Phygital NFTs, or “Physical Digital Non-Fungible Tokens,” are a type of cryptocurrency, token, or NFT that allows for the ownership and trade of unique physical items. These items could be anything from a collectible figurine to a limited edition piece of art, and the NFT serves as a digital certificate of ownership for the item.
What Does Phygital Mean?
Phygital is a term used to describe the intersection of the physical and digital worlds. It is often used to describe experiences or products that combine elements of both the physical and digital realms, such as online shopping with in-store pickup or virtual reality games that incorporate real-world objects. The term is a blend of the words “physical” and “digital.”
Examples of Phygital NFTs
One example of phygital NFTs is the Timex collaboration with Bored Ape Yacht Club. By buying a Timex NFT and holding a BAYC NFT, you get a new digital asset that comes with a real, physical watch.
Another example is the RTFKT x Fewociuos collaboration in which, buyers of an NFT would receive an actual pair of shoes featuring art by NFT artist Fewocious.
Benefits of Phygital NFTs
Phygital NFTs offer a number of benefits over traditional physical collectibles and artwork. For one, they are much more easily tradable and transferable, as blockchain technology allows for secure and efficient transfers of ownership. Additionally, NFTs provide a clear and verifiable record of ownership and provenance, making them valuable for authenticating and valuing physical items.
Downsides and Risks of Phygital NFTs
However, phygital NFTs also come with some potential drawbacks and risks. For one, the technology is still relatively new and untested, and there have been some high-profile instances of NFTs losing value or being hacked. Additionally, the use of NFTs in the art world has sparked debate and controversy, with some critics arguing that they commodify and undermine the value of art.
Where To Buy Phygital NFTs
Often times, the best place to buy phygital NFTs is directly from the producer, since they will be responsible for shipping the physical item. If there is a specific phygital NFT you want to buy, your best bet is to buy directly from the source. This will also help you avoid scams and buying illegitimate NFTs.
As far as the secondary market, some popular exchanges for buying and selling NFTs include OpenSea, Rarible, and SuperRare. Make sure the NFT company has a means of getting you the physical product if you buy from a secondary market. Otherwise, you may only receive the digital collectible.
Conclusion
Overall, phygital NFTs are a fascinating and potentially game-changing development in the world of digital ownership and trade. While they come with some risks and challenges, they also offer a number of exciting possibilities for collectors, fans, and creators alike.
