The hype surrounding Non-Foldable Tokens (NFTs) has allowed some of the world’s most recognizable brands to generate hundreds of millions of dollars in additional revenue, underscoring the collective consumer appeal of digital collectibles.
Leading brands including Nike, Gucci, Dolce & Gabbana, Adidas and Tiffany have collected $260 million in sales from NFTs, according to data from Dune Analytics first reported by NFTGators. Nike’s NFT drops have raised $185.3 million in revenue, with volumes in secondary markets approaching $1.3 billion.
Dolce & Gabbana generated $25.6 million in revenue from NFT. Tiffany, which recently launched an NFTiff token that allows CryptoPunk holders to mint custom pendants, has raised $12.6 million in NFT-related sales. Total NFT revenues for Gucci and Adidas were $11.6 million and $10.9 million, respectively.
NFTs went mainstream in 2021, with groups like Bored Ape Yacht Club and CryptoPunks generating billions in lifetime sales. The hype surrounding digital collectibles has finally caught the attention of major brands, who are beginning to experiment with technology to better connect with their customers. Although the NFT craze has faded in recent months, the impact of the new technology is expected to leave a lasting mark. Companies like Nike and Adidas plan to take NFT’s ambitions to the Metaverse — moves designed to expand their brands’ reach into the virtual world.
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While estimates vary, investors and technologists believe that the NFT market has a very bright future. According to a recent survey by market aggregator CoinGecko, respondents believe that the NFT market could be worth more than $800 billion over the next two years. More conventional research put the global NFT market valued at around $230 billion by the end of the decade.