Nfts
Web3 Experts Cite Innovation, PR as Top Challenges for NFT Adoption — TradingView News
Although non-fungible tokens (NFTs) have been able to solidify their position within crypto, Web3 professionals believe that barriers are preventing wider adoption of the asset class.
Web3 executives believe that the lack of new narratives, the reputation problem of the broader Web3 space, and the complicated user experience are hindering the mass adoption of NFTs.
Cointelegraph reached out to professionals working in the field to ask what they think is holding back wider adoption of NFTs and what the industry could do to overcome those obstacles.
Lack of innovation and new narratives
Dave Catudal, co-founder of social monetization platform Lyvely, believes the industry needs new narratives and more innovation. “I think the biggest problem for people who are reluctant to adopt the platform is the lack of innovation and new narratives,” Catudal says.
Catudal added that the market does not have a “technology problem” but a public relations problem. Catudal explained:
“Excessive hype, scams, and the threat of bad actors nearly stifled the industry the first time around, and developers will need to reinvent NFTs for their original value by creating traceable and tradable digital assets.”
Tyler Adams, CEO and co-founder of Web3 company COZ, expressed a similar sentiment. However, Adams believes that the reputation of the broader Web3 space is also affecting the NFT space.
“The main obstacle is the reputation of anything related to the Web3 world. Unfortunately, the actions of a few end up affecting the image of the community as a whole,” Adams added.
Complicated and intimidating for non-technical users
James Toledano, COO of Web3 wallet Savl, believes that one of the biggest barriers to NFT adoption is the complex process of creating, purchasing, and managing NFTs. The executive believes that this can be intimidating for non-technical users.
“It is crucial that we simplify these processes,” Toledano added.
Gabriele Giancola, co-founder and CEO of Qiibee, which helps companies tokenize their loyalty programs, also believes that NFTs bring technical complexities and hype-driven perceptions. The executive believes the space needs to demonstrate the tangible benefits of NFTs by focusing on their practical applications.
Reappropriation of the term NFT
Dr. Alun Evans, co-founder of the Polkadot parachain LAOS Network, expressed the need to “reclaim the term NFT.” Evans said the term is currently primarily associated with digital collectibles. The executive explained:
“While this is just one use case, there are many more, from tradable items in games and virtual worlds to tokenization of real-world assets, ticketing, certification and more.”
Meanwhile, Justin Banon, founder of decentralized infrastructure network Fermion Protocol, believes the space is already overcoming hurdles such as demand, difficult user experience, and market understanding.
According to Banon, the NFT demand problem will be solved by the next bull cycle, while the user experience pain point has already improved significantly. In the meantime, the executive believes that as Web3 technology continues to become more mainstream, the market will begin to understand NFTs better.