New Delhi, August 22: The global number of non-fungible token (NFT) transactions is likely to grow from 24 million in 2022 to 40 million by 2027, according to a new report on Monday, warning vendors of an unregulated environment that is home to fraud and fraud.
A report by Juniper Research highlights that vendors involved in the NFT space may risk brand damage due to the role of NFTs in illicit activities such as money laundering, fraud and fraud.
“Environmental issues have also been a major concern, as the current way of conducting blockchain transactions creates massive energy consumption,” the report said.
The report says that metaverse-related NFTs will be the fastest-growing segment of NFTs over the next five years, increasing from 600,000 transactions in 2022 to 9.8 million by 2027. FanTiger Launches India’s First Indie Rock NFT ‘Nusrat’ by ‘Naalayak’.
This highlighted the growing demand for immersive experiences as a factor in the adoption of the metaverse. To capitalize on this growth, the report urged consumer-facing businesses to create NFT-based content to meet the changing demands of a young, tech-savvy demographic that is more willing to purchase new forms of online and digital content.
An NFT is a unique token that exists on the blockchain, meaning it cannot be duplicated. This unique token can represent real-world objects, such as artwork or music, with the ability to trade using a transparent transaction history.
The report highlights the need for regulators to work with industry bodies to standardize processes with reduced environmental impact and built-in consumer protections so that suppliers can use NFTs as a means to further engage with consumers.
(The above story first appeared on LatestLY on 22 Aug 2022 at 12:52 IST. For more news and updates on politics, world, sports, entertainment and lifestyle, visit our website Latestly.com).