The beauty and fashion industries, as well as the gaming sector, have already been affected by NFTs, but the ticketing business may be the next best application.
Nonfungible tokens were first created in 2015, and their popularity rose in 2017 when numerous prominent digital collectibles such as CryptoPunks and EtherRock were built.
Early interest among prestigious sports clubs fueled the popularity of NFTs, which exploded into widespread appeal after digital artist Beeple’s work was sold as an NFT for over $69 million. The Beeple event caught the attention of the globe and demonstrated to be a milestone in the NFT market’s development.
Most of the major household brands, premium sports and clothing companies, celebrities, sports stars and influencers are now involved in the NFT craze.
Many people predicted that the hype and frenzy around the market would be the reason for its downfall, yet the NFT ecosystem has exploded beyond the digital collectible industry.
NFTs have also had a significant impact on the gambling business, with play-to-earn (P2E) and integrated NFT rewards becoming increasingly popular in 2021. Many people in Vietnam earn money through games like Axie Infinity, according to market experts, and they predict that almost all video games will be converted to P2E models within 10 years.
The introduction of nonfungible tokens into the digital collectibles and gaming industries has sparked a lot of interest, but numerous other sectors are also turning to NFTs. The ticketing sector is one notable case in point; it will integrate NFTs in order to improve its services.
How NFTs shape the ticketing market
While the ticketing market has progressed enough in recent years that it is now digital, it is still rather centralized, allowing for the development of secondary and underground markets.
Concert and performance tickets are purchased early by scalpers on these platforms, who then sell them at an inflated price to hoarding individuals.
On numerous occasions, scalpers will sell fakes to unsuspecting customers. Customers have no means of determining whether or not the tickets they’re buying are genuine until after they’ve purchased them.
NFTs, as proved by the fact that they save data on a blockchain, provide evidence of authenticity. Putting coupons on a blockchain would guarantee not only the ticket’s authenticity but also whether it was being sold by a legitimate organizer, according to the same logic.
The secondary-ticketing sector is an important one, with many NFT tickers already used to facilitate ticket purchases.
For a long time, the secondary market has been mostly inaccessible to event organizers, venues and artists. Unregulated and speculative, it affects both fans frustrated by high prices and artists who are beleaguered by an unhappy fanbase.
Artists and event organizers can use smart contracts to regulate ticket resale with NFT ticketing.
NFTs can provide a variety of advantages, including royalties from resales and limiting the upper or lower pricing restriction. The community gets considerably closer to the artist or sports team with NFT tickets. This implies that they play a more significant role in their favorite musicians’ or sports teams’ choices.
In addition to travel, there are numerous other advantages to purchasing NFTs. It’s a collectible that can also be used as a gift bag for a variety of perks. It may be a wallet that protects your money from theft. You could give access to certain areas at an event or present a t-shirt, lunch, a signed poster, or $100 in goods at the concert venue.
NFTs are closing the gap between disconnected experiences markets. A ticket for a show might be represented by an NFT, but it could also open your hotel stay, take you to a nearby theme park, and even unlock your rental car on your next trip.
Future of NFT Ticketing
The hype surrounding NFTs among major companies has unquestionably aided the ticketing market in attracting more organizers, according to several founders and creators. NFT ticketing is still a relatively new technology, so there’s lots of room for development. With a projected aggregate market volume of $94.27 billion by 2026, the ceiling for the appropriate solution is as high as the industry itself.
Despite a fast development, the NFT ticketing sector is confronted with several obstacles on its path to success.
NFTs are becoming more popular, and big businesses have started to recognize the value of NFT technology. The adoption of NFTs in event ticketing necessitates educating companies on how they may utilize the underlying technology beyond simply digital collectibles.
NFTs already have a level of trust and comprehension, and thus the future of NFT ticketing appears to be the next best use case.