Non-fungible tokens create tremendous opportunities for brands and creators. Even social media platforms want to get in on the action, including Facebook, Instagram, and TikTok. There is a genuine NFT obsession among social media giants, and their efforts will likely increase over time.
The past few months have seen a complete shift in momentum for non-fungible tokens. Whereas companies first ignored the industry due to it being a “fad”, it has now become apparent NFTs represent long-term potential. Ever since Twitter offered the option to use NFTs as profile pictures to Twitter Blue accounts, momentum has continued to build. Today, all major social media platforms have high expectations for non-fungible tokens.
Meta, the parent company of Facebook and Instagram, set an exciting example. Its rollout of 3D avatars for Facebook, Messenger, and Instagram offers a glimpse of what NFTs may be capable of in such a setting. Although the functionality isn’t available in all countries yet, it has brought NFTs to many people’s feed posts. That has, in turn, made the depicted collections more popular.
Youtube, the world’s leading video content platform, entered the NFT space, although much quieter. The company has provided personalized NFTs to platform influencers, although there hasn’t been too much “buzz” surrounding that approach. A similar approach by Reddit, which lets suers change their profile pictures through NFTs, has had a lukewarm reception so far. Even so, these are all steps in the right direction for the non-fungible token industry.
What Comes Next For These Giants?
Meta has made it clear they are all-in on non-fungible tokens and the Metaverse. Exploring the new digital frontier remains a somewhat risky decision, although there is a firm plan of action. The collaborative virtual reality platform Horizon Worlds will offer a glimpse of the Metaverse and how it changes social dynamics. According to a recent blog post by AAX, there is a plan to explore the NFT space by launching a native marketplace and embedding NFT trading functionality on Instagram and Facebook.
For other platforms, like Twitter, TikTok, YouTube, etc., it will be a matter of figuring out monetization options for digital content. Twitter will seemingly explore options to publish and track NFTs through its platform and, use them as profile pictures, marked with a special icon to confirm authenticity. TikTok will release a video NFT collection featuring the most popular creators, to be released later in 2022.
NFTs allow, by default, for content creators to monetize and sell their content, either artwork or otherwise. Social networks make digital content very accessible, making them a solid vehicle to bring a mainstream audience into the NFT world. Even without enabling monetization directly, these platforms can still connect buyers and sellers for NFTs.
One can argue non-fungible tokens and social media go hand-in-hand. Without popular profile picture projects like Bored Ape Yacht Club and CryptoPunks, the world wouldn’t be aware these projects exist.
However, that is still very different from running a marketplace or letting users change their profile picture and avatar through a blockchain-based token. It will be exciting to see how different platforms approach this new opportunity and try to capitalize on its momentum.