NFTs are much more difficult to counterfeit or copy than traditional tickets. By enabling event organizers to confirm that only authentic tickets are utilized to join an event, this decreases the risk of fraud and fake tickets.

NFT tickets can also assist in making up for lost revenue from ticket scalpers who buy tickets in bulk just to resell them to other people. This secondary market alone is worth more than $5 billion in the United States. In contrast, the issuer of NFT tickets gets a small percentage of each sale’s proceeds in the secondary market. If the event is well-attended, this can generate a substantial sum of money. Moreover, NFT tickets promote fan engagement and loyalty. Those who have NFT tickets for particular events may receive special offers from brands. The quantity of NFT tickets that the user has accumulated over time may boost these offers.

Besides, NFT ticketing allows for more customization and versatility in terms of ticketing. For example, event organizers may offer NFTs for different event areas, such as VIP or basic admission tickets. They can also offer information like seat numbers or access to premium content. This can speed up the ticketing procedure and conserve both time and resources.

Popularity of NFT tickets

Some well-known organizations and events have implemented NFT ticketing as a result of these advantages above. For instance, Coachella, a renowned music festival, has already distributed 10 NFT lifetime passes. Together with special advantages like front-row seating and celebrity chef feasts, these tickets give customers lifetime access to the show. Coachella will profit from the ticket as well; anytime it is sold again, a royalty fee will be paid to the concert organizers.

Likewise, the world-famous group the Jabbawockeez performed hip-hop dances, and NFT ticketing site YellowHeart collaborated with MGM Grand Resorts to auction off a selection of seats for the event. 1,100 NFT tickets were produced by YellowHeart, and they went fast. For other musicians like Maroon 5, Kings of Leon, etc., YellowHeart has offered comparable solutions.

In a different instance, in September 2022, Flybondi, a low-cost airline in Argentina, offered 2.5 million NFT plane tickets via an NFT exchange platform.

Risks of NFT tickets

There are some disadvantages to these assets in addition to their many advantages. First off, even though it is quite simple to create NFT tickets, a certain level of expertise in blockchain technology is needed to make sure everything goes smoothly. To receive and securely keep their NFT tickets, users must also have exposure and understanding of crypto wallets. Also, there might not be as many consumers eager to buy NFT tickets given that cryptos and NFTs have not yet gained widespread usage. Scams are also always a possibility, especially with new users.

To conclude, future applications for NFT tickets are limitless. They provide both holders and issuers with a number of advantages. Until NFT tickets are widely used, there is still much work to be done. Fortunately, the adoption of this technology should rise quickly over the next few years as a result of various major brands and events deploying NFT ticketing experiences.

Disclaimer: The information herein is for educational purposes only and should not be considered financial, investment, or trading advice. Please conduct your own research and due diligence before making investment decisions. You understand that you are using the Information provided at your own risk.