Over the next five years, the global NFT boom will continue to be influenced by the expanding participation of mainstream influencers, gaming communities, and the growing demand for digital artworks.
New research forecasts that the current $3 billion market for non-fungible tokens (NFTs) will increase to $13.6 billion by the end of 2027, reflecting the growing interest among investors in this field.
The growth of mainstream influencers, gaming communities, and the expanding demand for digital artworks will continue to be the driving forces behind the worldwide NFT boom over the next five years.
Intriguingly, the market research firm MarketsandMarkets foresees a number of additional variables that will contribute to the explosive expansion of the NFT industry, such as the expanding usage of NFT in supply chain management, retail, and fashion.
Metaverse activities by established industry leaders, such as social media behemoth Meta, and the personalization of NFTs are two further catalysts that are well-positioned to accelerate the expansion of the market.
In November 2021, Asia-Pacific (APAC) investors shown a growing interest in local NFTs, as local Google searches on the topic increased in the region. MarketsandMarkets also cited this development:
APAC nations are trending toward constant market developments and marketplace launches to provide producers and consumers with equal opportunities in the ecosystem.
In countries such as Hong Kong, Singapore, and China, the absence of regulatory acceptance for crypto trading or mining is one of the primary causes for the increase in searches for non-traditional financial instruments.
NFT markets — platforms that permit investors to buy and sell NFTs — are presently anticipated to contribute the most to the expansion of the NFT ecosystem. While incumbents such as OpenSea now dominate this sector, crypto exchanges such as Coinbase and Binance have begun offering comparable services for exchanging NFTs on the open market.
Elon Musk, the CEO of Tesla, who has been a strong Dogecoin (DOGE) advocate, recently updated his Twitter profile picture to a collage of popular NFTs issued by Bored Apes Yacht Club (BAYC).
The temporary change in Musk’s display image caused a 10 Ether increase in BAYC’s floor price (ETH).
@elonmusk as much I admire your work I’d like you to remove your pfp that I created for our Sotheby’s sale. Or you credit me 😂. Happy to send you the original file minted with the buyer approval pic.twitter.com/e83ZyxWGH5
— Michael Bouhanna (@michaelbouhanna) May 4, 2022
Nonetheless, when a portion of the community misunderstood the move as Musk’s debut into the NFT industry, the entrepreneur reaffirmed his position via Twitter.
“I don’t know… “looks rather malleable.”
Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.