Meenal SharmaMattel, Inc. an American multinational toymaker that is due to become another company that is looking to convert its multiple brands into Non Fungible tokens. NFT is a one-of-a-kind trading card that is unique and cannot be replaced with anything else. At a very high level, they are a part of the Ethereum blockchain.
NFT’s can be anything from art, music, video, tweet, artificial intelligence to a virtual estate. People are shelling out a massive amount of money to buy digital art. An individual paid $390,000 for a 50-second video of Grimes whereas, a video of Beeple was auctioned for $6.6 million by Christie’s. NFT transfer the ownership to the buyer though, the copyright and Intellectual property rights are retained by the original creator.
NFT serve two main purposes. On one hand, they provide the seller with capital and support art and artists and on the other hand, they provide the buyer with the satisfaction of owning things that otherwise cannot be owned by them. The appeal to a buyer is completely subjective depending on its needs and mindset.
Realizing the potential of the market and excited about its growing sales of toys in the Covid-19 pandemic post-Easter boosted by vaccination across the United States has made Mattel understand the value of digital signatures of its toys and the capital it could generate in the market.
The company has seen a strong increase in the sale of toys which rose by 8% rather than an estimated 6%. It has also predicted an increase in sales of Hot Wheels and Barbies and wants to supplement its annual income by selling NFT’s of the same.