Questions about Digital Collectibles and NFTs? We are here to help!
You know and trust the Veteri Productions family of brands to provide you with safe and fun family entertainment within the pop culture collectible space. With that trust in mind, many of you have asked me recently why I am bullish on the exciting and emerging technology of digital collectible assets. Since I am hearing more and more people at our shows ask questions about NFTs and other new digital collecting categories, we decided to share my knowledge with you and to bring you on this journey.
First off - what is an "NFT"? This stands for "non-fungible token", but really all you need to know is that an NFT is a digital asset as opposed to a physical one. an NFT can be a piece of digital art, a photo, a video clip, a song, a digital experience, items in a digital environment or game and so much more! What makes an NFT different from just any old image file or song that you find online is that the NFT comes with proof of ownership. This is not determined by some simple "certificate of authenticity". Instead, with NFTs, ownership of the assest is recorded with a technology called "blockchain". This technology is similar to like the deed on a house - only one person can be the recorded owner for that home's deed, and only one person can own the specific digital asset in question. Ownership can be transferred for that digital collectible and it will be recorded on the blockchain, just like ownership of property can be transferred for a home and it will recorded at City Hall. In essence, this technology helps protect you as the owner of this digital collectible.
So - why am I bullish, excited, and “all-in” on the digital collectible assets?
The creators of digital collectible assets that you purchase will often give you as the holder full rights to commercialize the image and/or character in any way you wish. This is VERY powerful, and a huge value add. It means that if you acquire a highly desirable asset, you can find way to use it! Ownership makes the process frictionless, with no need for long drawn-out licensing negotiations, contract reviews, signing, lawyers, etc. This is much different than when you own a physical collectible like a card or a comic. While you can always sell the physical item itself, you cannot use the character art of that item in other commercial ways. With many NFTs - you can!
Digital collectibles can be transferred globally on a marketplace in an instant.
Transaction is instantaneously verified and confirmed via the Blockchain.
No need for shipping and handling of any tangible item. The digital asset is automatically removed from your digital wallet (as the Seller) and transferred to the Buyer’s digital wallet. You also never have to worry about the item getting lost, stolen, or damaged via transit.
No need for verification or third-party grading.
Being transferred via theBblockchain automatically serves as the digital collectible being authentic. No longer can items be counterfeited. Authenticity is guaranteed and baked into all digital collectible asset transactions.
Never have to worry about how your collectibles are stored and cannot be lost or destroyed via fire, other act of God, intentional or negligible acts of others. The digital collectible lives on the blockchain, which cannot be destroyed or tampered with in any way.
When you own a digital asset, you own a piece of the character set and thus, you get to take advantage of the value accrual. As parts of the set increase in value, so too does your asset!
Digital collectibles have utility. What is utility? By owning your digital collectible, it makes you eligible to have access to an exclusive community, eligible for financial perks, free drops, in real life events, discounts on merchandise, etc. So it is almost like a membership card that often grants you access to other items and experiences that you wouldn't have others.
When you purchase a digital asset, they come with a very creative and supportive communities. Often, you will be the benefactor of many networking opportunities This is not always the case with physical collectibles.
As the world moves into the digital space your digital assets serve as a social signal to others.
As with tangible collectibles, digital collectibles are also very fun to collect and can be enjoyed via on your phone or the many devices coming on the market that allows you to display them. The emotional connection can be even greater with digital collectibles as it serves as your membership pass to the community in which your digital collectible belongs to. Beyond the item itself, these collectibles open up communities and experiences for you.
Digital collectible come with different rarity traits and thus, have an identical “chase” or “short box” character feel when collecting. All the aspects you enjoy about collecting tangible items and hunting down special releases or editions are also found in this digital space.
Digital assets don’t take up any space! We all are challenged by not having enough space to store and display or tangible collectibles. Display rooms grow full and we question whether we can keep going! With digital assets, we can more easily manage collections sprawl with more options as to how we choose to display and store our assets.
If you are even a little bit intrigued by this new collecting category, please allow me to take you on this journey with me and introduce you to a company I am now part owner of - Opus-Labs.