There is a rising awareness of the numerous use cases of NFTs as the debate around crypto and NFTs grows. Giving NFTs as a gift is the newest example of how individuals, brands, and corporations are utilizing blockchain technology. Material gifts are being replaced by digital gifts, particularly on the blockchain.
In terms of how gifts are seen, there has been a cultural shift. There are a lot of things to think about before giving a gift. Traditional material presents are perishable, and their value diminishes with time. Due to physical dependencies, traditional ways of gifting have taken a back seat during the pandemic, necessitating the use of digital assets, which are becoming increasingly popular in the post-pandemic age. NFTs and cryptocurrency are gaining popularity as a giving option.
Most people struggle to locate the appropriate gift for their family and loved ones during the holidays, festivities, and celebrations. Although the traditional mithai ka dabba is still popular in India, younger generations such as Gen Alpha, Gen Z, and millennials are more accepting of digital artefacts as gifts. This year, the popularity and value of non-fungible tokens has skyrocketed. However, not everyone has jumped on board, and many people are still unsure what NFTs are.
Non-fungible tokens (NFTs) are used to represent digital ownership of assets such as artwork, memes, movies, photos, and audios. From viral sneaker designs to Manish Malhotra’s hand-drawn sketch of his most popular products in the style of NFTs, you’ll find it all here. Everyone will find something to their liking.
The numerous advantages of giving NFTs outweigh the advantages of conventional e-gifting. These advantages apply to both the provider and the receiver. The giver learns about the latest breakthrough in the tech space, namely blockchain technology, while purchasing the NFTs. The gift recipient (NFT) now has an asset class that will grow in value over time. He or she can keep NFTs indefinitely and earn a lifetime royalty if they opt to sell them on the secondary market. Most significantly, they have the right to gloat on social media because they own it.
NFT can be gifted in a variety of ways.
Gifting crypto currency/coins to a coiner (a person who owns crypto currency/coins):
- Refill their wallets
- Their favourite NFTs are transferred based on their interests.
- Gift NFTs based on their utility (for example, music festival/event passes with NFTs).
Giving to a non-coiner (someone who does not have any cryptocurrency):
- Create their metamask wallet (similar to setting up a young adult’s bank account to prepare them for future banking) and assist them in purchasing or transferring their first NFT, as well as teaching them how to list on the secondary market.
NFT gifting’s future potential
According to Technopak, the Indian corporate and personal gifting markets are worth a total of Rs 250,000 crore. By 2025, India’s online gifting business is expected to rise from $119 million in 2019 to $159 million.
On the WazirX NFT Marketplace, over 1000 NFTs have been gifted since January 1, 2022. We must keep a watchful eye on this expanding number.
NFT gifting has the potential to build a substantial alternative gifting economy on blockchain, with Crypto and NFT usage expanding at breakneck speed. Gifting NFTs will become an important aspect of blockchain interactions, and the WazirX NFT marketplace is changing the way it happens.