Last week, the new NFT music platform OneOf received $63 million in seed funding. A few weeks before that, NFT marketplace Bitski closed its $19 million Series A fund. NFTs aren’t going anywhere. (And if $63M counts as a seed round then I officially have no idea what a seed round is anymore!)
Still popular after the hysteria. Despite the skeptics, NFTs are still here after the rush of attention they got in March. The landscape has evolved from cash grabs to a more realistic future. There will still be winners and losers, but there will more insights to gain from future success stories.
Several NFT platforms have emerged in the past month. The attraction is clear. Demand is high, and platforms have been the most lucrative tech startups of the past decade.
But artists don’t need more NFT marketplaces. They need platforms that can integrate NFTs into an overall commerce strategy. NFTs don’t have to be bought and sold in isolation. Water & Music’s Cherie Hu had a great point about this a few months ago. Saying you’re an “NFT company” is like saying you’re an “internet company.” The focus should be on the benefits, not the features.
A platform like Bitski can succeed because the vision is bigger than the product. It’s a marketplace for all digital products, not just NFTs. It has the potential to be a Shopify for creators where fans can buy NFTs as easily as they buy a t-shirt. NFTs can then be used to their full potential. They can offer unique access to both digital and in-person events, VIP access, backstage passes, livestreams, and more.
OneOf can also succeed because it’s focused on sustainability. NFTs use a lot of energy and have a huge carbon footprint, and OneOf’s solution is more conservation-minded. If it has the data to prove it after its launch in June, that will make the Quincy Jones-backed company even more successful.
“NBA Top Shot for X” is not enough. It’s a blunt reminder of all the unsuccessful “Uber for X” startups. More than that is needed—especially given the creativity that drives successful NFTs.
To read more, check out Forbes’ After The Hype: The Future of NFTs.