Why Top Brands Are Entering the Metaverse With Their Own Cryptocurrencies and NFTs
At the end of December, Walmart, the world’s largest retailer, filed seven applications with the US Patent and Trademark Office, detailing plans to launch its cryptocurrency, NFTs, potential payment systems, e-wallets, and more. Walmart intends to create and sell virtual goods such as electronics, home décor, toys, sporting goods, and personal care products. In addition, Walmart has created software for managing blockchain-related applications and for managing portfolios of crypto and blockchain assets.
While the ultimate purpose of these applications is unknown, they perform many of the same functions as cryptocurrency exchanges, mainly when the intent is to manage cryptocurrency portfolios and e-wallet services, which may include custodial storage and other functional options as crypto payments. In addition, these kinds of products make the most sense in virtual or augmented reality environments, indicating that Walmart is preparing for the metaverse by laying out their use of cryptocurrencies and NFTs.
Not long ago, Walmart’s shopping assistant has recently resurfaced and circulated on social media. The video still looks great today, depicting Walmart’s vision of opening up a virtual world. The video also mentions an automatic payment system using Walmart Pay, and automatic age verification, which we believe will be implemented in the future via NFT applications on the blockchain.
It’s also worth noting that Walmart regularly submits related applications as part of the cryptocurrency, NFT, and metaverse innovation processes, indicating the retail giant’s determination to enter the crypto space. Last October, it launched a pilot program that allowed customers to purchase Bitcoin from Coinstar kiosks in selected US stores. The program employs 200 Coinstar machines, which allow users to exchange coins for gift cards or cash. There is no doubt that if and when Walmart enters the crypto space, it will have a major impact and help usher in an era of mainstream adoption of blockchain-based technology not just in the US but around the world.
Why top brands are entering the NFT market
Last October Facebook CEO Mark Zuckerberg announced at the Facebook Connect conference that the company would be renamed Meta, a name inspired directly by the metaverse. Since Facebook announced its name change, many businesses have been scrambling to figure out how they fit into the virtual world, and it appears that everyone now feels the need to look to the future to protect their intellectual property in this new realm of virtual worlds.
One of the world’s most famous sports brand Nike filed a slew of NFT trademark applications in early November 2021, hinting at its plans to sell virtual branded sneakers and apparel. Later that month, Nike announced a collaboration with Roblox to create Nikeland, an online world. In addition, Nike announced the acquisition of virtual sneaker company RTFKT for an undisclosed sum in December. This demonstrates Nike’s resolve to enter the virtual world. “This acquisition is another step that accelerates Nike’s digital transformation and allows us to serve athletes and creators at the intersection of sport, creativity, gaming and culture,” said Nike CEO John Donahoe, and former head of eBay Inc, explaining the rationale behind the new purchase.
Global clothing and accessories retailer Gap has begun selling NFTs of its iconic sweatshirts in a coincidental move. According to the company, its NFTs range from $8.3 to $415 and include a physical hoodie. Meanwhile, sports retailers Under Armour and Adidas’ new NFT series, which debuted last month, have all sold out on the popular NFT marketplace OpenSea.
Recently, clothing retailers Urban Outfitters, Ralph Lauren, and Abercrombie & Fitch have all filed for NFT trademarks, indicating their intention to open virtual stores. More retailers will want to build their ecosystems around metaverse and NFTs on the blockchain as more consumers become acquainted with them. NFTs are also being used to beat fakes and verify ownership of high-end physical goods by luxury brands like Gucci and Louis Vuitton. “The NFT itself is not genuinely protected by copyright. It is merely a piece of code, a defined part of the blockchain. The NTF does not necessarily provide its creator with an IP right. This is only the case if a work is uploaded into the token. This hardly ever happens because of the size of data such upload involves. To save size, and money, the NFT holds a mere link to the server where the content is hosted. Thus, the NFT can be seen as a unique key to the content saved elsewhere,” explained legal experts Pinsent Masons.
There are numerous indicators that the growth in the metaverse and popularity of NFTs will skyrocket in 2022. With its users in mind BigONE will investigate the best high-quality related crypto assets for investors to choose from in 2022. It is worth repeating that you should not invest more than you can afford to lose, and that you should not invest rashly based on media hype or fashion trends. It is critical to maintain a prudent and rational investment mindset to succeed.