The latest trend sweeping through the digital space is that of non-fungible tokens, or NFTs. NFTs, to put it simply, are units of data on blockchain networks, where each unit is non-interchangeable with any other unit. This is where the ‘non-fungible’ part comes in, unlike currency, for example – one $100 note has the same value as ten $10 notes, but each NFT is unique. This is the reason why NFTs are now being used by content creators and celebrities all over the world to sell and auction exclusive content and merchandise to fans, with some truly mind-boggling sums of money being involved already. However, this is not easy to understand, and the whole world is trying to understand what these NFT tokens are. In that respect, a recent article by none other than Paris Hilton is a surprisingly well-informed one that will definitely help people learn more about this new innovation.
The post, on her own blog, is titled “I’m excited about NFTs – You should be too”, where she says that she has learnt everything she can about the community and the NFT world by immersing herself in the NFT space on social media, as well as working with the likes of NFT collectors WhaleShark and Illustrator, entrepreneur Kim Dotcom, as well as the creators of Origin. According to Hilton, NFTs are the future for content creators, which will help them increase the value of their work and share it with fans in real time and in a direct manner, cutting out middlemen and other platforms, and thereby increasing their earnings as well. The 40-year-old, who has a Twitter following of nearly 17 million, and operates 19 different product lines, with her perfume line alone generating over $2.5 billion in revenue to date, is often considered one of the first social media influencers. She was one of the first celebrities to use her fame on the Internet as a way to sell products and earn money, and it seems as though she is now using decades of that experience to position herself as a leading authority on NFTs.
NFTs have also become quite important due to the global pandemic, during which time the majority of the world’s population has had to stay indoors for some length of time. In this time, digital means of communication, content creation and delivery, social media and e-commerce, among others, have all become extremely important. NFTs can therefore help various sectors and industries move online and serve digital audiences, as this shift has already begun to feel a lot more permanent, even after the effects of this pandemic have gone away. For example, the fashion label Gucci is reportedly considering NFTs as a way to showcase its designs and products digitally, with fashion shows being impossible to host at the moment. This could very well become a permanent phenomenon, and so NFTs are crucial to ensuring the success of digital economies, according to Paris Hilton.
This innovation is also helping democratize art, as artists are able to connect directly to fans while bypassing agencies, media platforms and other intermediaries. They are able to offer exclusive and rare content to fans, who in turn are willing to pay good money for this, as recent NFT auctions have shown. This is of course beneficial for artists, as it increases their earning potential by a huge amount.
There are multiple applications of NFTs, and only time will tell where these are more successful than others. However, it is quite telling that Hilton has also been one of the first to get onto the NFT bandwagon, selling her first token all the way back in August 2020, before this current craze had even begun. Thus, she may well be yet another pioneer in a digital space, repeating her experience from a decade or so ago.