According to the most recent analysis by Emergent Research, the global Non-fungible Token (NFT) market size reached USD 50.10 billion in 2021 and is projected to grow at a revenue CAGR of 10.7 % over the forecast period. Increasing demand for decentralized markets and the metaverse’s quick ascent are two major reasons influencing the growth of the non-fungible token market globally. The expansion can be linked to the rising global demand for NFTs, which is driven by attributes like their individuality, transparency, and distinctiveness. NFTs cannot be divided among several owners because they are indivisible. The buyers are protected from false NFTs thanks to the ownership advantage provided by NFTs (non-fungible tokens).
The Internet Corporation for Assigned Names and Numbers (ICANN), which oversees the standard Domain Name Service (DNS), has very little authority over such domains. This raises concerns about censorship and security. This is less of a problem with blockchain domain names because they are permanently stored in a public registry and can be altered by a third party.
The most popular token standard for NFTs is Ethereum. NFTs are often created using the ERC-1155 and ERC-721 token specifications. In addition to Ethereum, other blockchains like Flow, EOS, and Tezos provide token specifications for creating NFTs. Additionally, it is anticipated that Ethereum’s planned switch from a proof-of-work to a proof-of-stake mechanism will result in a 99.9% reduction in the amount of energy used by its blockchain. So, it is anticipated that the use of Ethereum tokens for NFTs would increase globally.
Quick trading and personalized domain names are made possible by blockchain domain NFTs. Crypto-addresses comparable to an Instagram or Twitter handle is allowed by the Ethereum Name Service (ENS) and Unstoppable Domains, which are decentralized alternatives to the traditional DNS. However, each name must be unique. Users of Instagram and Twitter are unable to sell their identities, however, they can do so with ENS and Unstoppable Domains.
Some of the Report’s Important Highlights
Revenue growth in the physical assets segment is anticipated to occur at a consistently high CAGR during the projection period. The tokenization of physical assets is not as sophisticated as that of digital assets. However, more initiatives are looking toward tokenizing real estate, unique fashion items, and other things.
Due to the gaming industry’s rapid expansion as well as the expanding use of NFT to make money while playing, the gaming segment is anticipated to experience a strong and consistent rate of revenue increase over the projected period.
Due to the high concentration of important market participants in the region’s nations, including Cloudflare, Inc., PLBY Group, Inc., Dolphin Entertainment, Inc., and Funko Inc., the North American market is predicted to grow at a significantly faster rate than other regional markets.
yellow heart, Cloudflare, Inc., PLBY Group, Inc., Dolphin Entertainment, Inc., Funko Inc., OpenSea (Ozone Networks, Inc.), Takung Art Co., Ltd., Dapper Labs, Inc., Nifty Gateway (Gemini Trust Company, LLC), and MakersPlace are a few notable businesses that are profiled in the global market study (Onchain Labs, Inc.)
PLBY Group, Inc. entered a legally binding agreement in October 2021 to buy social media site Dream for USD 30.0 billion in cash and PLBY Group equity. To establish CENTERFOLD, a newly regulated and creator-led platform, PLBY Group will make use of Dream’s technological platform. CENTERFOLD is envisioned as a platform that will provide creators access to Playboy’s enormous content library as well as a variety of forms for content creation and direct audience participation.
Emergen Research has segmented the global non-fungible token market based on type, application, end-user, and region:
Type Outlook (Revenue, USD Billion; 2019–2030)
- Physical Asset
- Digital Asset
Application Outlook (Revenue, USD Billion; 2019–2030)
- Video Clip
- Audio Clip
- Pixel Art
- Fractal/Algorithmic Art
- Computer Generated Painting
- 2D/3D Painting
- 2D/3D Computer Graphics
- Trading Card Game (TCG)
- Video Game
- Strategy Role Playing Game (RPG)
- Domain Names
- Assets Ownership
End-Use Outlook (Revenue, USD Billion; 2019–2030)
Regional Outlook (Revenue, USD Billion; 2019–2030)
- North America
- the U.S.
- the U.K.
- Rest of Europe
- the Asia Pacific
- South Korea
- Rest of APAC
- Latin America
- Rest of LATAM
- Middle East & Africa
- Saudi Arabia
- South Africa
- Rest of MEA