NFT Holders Buy for Utility and Profit – Coingecko

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A study conducted by Coingecko and Blockchain Research Lab reveals that the buyers of NFT assets are doing it for utility and expectation of profit. The survey examined the responses from 343 individuals from the NFT and Crypto Assets Survey conducted between December 2022 and January 2023.

This is not surprising since Non-Fungible Tokens (NFTs) have gained popularity and growth this past few years due to some owners making a lot of profit from owning digital assets like Crypto Punks and Bored Ape Yacht Club. NFT has also been utilized in several projects. Some NFTs have been used as in-game items and characters, avatars, and as representations of real-life items such as graduation certificates, court summons, and events tickets

Survey Says

CRYPTONEWSBYTES.COM image-27 NFT Holders Buy for Utility and Profit - Coingecko

The survey result indicates that utility and profit are most important to buyers. NFT started as digital collectibles with no apparent use. Nowadays it has evolved into something of importance and is being utilized for a variety of cases. There was a house in Florida that was sold using an NFT. The NFT was used as a token that represented ownership of the house in question.

NFTs have also been used to represent tickets to events like Gary Vees’ Veefriends. The cute collectibles give holders access to Veecon, an exclusive conference that focuses on business, marketing, and entrepreneurship.

ln 2017, any user can claim a Crypto Punk NFT free with any Ethereum-compatible wallet. The user only had to pay the gas fee to confirm the transaction. At the time of writing, the average price for a Crypto Punk is around 57 ETH or about $108,000. A lot of investors are buying NFTs in an attempt to duplicate the profits gained from Crypto Punks.

What Exactly is an NFT?

Non-Fungible Tokens (NFTs) are unique digital assets that use blockchain technology to verify their authenticity and ownership. NFTs tokens are one-of-a-kind and hold their unique value. Aside from being digital collectibles similar to baseball cards, they are also being used as tokens that represent real-life assets like properties, movies, videos, and artworks.

Ethereum and Solana are the most popular NFT blockchains.