Nonfungible tokens (NFTs) have generated mainstream interest over the last year. A yearly market report from NonFungible found that the total value of
Nonfungible tokens (NFTs) have generated mainstream interest over the last year. A yearly market report from NonFungible found that the total value of all NFT transactions worldwide surpassed more than $17 billion in 2021, up from $82.5 million in 2020. The report also pointed out that “NFT” was selected as Collins Dictionary’s word of the year for 2021.
Given the increasing amount of interest NFTs create, a number of events dedicated entirely to nonfungible tokens are also taking place, attracting a mix of both crypto enthusiasts and non-crypto natives. This was recently seen during NFT LA, a four-day-long conference that took place in downtown Los Angeles from March 29 to April 1, 2022. The organizers behind NFT LA told Cointelegraph that the event attracted over 3,500 people.
Web3 education and onboarding were major themes
While NFT LA featured a number of panels on different topics from over 250 speakers, there was a large focus on Web3 education and ways to onboard new users into the space. For example, Johnna Powell, global co-head of ConsenSys NFT — the NFT wing of Ethereum software developer ConsenSys — told Cointelegraph that the organization is particularly focused on enabling users to easily utilize a MetaMask wallet. Powell explained that she spoke about ways to ensure that Web3 resonates with the mainstream during her panel discussion at NFT LA:
“When people get excited about NFTs, it’s not necessarily because they are thinking of Web3 or crypto. Rather, people are thinking about collectibles like stamps or trading cards. When NFTs are purchased through our platform, we want to create an easy user journey that introduces individuals to Web3.”
Powell noted that ConsenSys NFT works with large brands and IP owners to enter the NFT space. In turn, these organizations are able to drive users to the ConsenSys NFT platform. “We then ease individuals into Web3 wallets like MetaMask,” said Powell. Once non-crypto natives become comfortable using a Web3 wallet, Powell believes that newcomers will eventually start to collect more NFTs.
Powell also explained that ConsenSys NFT is working on NFT use cases that will resonate with the mainstream. For example, she said that ConsenSys NFT recently partnered with MAC Cosmetics on its first-ever NFT collection featuring the work of the late artist and activist Keith Haring.
While Powell discussed ways to get the mainstream involved with Web3, Monica Long, general manager of RippleX — Ripple’s innovation arm — told Cointelegraph that she spoke about the evolution of Web2 to Web3 during her panel at NFT LA:
“I talked about the role big tech companies play in the Web3 world. Overall, I think moving from Web2 to Web3 won’t happen overnight. We will see a blend of centralized and decentralized finance. I also talked about OpenSea and their role to make NFTs more user friendly.”
According to Long, while NFTs are attracting mainstream interest, there are still a number of challenges that exist in terms of self-custody and user-friendly interfaces. “Web2 developers are great at ensuring user-friendly experiences, which we urgently need in the NFT space,” she remarked.
Echoing Long, Matt Mason, chief content officer at Palm NFT Studio — a technology firm that partners with artists, creatives, IP owners and entertainment companies to onboard them into Web3 — told Cointelegraph that he spoke about how to launch NFT drops at scale, noting that user experience must be seamless.
Palm NFT Studio recently launched an NFT project with Warner Bros. Consumer Products’ DC Comics. Known as “The Bat Cowl Collection,” the drop featured 200,000 unique 3D-rendered Batman cowl NFTs.
When launching an NFT project this large, Mason explained that both consumers and intellectual property holders need to have a user-friendly experience:
“For fans, it’s about thinking about how to ensure they have a good experience with NFTs from the start. To ensure this, we’ve created a custodial wallet inside our platform where consumers only have to click a button to get their NFTs. This provides a better experience.”
Mason added that as time progresses, consumers will become more interested in nonfungible tokens, which will eventually allow them to move assets around on the Ethereum network. “Roadmapping third-party wallet integrations are down the line for Palm NFT as we scale but, we have a large mainstream audience, so we need to make the NFT process as easy and as seamless as possible.”
Regarding intellectual property holders like DC comics, Mason explained that many of these companies require conservative approaches to NFTs centered around compliance and regulations. “We stay close to what the Securities and Exchange Commission is doing and…
cointelegraph.com