Blockchain Woos The Luxury Lifestyle Industry:
Blockchain NFTs are making inroads to establish a dominant presence in the luxury and lifestyle fashion sector. Nevertheless, those inroads carry all the flaws of crypto along with it. In the last four months, Recently, I’ve received a tremendous amount of pitches relating to blockchain and NFT – with respect to fashion and related luxury and lifestyle industries. In fact, an abundant number of smart brands have adopted the tokenization of physical assets by developing NFT (non-fungible tokens) apparel and accessories -ripe for purchase. At first, I was hesitant to report on the subject in fear of tackling new unchartered territory. But soon thereafter, I decided to investigate further and obtain data on the subject.
This story sheds light on where blockchain needs to improve, from Scams, KYC, and prevalent bot problems to be accepted and make a dent in the luxury lifestyle industry. You see, in the industry, sustainability has gone beyond mere wishes to absolute necessities for brands who wish to remain in business.
According to stats by NielsonIQ, 73% of millennials and 66% of global consumers will rather purchase sustainable goods. Smart brands have adopted the tokenization of physical assets, demonstrating transparency by allowing customers to see where products are sourced from, using blockchain technology.It is somewhat incredible for Blockchain to create a sustainable practice for luxury lifestyle brands to track products (digital or physical) through its entire cycle. This incredible functionality made available by blockchain tech allows brands to properly hand off final product labelling as well as third party goods; giving producers in the supply chain a transparent view of the entire process.
Blockchain’s armory against cyber crimes:
In short, every good endeavor comes with its downsides; there just has to be one bad egg in the basket. In this case that will be the issue of fraudsters and Ponzi schemes flooding cyberspace while simultaneously trying to paint the image of the Blockchain system. Research and data indicate that at least 25% of Blockchain users have fallen prey to hackers and fraudsters. More to the point, the fashion industry overall is all too familiar with newly developed schemes that can crush business.
Thankfully, future-forward and innovative brands like Pointpay and Fair Token Project have deluded these abnormalities and each distinctively come up with highly effective and profitable ways of drastically reducing these scam stars and ensuring the integrity of the system is kept.
Here is a statement made by a representative of the Fair Token Project in an interview to back up this claim:
“An answer to one of the many scams that plague the decentralized finance (DeFi) sector, The Fair Token Project’s solution (FTPAntibot) is designed to capture front-running bots that scam investors and destroy projects.
Contracts that deploy the Fair Token Project’s FTPAntiBot will be able to identify malicious bots and prevent them from participating in trades. To put their solution to test, the FTPAntibot was deployed in one of the crypto projects, “Projekt Gold” and its effectiveness has secured the confidence of developers looking to create their contracts.
This solution will give the NFT sector the much-needed armour required to take the luxury fashion and style sector to the next level using blockchain technology.”
In a similar fashion, PointPay expresses the company’s intent to change the finance game and secure the DeFi system by employing higher levels of encryption.
Andrei Sviatov, CEO of PointPay, explains how his team deals with them: “Beyond Banking” is an internationally known slogan by PointPay which reflects how our blockchain company is changing the world of crypto making security of users’ funds the top priority in customer service. Cold storage of funds, strong military-grade encryption of private keys as well as internal monitoring systems keep fraudsters and hackers at arm’s length.”
Another major brand holding the fronts of Blockchain user security is Trust Swiftly – an identity verification software. The brand aims to “provide a central and dynamic platform for verification no matter the size or attacks faced.” It provides advanced identity verification that allows users to
- Rapidly respond to threats with dynamic verification
- Uncover existing fraud and identify patterns of bad actors
Also, it gives you global coverage allowing for growth without security compromises by taking a decentralized verification approach. This strategy is critical for crypto users looking to maintain their privacy online.
Patrick Scanlan, CEO, and co-founder of Trust Swiftly, had this to say in an interview with Tech Times
“Identity verification is a problem that is currently plaguing the digital world. Until we find the correct methods that work for everyone, we will continue to lose clientele. Nobody wants to be called every time they log in or transact, so we, as CEOs and business execs, need to offer viable alternatives that keep the customer happy.
The idea behind Trust Swiftly’s identification verification service is to allow faster customer access while still blocking fraud. Customers can choose between credit card verification, using voice biometrics, documentation, video ID checks, social account verification, using their bank accounts, and more. Customers can then self-identify to the matching parameters, saving your business the time and cost of doing the ID verification yourselves.
Larger companies have a real problem with identity fraud. Trust Swiftly aims its services at those more prominent firms. If you turn away 1% or more of your transactions due to suspected identity fraud, additional verification measures can help you avoid lost time. Similarly, if you spend longer than an hour reviewing customers, this service will save both time and money.”
Elon Musk on Crypto Industry:
About 10 years ago, one of my first jobs for Forbes magazine was directing and styling Elon Musk for the cover of Forbes and Forbes Life respectively. Although I truly enjoyed his character and the creative process overall, I wish apparel NFT’s had been a thing then, I would have made a killin! Today, leading brands in the luxury lifestyle industry such as Tesla, a luxury car company manufacturing electric cars and supporting clean energy, have taken up the Blockchain solution to serve more customers optimum satisfaction. More to the point, ther
Tesla’s owner and founder, Elon Musk has not only adopted the Blockchain NFTs but has risen to be a major influencer in the crypto market. In fact, he is perhaps the single most influential name when it comes to the cryptocurrency/blockchain sector. Beyond blockchain, his tweets have a far-reaching impact including right into the fashion and music industry. A recent show of this is when he tweeted that he’d name his Shiba Inu Floki, prompting thousands of Floki-themed coins, of course, many of them are scams.Floki Inu ($Floki) remained the chart-topper since the tweet, seeing more than 3,000 perfect rises in price on the first day.
Speaking on the inspiration from Elon on his project, Z the founder of Floki Inu said, “I made Floki as an Elon Musk inspired meme token because there’s a big market for it and because having been in the crypto space for a while now as a developer I love meme tokens! The community has been great and has helped push the token to unbelievable heights.”
Growth and significance of the NFT in the luxury fashion industry:
In light of this, Non-fungible tokens are hitting hard for luxury with little or no time or space for reconsideration, leaving fashion luxury brands with may questions… questions, that must be answered swiftly.
According to Vogue business, crypto billionaires not only support the sales of NFTs but rather see a great future ahead. Based on these findings, fashion brands have studied the odds and have seemingly taken a leap of faith to delve into this new way of doing business.
Gucci recently confessed that it’s “only a matter of time” before they release an NFT. It is most likely because fashion brands were slow to catch up with the goodies that came with Ecommerce, many are willing to embrace new technologies such as Blockchain NFT and come what may.
As a statement of fact, NFTs have already been adopted by leading luxury fashion brands and proponents admit they are the next evolution of digital fashion. And although in its infancy stage, NFTs promise exponential market revenue for fashion brands, and help bring digital fashion as close as possible to real fashion.
Speaking of NFT, for the first time, hybrid NFT, a non-fungible token backed by a tangible item, went on sale on Mostexpensive – a new British marketplace where hybrid NFTs – tokens consisting of a digital representation and a real physical object – are sold.
Solidifying the importance of NFT’s in the luxury fashion and lifestyle world, Mostexpensive teamed up with the world’s No. 2 tennis player, Daniil Medvedev to auction his winning ball and racket as an NFT on the platform. Tokenizing Medvedev’s racket and ball made it the first NFT to be backed by a real item. And just wait until you see when they make Daniil Medvedev’s NFT fashion apparel. Welcome, as the world ushers in a new fashion era.