Kevin Rose argues NFTs are more than JPEGs: brands could use them to make subscriptions resellable with royalty streams, help price limited sneakers, and prove ownership of physical goods. The token gets destroyed when you claim the real product.
100 years from now, we'll look back on CryptoPunks and these early projects as being a changing of the guard and a brand new shift in a way to capture value.
On the Tim Ferriss podcast, Kevin Rose revealed how brands will be using NFTs in the future.
Everyone that thinks about NFTs, they think about JPEGs. They're being— they don't necessarily think about actually the technology and how it can be applied to different things. For example, subscription services could be resellable. Kevin explores this because of what's written into the code in the smart contract behind the scenes for the NFT. 10% of that sale could go back to the manufacturer. You can imagine no longer waiting in line for some crazy Supreme drop or some, you know, Yeezy sneaker drop. You get the NFT instead and then price discovery happens in the secondary market via NFTs. Gets rid of fraud at the same time. It's amazing. Let's say you have a limited edition Air Jordan NFT and you're like, I actually want this pair of shoes rather than have to go on eBay or any of these secondary marketplaces. And you could go direct to Nike and say, Nike, here's my wallet. I'm going to connect my actual cryptocurrency wallet. Here's my NFT. So I prove that I have the rights to one of these pairs of shoes. Take my NFT and you will destroy it. And in return, You will present me with a form where I put in my shipping address and you'll actually ship me the physical shoes.
It's this utility component of NFTs that makes the marriage of brands and blockchain so enticing.
