Global NFT (non-fungible token) sales are setting new highs. In 2021 they reached nearly USD 25 billion after totalling only around USD 100 million the year before.
What is an NFT?
An NFT is a smart contract that is unique and transferable. This makes it an excellent tool to digitally store the existence and ownership of a unique asset. NFTs exist on a blockchain, which is a distributed public ledger that records transactions.
For now, the activity is centred around digital artwork or digital wearables creating a new digital investment world with little connection to the real world.
There are innovative vintners who have issued their first NFTs as digital artworks – examples include Dan Petroski’s Massican Winery or Yao Family Wines founded by former NBA star Yao Ming. Domaine du Comte Liger-Belair has teamed up with Acker Wines. They have auctioned some 2019 bottles each with an associated NFT artwork. Château Angélus in cooperation with Cult Wines has offered an NFT with rights to a barrel of Angélus 2020 and an artwork.
The physical connection is key
While these are very encouraging first adoptions, we, at vinID, are convinced that NFTs have much more potential. The key is the physical connection to the referenced product. This enables the application of the unique characteristics of a non-fungible token to a bottle of wine.
We have developed a technology which links each unique NFT to an NFC tag. This NFC tag is attached to the respective bottle of wine and customers can communicate with it through their smartphone.
This enables vintners to attach digital content to their bottles and create an emotional and unique client experience. Additionally, authenticity is always guaranteed and can be easily verified. As each non-fungible token is unique and ownership is transferable, each bottle will have its history of ownership showing its provenance. This will be especially useful for fine wine which ages and matures over decades.
Are you ready to transform your products and use the various advantages of NFTs to your customer’s benefit? We are looking forward to hearing from you!
Please contact us or send an email to firstname.lastname@example.org
To learn more about NFTs and how we at collectID use them, please read an earlier post on collectid.com “NFT’s, beyond the hype”.