Have you ever thought of how you can increase the productivity of your business and maximize profits?

Take the case of Sarah as a case study. Sarah was just an ordinary but visionary entrepreneur, just like you. She founded a small startup called "DigitalCanvas" with the aim to revolutionize the art world.

Her business was off to a slow start, but she had a unique idea. She believed that by partnering with local artists and helping them tokenize their art as Non-fungible tokens (NFTs), she could empower them to gain greater recognition and more gains and keep a percentage as a commission since it was a win-win proposition.

One day, she went out for a walk and discovered Maya. Maya was a good artist but struggled to break into the art scene. After Sarah presented her with the business proposition, Maya picked interest and decided to try it. One piece Maya sold got her an overnight breakthrough, and Sarah's DigitalCanvas went above the ceiling as more artists flocked in to sign a deal.

If you have been wondering how NFT can affect your business growth, you need to read on. You, too, can be the next Sarah. Aside from art collections, the role of NFT has grown to affect multiple sectors. Even at its early stage, NFT is analyzed to invoke innovation and creativity with more opportunities in the business world. Ranging from fundraising to asset tokenization, adopting NFT into businesses can make a significant change.

Let's examine how Non-fungible tokens (NFTs) can support the business world.

The goal of every business is to streamline hectic processes and speed up productivity. Higher productivity equals higher profits, which NFTs are set to help achieve in businesses.

Below are some key areas in which NFTs can play a significant role

Fundraising

Starting and funding a startup is one challenging task every founder would do. It is more difficult if sponsors are hard to come by. However, adopting NFTs makes fundraising more accessible and faster than before.

With the concept of NFTs, startup founders can mint their NFTs and allow for fractional investment.

The essence of the NFTs is to serve as a reward or equity, allowing investors to benefit from the company's growth. A fractionalized NFT will enable investors to invest according to their budgets, creating room for more investors.

Aside from raising funds with ease, NFTs also allow startup founders to share unforeseen circumstances with investors. However, with more investors to support your business idea, there is a high tendency for the business to succeed.

Additionally, it allows you as a business owner to own a community of trusted supporters, creating the desire to bring your idea to fruition.

Supply Chain Management

By storing metadata in the blockchain and authenticating products, NFTs help to improve the supply chain operation, thereby enhancing efficiency. NFTs in supply chain management go a long way to ascertain the security of the process since data stored in the blockchain cannot be easily eliminated or manipulated.

Another good aspect of NFTs in the supply chain operation is eliminating counterfeiting. With the increasing rise of counterfeit products, NFT can play a significant role by tracking the movement of goods from origin to destination. With this end-to-end tracking system, businesses can build customer trust and credibility.

NFTs can work for perishable industries like food recycling companies, among others. NFTs can be used for cost control by providing information about the material and components of a product.

Ticket Sales

In the entertainment industry, where tickets are needed to control movement and maximize profits, NFTs can play a significant role. From research (ticketing technology vendor Aventus), it is estimated that 12% of the concert tickets sold are fake. Ticket bots have made it easy for event attendees to be easily scammed. Aside from the fraudulent activity, it robs the organizer of additional revenues.

However, with NFT, transactions on the blockchain will be tracked and validated before purchase. It will eliminate scams since each attendee will hold a unique NFT. Its historical record-keeping through smart contracts prevents bots and manipulation of any kind.

Certification and Identification

In certification and identification, NFTs can cover many industries, like education, medicals, real estate, and the like. NFTs can be used to tokenize school certificates, medical reports, or land ownership certificates. Adopting NFTs in certification ensures better user control of data and the prevention of identity theft since certificates can always be traced back to the rightful owner.

Tokenization of Assets

With NFTs, physical assets like real estate and artwork can be tokenized for more effortless transfer of ownership, cross-border transactions, and interoperability among benefits. It bridges the gap between the physical world and the digital space. By tokenizing assets, businesses are not only assured of security and transparency, but they can also enjoy new market opportunities. The tokenized assets can be bought, traded, or sold on the NFT marketplaces, thereby allowing for liquidity of the assets.

Final thoughts

With the advancement and demand of technology, non-fungible tokens (NFTs) have emerged to foster innovation. Though still at its early stage, NFT is recognized as a game changer in the business world. Its smart contract algorithm helps eliminate malicious activities in the supply chain process, while its fractional investment system supports startups in raising funds. If you're looking forward to staying above your competitors in the business world, then NFTs should be considered in your business plan.

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