There has been a lot of talk about NFTs in the past year – and there are many resources where you can read more to find out about the concept. The debate has mostly been as to how they work and whether or not they are practical. This discussion has also made its way into the world of business and for good reason.
Namely, NFTs have the potential to help businesses, as well. There are already cases where they have started to take effect. Although we will list only 3 ways NFTs could help businesses in the future, many more ways remain to be seen. Let’s check it out!
In the Metaverse
Now that Meta has started to bring in the concept of the Metaverse, it’s clear that many people are going to jump on that train. The same can be said for businesses, which are looking to expand their reach into the Metaverse as well.
One concept that is going to become a reality in the Metaverse is clothing and other virtual items for avatars, including real estate.
NFTs could help in the Metaverse by becoming a means through which businesses can sell these virtual products. Some companies have already started to employ this method such as Nike and Coca-Cola.
Transparency of ownership
Many buyers, as well as businesses, have been trying to battle scams and counterfeit products for a long time. NFTs could be the key to stopping this.
A great example is Nike, a company that has created NFTs and tied them to physical products – their sneakers. Should a customer happen to buy or consider buying a counterfeited item, they only need to look for the barcode to confirm it’s an original product.
Other businesses can apply this concept to their products and, in so doing, make the battle against counterfeit products that much easier.
Using fewer resources
There is an abundance of businesses that use physical resources. One such example is the paperwork most have to do, especially when selling a product to a customer. NFTs could help reduce this need.
The real estate industry is a perfect example of this. Instead of using mountains of paperwork to make their business possible, real estate companies could use NFTs. This also helps combat the time it takes to gather the papers, as well as the possibility of misplacement and grammatical issues.
NFTs could help make the process a lot faster and easier to handle for many businesses. Other industries such as the automotive industry can apply this method as well.
The above information does not constitute any form of advice or recommendation by London Loves Business and is not intended to be relied upon by users in making (or refraining from making) any investment decisions. Appropriate independent advice should be obtained before making any such decision. London Loves Business bears no responsibility for any gains or losses.
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