Role of NFTs in digital marketing

Abstract

A Non-fungible token is a digital token carrying all the features of the block chain. It is immutable, traceable, trackable and transparent. Because NFTs are minted on blockchains, they’re individually equipped with a unique proof of ownership that is both secure and decentralized. They also feature “smart contracts” that enable their creators to receive royalties from every future resale, depending on the contract’s structure. Digital era brought huge accessibility to firms; however, it also resulted in making it easy to have copies of any piece of data and thus resulting in huge losses. Hence, using NFTs creates value by creating scarcity among otherwise infinitely available digital assets. The NFTs can be used by multiple firms in their digital marketing strategies for building brand awareness, expanding outreach, and protecting brand image, driving pre-orders, promotion of events etc. Some companies are using these to create new sources of revenue. Some of the industries in the field of art, liquor, music etc. have already started using NFTs.