Watch Out For These 3 NFT Trends in 2022
Recently, NFTs have stirred up the crypto market by the release of multiple famous NFT collections. According to the latest report by DappRadar, the NFT market gained revenue of approximately $12B in the first quarter of 2022, which accounts for 48% of total trading volume for the whole 2021. Through these figures, it can clearly be seen that the NFT market is continuing to grow robustly, creating new trends in a variety of fields such as fashion, real estate, etc. In this article, Rikkei Finance will walk you through 3 potential NFT trends in 2022!
NFTs shake up the music industry
Music is one of the key players in the NFT market. The year 2021 experienced a lot of well-known artists performing in the metaverse space such as Lindsay Lohan, Michael Jordan, etc. This trend will definitely develop stronger when artists realize the values and benefits they can receive. While Spotify’s top 0.8% of artists earn less than $50,000 in streaming revenue, NFTs might guarantee a much fairer compensation for musicians. For example, a personal anecdote by Linkin Park’s Mike Shinoda, was raised at $11,000 as his first NFT. In Vietnam, Binz, who is such a prominent rapper, has successfully published the “Don’t Break My Heart” song as an NFT on the Binance Smart Chain platform in order to easily connect to his fans. In the future, artists totally can use NFTs to sell tickets for art performances or concerts.
Go vibrant with the NFT real-estate market
In fact, many artists or investors or even fans have been spending huge amounts of money on buying virtual lands in the metaverse projects. In February 2022, the fashion icon Gucci made their official announcement on purchasing a virtual amount of land in the decentralized blockchain game The SandBox.
Another example is about an investor paying more than $450,000 to buy virtual land to become Snoop Dogg’s neighbor. This shows virtual real estate can be sold at sky-high prices, especially those located close to celebrities’ lands.
Big brands start to jump on the NFT Bandwagon
It is undeniable that the strong development of NFTs has drawn the attention of major brands. A wide range of global brands such as Gucci, Nike, Coca Cola, Louis Vuitton, Lamborghini, Adidas,… have released their limited NFT editions to the public.
It is argued by the analysts that the creation of NFT collections can help increase social interactions, boost sales and enhance brand loyalty. For example, Pringles created CryptoCrisp, a limited-edition digital collection of cryptocurrency-themed crisps with “virtual flavors”. Limited to only 50 versions, NFT is an MP4 file that shows a can of animated gold spinning Pringles with a “CryptoCrisp” flavor.
To conclude, 2021 can be seen as the beginning of the explosive development of the NFT market. The market generated more than $12B worth of trading in Q1 2022, while in 2021 this number totaled at $25B. According to DappRadar, it predicts a potentially sizable year-over-year increase to come for 2022 if the market continues at this pace. Therefore, we can fully expect the breakthrough developments of the NFT market in 2022.
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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.