What is the interest of the luxury world in investing in NFTs?

The longing for NFTs (non-fungible tokens) is very real despite doubts and old ideas about the hope of a dematerialized world. Digital demand however needs to grow significantly for fashion and luxury brands and thus generate revenue that will exceed even more. $ 50 billion in 2030 for the sector, according to Morgan Stanley. So it is understood by luxury brands and is now especially tempted to use these famous non-fungible tokens. Among Gucci’s success in selling virtual sneakers, Guerlain is launching its NFT for the benefit of a charity, or AGAIN Hermès unveiling virtual bags under the name MetaBirkin “(ERRATUM: the Hermès house is not the origin of virtual bags however manufactured and sold by a third party no the Hermes deal. Hermès also initiated a lawsuit in the United States against a third party with the intent of preserving its rights and ending these litigious actions), the Metaverse seems to be a new promised landwhere the possibilities of changing the meaning of the word luxury seem endless.

NFTs: major assets for brands

This new technology allows sellers and buyers many advantages… Stored on the blockchain, NFTs give brands the opportunity to offer a new ultra-personalized customer experience, which seamlessly combines the occasional event with discretion. In fact, these digital tokens are above all unique, traceable, and non -copying.

Unmatched proof

Luxury players who place real importance on the authenticity of their products now seem to especially appreciate the use of “non-fungible tokens”. Issued at the same time as a physical object, NFTs are actually subject to a non-copying digital certificate of authenticity. This is in a way the ideal guarantee that a product is genuine, in a market whereemphasis the second hand progressesand where the excesses associated with counterfeiting are numerous. Thus, NFTs prevent the phenomenot fakeand provide standardized lifelong tracking of the item or work in question, regardless of sales and marketing.

A tool to target new users

Some luxury brands use NFTs to target new customers. In August, Louis Vuitton opened, for example, a video game titled “Louis, The game”, Where an avatar seeks 200 candles, in honor of the anniversary of the image house. Among them, there are 30 candles in NFT format.

Similarly, it is during the next edition of Viva Technology which will take place in Paris from June 15 to 18, 2022, with LVMH’s muse 2.0 to be officially presented. A virtual ambassador who seems straight from a video game, and who will undoubtedly arouse curiosity with new consumer profiles.

Art, a market that has been heavily affected by the use of NFTs

In terms of the art market, NFTs also allow galleries and artists to reach new audiences. But not only that, they also allow galleries to sell digital works in the safest way possible, and offer some artists the ability to explore new horizons.

In France, many art galleries have already embarked on this adventure: for example, there is Almine Rech at Nifty Gateway, Kamel Mennour on the SuperRare platform, or more recently, the Parisian gallery Bigaignon with artist Thomas Paquet with the agency Danae.io.

An opportunity to clash with traditional players?

Not necessarily: proof, for now, the photographic fund Roger-Viollet, which opened its doors in Paris in 1938, allowed himself to be tempted for the first time in the adventure of NFTs, by offering the artist 13 Bis de sale of his physical also working in NFT format in partnership with the agency danae.io.

Never seen! In fact, this is the first time that a street art artist, represented by a historical photographic fund, has launched a sale of works in NFT format. Thus, the “drop” of these virtual works took place on May 18, at Danae.io which sells these NFTs made with the artist. Rachel Chicheportiche, President of Danae.io, a cultural engineering agency based in NFTs based in Paris and New York, describes her tool as a new “brush” for artists who want to start with adventure. NFTs.

It’s an uplifting new perspective that opens up artists who want to experiment with creative skill (thanks to the action plan, for example), while facing a much larger audience, with security assurance and no error tracking.

Create a new community

Finally, by using NFTs, brands will seek to build new virtual communities, because just like buying a physical object, virtual tokens also allow their shoppers to purchase. gain possible membership in a group or a community …

But, before it starts, players in the luxury or art market have every interest in surrounding themselves with experts in the field … Fanny Lakoubay, founded LAL ArtDigital Art Curator, and NFT Project Advisor, emphasizes that “It’s always been an ecosystemth difficult to understand and navigate, oMistakes can easily be made without the right advice”.

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