NFTs are non-fungible digital assets that serve as valid proof of ownership on the blockchain. In 2021, NFTs experienced a surge, with Opensea reaching a new all-time high monthly trading volume of $3.5 billion. The most significant collections in the space, such as Bored Apes and CryptoPunks, have minted many NFT millionaires. The profitability of NFTs is a substantial factor in the widespread adoption of NFT technology.
The NFT sector is a relatively new industry that struggles to add real utility. Most NFT collections on the market do not offer any real utility, raising concerns about the NFT sector’s long-term sustainability or if it is all just hype. Utility NFTs are NFTs valued based on token holders’ access, perks, and opportunities. Utility NFTs are NFTs that have a distinct intrinsic value in addition to the scarcity that is typically associated with NFTs. ‘Based on user demand, utility NFTs, or NFTs 2.0, are the future and provide a broader range of practical NFT applications.’ Having a utility NFT, for example, can provide exclusive experiences, early access to products, airdrops, exclusive invites to events with top celebrities/athletes, and much more.
This article will examine the most promising utility-based NFTs and NFT tools for the year 2022.
Most Promising Utility-Based NFTs
- Bored Ape Yacht Club: On the Ethereum blockchain, the Bored Ape Yacht Club is a collection of 10,000 unique artworks styled as apes. Yuga Labs, a team of four, launched this project in May 2020 with a mint price of 0.08 Eth and has gone on to generate over $1 Billion in revenue in less than a year, an enormous achievement by any standard. The utility provided to holders of Bored Ape Yacht Club’s NFTs was a critical factor in the club’s growth. BAYC holders have access to exclusive clubs and areas and additional benefits such as new NFTs, upgrades, and so on. The BAYC NFT currently has a floor of 98.9 Eth, making it the most successful utility-based NFT collection released to date.
- CloneX: CloneX is another promising NFT collection to watch in 2022. It is a blockchain-based collection of 20,000 algorithmically generated 3D artworks. CloneX NFTs are created with metaverse interaction in mind, serving as one-of-a-kind avatars for holders in the metaverse. A CloneX NFT was recently purchased for 450 Eth.
- VeeFriends: VeeFriends is an excellent example of an NFT collection that offers accessibility as a utility. Veefriends is an NFT project built on the Ethereum blockchain that consists of 10,255 artworks. Veefriends has 9,400 admission tokens, 555 Gift goats, and 300 direct access tokens. VeeFriends holders have exclusive access to the VeeCon, a multi-day event. Furthermore, each NFT has its level of access via smart contracts. Gary Vaynerchuk, the Chairman of VaynerX, founded VeeFriends.
Most Promising NFT Tools for 2022
OpenSea: Since its inception in December 2017 during the first NFT boom, OpenSea has grown to become the most critical NFT marketplace in 2022. Opensea is a platform that offers various services such as listing, buying, and selling NFTs. It is built on the Ethereum blockchain. Opensea has made significant contributions to the growth of the NFT sector and is expected to generate more than $3 billion in monthly trading volume in January 2022. Following its Series C funding round, OpenSea is now valued at $13.3 billion. OpenSea’s platform has thousands of NFTs listed on it and has made NFT trading convenient, providing undeniable utility to the NFT sector as a whole.
Rarity Sniper: Rarity Sniper is a valuable tool for determining the rarity of your NFT collections on Ethereum, Solana blockchain, and other platforms. The rarity of NFTs plays a significant role in the success of an NFT collection in the NFT sector. Rarity propels a large portion of the economy centered on collectible NFTs and generates excitement. The outcome of a calculation focuses on the various traits found in a collection’s NFTs. Rarity sniper assists NFT collectors in distinguishing between different NFTs in a collection and guiding their investment strategies. Collectors can track these rarities with a tool like Rarity Sniper to ensure they are finding the best NFT for their goals and budget. Additionally, creators can now publicly share the rarity of their NFT with collectors.
SuperNFT: SuperNFT is a utility NFT that allows users to create validated files and convert them into NFT movable assets. SuperNFTs are a critical component of the KwikTrust protocol. SuperNFTs enable a slew of new NFT applications in finance, asset management, intellectual property management, and identity verification. KwikTrust is a blockchain-based solution that accelerates file validation and due diligence while also providing provenance and legal protection. The blockchain platform aims to set a new standard for data signing and security in the ‘web3’ era. KwikTrust handles security risks, high costs, and insufficient data during the due diligence process.
In addition, SuperNFT enables the locking and issuance of non-fungible tokens based on authenticated identity, provenance, and e-signatures. SuperNFT can generate asset classes in finance, deeds of ownership, and intellectual property storage. SuperNFT helps to address critical issues confronting NFTs today, such as identity, provenance, security, and utility.
The Future Of the NFT Sector
The NFT market is still in its early stages, and NFTs still have a long way before being widely adopted. Other asset classes, such as fractional ownership, intellectual property, stores of value, physical asset proof of ownership, and financial instruments, will be added to the NFT market in the future. Utility NFTs, such as SuperNFT, intends to play a role in NFT mainstream adoption by addressing significant issues in the current NFT sector, such as scarcity of value and utilizing NFT technology to improve users’ lives directly.