According to the last BNP Paribas – L’Atelier report, the NFT market capitalization jumped from $ 372 million in 2020 to $ 16.9 billion in 2021.
And ‘NFT’ was chosen Collins Dictionary’s word of the year for 2021. Not bad for a term which, just 12 months ago, was only used by a handful of crypto enthusiasts across the world.
Beyond the hype and the outstanding market trend, the buzz around NFTs makes sense: NFTs represent a real innovation.
As the Harvard Business Review explains:
“NFTs have fundamentally changed the market for digital assets.
Historically there was no way to separate the owner of a digital item from someone who just saved a copy to their desktop.
Markets cannot operate without clear property rights […] NFTs solve this problem […] in doing so, they make it possible to build markets around new types of transactions.“