The NFT market exploded in November 2021 before crashing back down in 2022, which leaves us wondering whether 2023 has the power to see it rise again. NFTs aren’t the only blockchain-based assets struggling, with the entire crypto market seeing a significant decline. However, this doesn’t indicate less belief in NFTs and blockchain technology, it’s merely a reflection of the broader social financial struggles. With this in mind, we look at everything you need to know about NFTs in 2023.
The original use case for NFTs was the sale of digital art, and it’s still being used for this purpose today. If anything, the depreciation of NFTs is good news because it means more people can access the market. Anyone can create an NFT and sell it on the open marketplace, where its release will likely be tracked through one of the many NFT drop calendars.
Smart contracts, responsible for NFTs, are simply a means of securely keeping track of ownership using blockchain technology. This infrastructure can be applied to many different industries including real estate, where NFT-based property portfolios are emerging to increase liquidity by decreasing the steps involved with trading and sales.
The use cases for NFTs are growing, and with that is the popularity – despite the crash in price. To account for the growing interest in NFTs, especially where the Metaverse is concerned, blockchains will need to become more interoperable. Simply put, individual blockchains need to have methods of interacting with each other.
Document verification can be achieved using NFT tech, including diplomas, certificates, passports, and medical records. This is great news for hiring managers because it allows them to easily access a potential candidate’s professional credentials. When this technology becomes widely adopted, it will greatly reduce instances of fraud. If you want to explore a use case for this, check out this review of BlockCerts.
Adoption Becoming Easier
People enjoy simplicity, which is why phones and other devices are straightforward to set up. If the NFT industry is searching for widescale adoption, its implementation will need to become smoother. To achieve this, greater education needs to be offered, especially when it comes to businesses and mainstream media.
Businesses and NFTs
Blockchain technology is practically impossible to hack, and its usage has stretched far beyond cryptocurrency and NFTs. Businesses can utilize blockchain tech to demonstrate ownership of assets, collect data securely, and accurately track manufacturing processes. If you want to find out more about the growing use of NFTs in business, read this article.
NFT tech is being used to create intuitive games that are geared toward a more mainstream audience, and early investment in the projects is enormous. On top of this, console giant Sony has recently put in a patent request for NFT tracking technology within console games, which indicates a future in the mainstream arena.
The overall value of NFTs may be in decline, but that doesn’t mean the importance of NFT-based technology has reduced. As we continue through 2023, we will see growth in all areas outlined above.