August has been a good month for non-Fungible tokens (NFTs), and brands are now adding fuel to the perceived craze. OpenSea which is the largest NFT marketplace at the moment trades over $3.4 billion dollars across 1.67 million NFTs.
In just July, the number of items traded was just over $325 million. The numbers are really interesting at the moment, it’s pure exponential growth.
Despite that growth, NFTs are still a pretty new concept and most of the sales are driven by hardcore fans who believe in the project. Most of the assets being sold on the platform are based on digital arts, sports, and in-game items.
The market for gaming is going to be huge for NFTs. For example, users could collect collectibles and sell them at a higher price. Each collectible will be seen as unique and will thus drive up the value of the asset over time. That’s just one vertical along where it could be useful for games.
At the moment, most of the transactions are based on “generative art” where creators are using algorithms to create unique generative images. Most of them are trying to piggyback off CryptoPunk’s success which is working at the moment. See the market to evolve as large brands are taking notice and will probably join in the near future such as Facebook.
