Digital events are rapidly advancing the continued adoption of the metaverse. Now, the creators behind Fanz dApp are developing a solution to allow digital event organizers to monetize their events using NFT tickets in the Decentraland metaverse.
What Problems Do NFT Tickets Solve?
Fanz is a dApp that was developed by Decentraland DAO grantees, and allows event organizers to issue tickets for their metaverse events. The technology developed by the company enables improved management of tickets as NFTs. The platform offers services to facilitate the creation and promotion of events, as well as the buying and selling of tickets.
As written on the Decentraland blog, by using NFTs, the company is looking to address the main challenge of organizing metaverse events—monetization. The issue has persisted among metaverses due to the fact that selling ticket to metaverses events is still not as straightforward as selling tickets for physical venue event.
The use of NFT technology allows organizers to overcome the challenge of counterfeit tickets and scams, which are rampant issues in the events industry. On one hand, attendees who purchase purportedly genuine tickets miss out on the performance, and on the other, the organizers lose money to counterfeit tickets.
Exploring the Further Possibilities of NFTs
The Fanz team believes that NFT technology has a broader use case in the entertainment business. Authentic NFT tickets can be traded after the event, creating a new collectibles market.
NFTs can also be tied to single performers, enabling the establishement of a blockchain-verified royalty system for said performers based on each sale, and thereby bringing in new revenue streams.
NFTs make tickets unique to their issuers, allowing them to serve as prospective access keys to future material should the issuer chooses to use such a feature.
“For example, artists organizing private, reduced listening parties in Decentraland can issue an NFT ticket for an intimate performance at a special price tag. Then, years later, the artist could share a recording of the event that would only be available to those members who hold the limited NFT from the listening party,” the company explained on the official Decentraland blog.
On the Flipside
The market share of the metaverse in terms of entertainment is expected to increase to $28.92 billion USD by 2026 at an accelerating CAGR of 8.55%, according to a 2021 study.
The market cap of NFT multiverse Decentraland is worth between $800 million and $1.4 billion U.S. dollars.
Why You Should Care
While tech giants are trying to secure their share of the metaverse industry, experts agree that metaverse and immersive digital experiences will become part of daily life in the near future. NFT technology will therefore be a core building block for the metaverse due to the proof of ownership they it provides the digital space.