Non-fungible token (NFT) sales soared 20-fold within a year, from $13.7 million in the first half of 2020 to $2.5 billion in the first half of 2021. By the end of 2021, the marketplace for NFTs reached a $41 billion value. To help brands make the most of the opportunity, DEPT® created the first-ever open source, white-label solution for launching an NFT marketplace, built on top of the Algorand blockchain.
Taking advantage of a massive opportunity
NFTs open up avenues for consumer brands to innovate and let consumers engage with digital ownership and digital collectibles. But, brands have been missing a straightforward way to launch an NFT marketplace to leverage the benefits of unique digital assets. To address this, DEPT® created the first-ever open source, white-label solution for launching an NFT marketplace, built on top of the Algorand blockchain.
NFTs allow brand loyalists, collectors and investors to own and engage with a piece of virtual brand property. The market for these virtual goods is expanding exponentially. For brands, digital assets are a game-changer in terms of engaging, connecting and creating value with their audiences. Why? Because collecting is something that humans have done throughout history. But now, the ability to digitise and certify memorabilia gives brands new ways to provide authentic experiences to consumers. This is especially valuable as brands compete for customers on a fully digital playing field.
NFTs also represent better monetisation for creators, a more intimate connection with consumers, and a much better fraud prevention mechanism, all while providing total ownership and control to the owners. At the end of the day, it’s a fundamentally better distribution method that brands can leverage to generate new and increased value.
Unfortunately, these blockchain technologies are still very new, and the complexities and required expertise make starting from scratch with NFTs extremely difficult and costly. Brands need an out-of-the-box solution that makes it easier for them to enter the market, have the control to make a bespoke offering, and a tech stack that can scale and grow in this new space. Together with our long-term client, Algorand, we recognised the need to lower the barrier to entry to allow brands to take charge of their digital assets and how their users engage with them.
The entire ecosystem of blockchain and NFTs is going to bring people closer to the brands they love and open a whole host of new experiences.
Anne Marie Gianutsos, CMO, Drone Racing League
DEPT® created a ready-to-use platform called Algomart to assist brands in getting started with NFTs. Algomart is an open source platform built on top of the most cutting-edge blockchain technology from Algorand in order to quickly create unique and user-friendly experiences. Algorand is an attractive infrastructure on which to launch these marketplaces as it is eco-friendly, scalable, and offers inexpensive transaction fees.
Algomart provides core modules that can be used out of the box and enable brands to easily create new models and experiences, whether it’s engaging with customers through auctions for digital collectibles, creating NFTs to engage with gamers in the metaverse, offering something redeemable in the real-world or blending physical and digital experiences. Brands can get started easily, as the development and deployment experiences use cutting-edge infrastructure like Terraform and Docker. Additionally, Circle allows brands to remove the complexities for marketplace users creating and funding crypto wallets, so users can use a credit card like any other ecommerce transaction.
Bringing people closer to the brands they love
Since the launch of Algomart, DEPT® has been in discussions with a number of brands to launch an NFT marketplace, including global sports brands, lottery games, fantasy sports providers, food and beverage companies and more.
Motorsport Games used Algomart to launch its first ever NFT marketplace for its live Virtual Le Mans 24-hour race event. This included opportunities to find exclusive moments and artwork on the marketplace.
Also, the Drone Racing League, the world’s premier, professional drone racing property, became the first sports league to run an NFT marketplace through Algorand. The marketplace features unique 3D avatars of DRL’s Algorand 13th Pilot, MannyH!MSLF, to use for gaming and in the metaverse.
David Markley, Director of Business Solutions at Algorand, said: “NFTs exploded as many of the world’s top brands realised the role the digital assets can play in a diverse set of applications. I’m excited to see DEPT® recognise the opportunity and launch its state-of-the-art platform that removes complexity for brands to more fully incorporate NFTs into their businesses.”
I’m excited to see DEPT® recognise the opportunity and launch its state-of-the-art platform that removes complexity for brands to more fully incorporate NFTs into their businesses.
David Markley, Director of Business Solutions, Algorand
Head of Marketing US