Last week Dolce & Gabbana sold a digital tiara at auction for $300,000. They say it's one-of-a-kind, but since there's no copyright protection in the metaverse - who knows.
Gamers have been buying items for their avatars for years, but most of those items cost just a few dollars. The introduction of NFT's has taken digital shopping to a whole new level, so it makes sense that other companies are now interested.
In February, Cult & Rain, a NY based sneaker maker sold 1,179 pairs of real shoes, each paired with a digital version in the form of an NFT, priced at 0.5 ethereum.
They only needed 800 sales to break even. The sale earned $2.7 million (859.5 ethereum).
The icing on the cake? Cult & Rain will receive a 5% royalty whenever one of their NFTs is traded on a public platform.
Is it any wonder that Morgan Stanley is predicting that the digital luxury market will account for $55.2 billion by 2030? That's 10% of projected luxury market revenues. (Moss, 2022)
Why do you think people are buying digital luxury goods and NFT's?
Have you bought any digital goods for gaming? Which ones? How much did they cost?
Has anyone you know bought an NFT? Have you? Are you planning to? If so, what's your budget?
Are you investing in cryptocurrency? Why or why not? Is anyone else you know?
Moss, T. (2022, April 1) A $300,000 Tiara You Can Wear Only in the Metaverse. wsj.com. Retrieved April 4, 2022, from https://www.wsj.com/articles/a-300-000-dolce-gabbana-tiara-you-can-only-wear-in-the-metaverse-11648817988
