In Part I of this article, we discussed how to uncover the hidden utilities of your NFTs, including both tangible offerings and intangible experiences.
At RE:DREAMER, we strive to connect NFTs to real-world experiences, rewards, and physical goods. We provide an innovative, modular redeem protocol that validates and authorizes exchanges between blockchains and mainstream systems. In short, we aim to revolutionize the trading of digital and physical assets, opening up cross-brand collaboration to drive community engagement and business growth.
In this article, we will continue to explore more ways that you can exercise and even monetize your NFTs. Stay tuned for more insights and ideas.
1. Maximize the IP
Utilizing royalty-free images of prominent NFT projects as the images for your own products can be an effective way to promote them. It’s like having a famous brand ambassador, and you may even gain the support of the NFT project’s community.
For example, Bored Ape Yacht Club (BAYC) gives holders full commercial rights over their tokens with no monetary cap (some NFT projects also offer full commercial rights, but may have a monetary limit). The creators of BAYC, Yuga Labs, believe that by allowing owners to have full intellectual property rights, they can apply them to their own creations and ultimately support and strengthen the entire BAYC community. As a result, BAYC has spawned some impressive side projects.
A fast-food restaurant in California called “Bored & Hungry” used the owner’s BAYC NFT as the inspiration for its logo design. Diners at the restaurant can see images of the Bored Ape and Mutant Ape (another collection by Yuga Labs) on their burgers and drinks, as well as on T-shirts, hats, and even the restaurant’s food truck. By leveraging the power of its NFT collection, the restaurant was able to create a cohesive and memorable brand identity that has resonated with customers.
Bored Ape Wear is a clothing brand founded by a BAYC holder that is based on the fact that BAYC gives owners full commercial rights. In addition to selling clothing featuring the BAYC NFT image that the founder owns, the brand also collaborates with other BAYC holders. Bored Ape Wear handles the manufacturing and sales, while the other owners receive 50% of the profits.
Chinese sport brand Li Ning has also launched merchandise featuring BAYC #4102 and founded the “Li Ning’s BAYC Sportswear Club” to promote events. These examples show how NFT holders can use their assets to create new products and businesses, and even collaborate with others to expand their reach and impact.
0x0 is a full-service music label for the metaverse run by a team of music industry professionals and blockchain enthusiasts. Their first virtual artist is a BAYC character who has released singles and music videos. The label later brought together 20 BAYCs to form the boy band “Medicine Man & A-POP”, releasing a single with pop singer Kimberly Chen.
This demonstrates how NFTs can be used to create new and innovative musical projects, and how artists and labels can leverage the unique properties of the metaverse to reach new audiences and explore new creative possibilities.
Brave Series x Fandora x RE:DREAMER
Another example of how NFTs can be used to drive value and engagement is our project with Netflix’s Brave Animated Series and Fandora Shop, a merchandising company.
This popular animation launched a 500-piece limited edition global rNFT project. rNFT holders were able to redeem one of four models of Demon King Figures, and the rNFTs also served as tickets to exclusive events, invitations to online communities, and keys to unlock privileged equipment in the Brave World metaverse on Sandbox.
In addition to blue-chip NFTs like BAYC, there are many other projects that give owners commercial rights, such as Zombie Club and Elysium Shell. It’s worth doing some research on your NFTs to see if you can maximize their intellectual property value.
2. Collateral / NFT Staking
Another option for maximizing the value of your NFTs is to use them as collateral or stake them, though this option may not be suitable for beginners.
Use as collateral to secure a loan
By listing your NFT as collateral, you can secure a loan without having to sell the NFT, which can be helpful in situations where the NFT market is not very liquid. However, this option comes with some risks, including the potential for the NFT market to crash and the need to pay interest on top of the primary loan amount.
Not all NFTs are eligible to be listed as collateral — only recognized projects are accepted by lending platforms. Some well-known NFT lending platforms include BendDAO, NFTfi, and Drops. As always, it’s important to do your own research before making any decisions.
While not a common practice at the moment, it is possible to stake certain in-game NFT assets in certain GameFi projects. The concept is similar to staking NFTs on a DeFi platform — by locking your NFT on a platform or protocol, you can receive rewards and other benefits in exchange. Some popular NFT staking projects include MOBOX, Zookeeper, Axie Infinity, Decentraland, Sandbox, Onessus, and Kira. As always, it’s important to do your own research before getting involved in any projects.
These are just a few ideas to help you make the most of the NFTs so that they are not collecting dust in your crypto wallet. Now that you’ve learned about these options, it’s time to reexamine your assets and start taking advantage of their potential value.
If you’re interested in learning more about how to utilize your NFTs, stay tuned for more insights and ideas, and don’t hesitate to leave us a comment!
Enable anyone to do phygital business anywhere! RE:DREAMER bridges Web2 and Web3 with payment-like API/SDK, connecting NFTs to real world experiences, rewards, and physical goods to drive community and business growth.