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Market Insights

The Concept Of NFT Ticketing

NFTs have expanded their range quite a lot in recent years. Although people were skeptical about their success, they evolved to be one of the most successful crypto assets. Their use cases have also expanded within multiple industries and are no longer limited to gaming or art. NFTs have also entered and superseded the ticketing industry. Ticket industry refers to every single event that requires a ticket for entry. It can be a concert, a conference, a music festival or any event per say. NFT tickets are capable of bringing revolution in the ticketing industry.

NFT Ticketing 

NFTs (Non fungible tokens) are the cryptographic tokens used to represent unique assets. They are used to tokenize all kinds of assets, digital or real-world including art, collectibles, real-estate etc. These are stored on blockchain networks and are secure and transparent. They provide the owners with ownership rights of the asset using smart contracts. Also, as they are unique they can have only one owner at a particular time. 

Now, NFT tickets are your key to access the specific events. These tickets hold private access credentials of the user and are unique to the individuals. Additional benefits are often offered to the NFT ticket holders such as exclusive merchandise, and meet-and-greet. In such a way, NFTs help the artists to get closer to their fanbase.  

How Does It Work?

Working of NFT tickets is quite similar to the traditional event tickets. Paper tickets or physical tickets are admissible at an event only for one time, thus they are non-fungible. Also, physical tickets are limited as they are issued according to the capacity of the venue. 

But, despite its many similarities with the NFT tickets, the traditional ticket system is not very reliable. This is because it goes through multiple distribution channels without much regulation. In the case of NFTs, transaction history is stored on the blockchain network clearly stating when and where the tickets are sold. Smart contracts used in NFTs, help to maintain the resale value of the tickets. Artists can also do exclusive airdrops to reward their loyal fans and give them some additional perks. This helps in expanding their community. 

How NFT Ticketing Is Better Than The Traditional One:

  • Less cost and faster transaction: It is observed that the cost required to distribute the traditional tickets is much more than the cost of minting and selling NFT tickets. Also, NFTs can be produced at a faster rate than other tickets as they have a less production lead time.
  • No more forgery: Most of the tickets, even the QR codes can be forged and it creates chaos at events. NFTs are unique and each of them comes bearing a smart contract thus there is no scope of forgery with them. 
  • Revenue opportunities: NFT tickets can provide ongoing royalties to the event holders, artists and stakeholders using smart contract technology. For example, if a ticket owner sells their ticket on a third party platform, some percentage of the resale value will be redirected to the artist. 
  • Less damage: If traditional paper based tickets are used for the event they can easily be damaged or lost. No such risk is included when using an NFT ticket.

Conclusion

Physical tickets have been out-of-trend for quite a while now and people are moving forward to digital tickets with QR codes. But these QR codes can also be forged. So, what can be done in such a situation is moving forward to NFT tickets that come with higher security, and much more benefits.

NFT Ticketing
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