The initial hype around NFTs inevitably came with a lot of fuzz and noise that made it difficult to discern whether it would be no more than a fleeting bubble or something worth paying attention to. And although the future of NFTs is still not at all clear, it looks like a new boost is coming in the short term, especially as Meta is expected to announce its plans around NFTs very soon.
These announcements of an upcoming NFT ecosystem by Meta are not an expression of a sudden whim but rather part of a process in which companies are advancing fast in their NFT strategies, exemplified by recent Twitter actions regarding the use of NFTs as Twitter profile pictures with a format available for subscribers.
Recent reports on an internal memo suggested that the basics of Meta’s NFT strategy have been already outlined and that the company will be launching a pilot for posting and sharing NFTs at some point in May. Two features will soon follow, one that will use NFT ownership as a way to obtain Facebook group memberships and another for creating NFTs. With these actions, Meta’s goal is that Facebook can compete more sooner than later with Discord as a place that NFT communities choose for their activities.
Metaverse and the future of NFTs
Now, this new move by Meta does not come without risks. Reports of scams and allegations of unethical and even criminal schemes related to NFTs have been flooding social media as NFTs become more and more widespread. And while this is not, of course, an indication of how all NFT communities operate, it could potentially represent a threat to Meta’s reputation as their NFT strategy advances.
But of course, Meta’s involvement with the NFT universe should be understood within a wider context. If that promise of an unlimited parallel realm of joy and endless possibilities called Metaverse is to be fulfilled at some point -at least partially-then it is clear that NFTs are set to play a key role in its development – and, more importantly, in its possible monetization. The idea is that NFTs can become tradable assets in the context of the Metaverse, ranging from avatar clothing to virtual credits, all of them backed by digital contracts in the Blockchain. Moreover, Meta has also been exploring the possibility of creating a virtual currency that would only have value within the boundaries of the Metaverse, as well as “reputation tokens” that would be received by users as rewards for contributions on Facebook or other social media.
So those rather goofy cartoons of dubious artistic value that have been everywhere on social media recently -and for which many pay hundreds or even hundreds of thousands of dollars-may only be the early stage of an upcoming trend in which buying and selling an extraordinary variety of digital assets will become part of everyday experience in the Metaverse. This may not seem much of a novelty for cross-platform game players that exchange digital items on a daily basis, but Mark Zuckerberg’s company seems to be eager to convince both investors and users that it has the potential to change our world in a radical way. So, we expect to be hearing soon of new actions and announcements that will expand our ideas on what will be the role of NFTs in the shaping of our future.
Keep reading our blog if you want to learn more about NFTs and the Metaverse.