Emerging Trends in Non-Fungible Tokens (NFT) Across Industries: A Comprehensive Review and Research Agenda

Abstract

Non-Fungible Tokens (NFTs) are unique digital assets using blockchain technology that represent ownership or proof of authenticity of unique content. The ongoing development of NFTs in various industries beyond art and gaming addresses sustainability issues. Nevertheless, widespread NFT applications encounter significant challenges, encompassing usability issues, concerns related to security and privacy, as well as governance considerations. The purpose of this article is to assess the current state of blockchain technology development, focusing on NFTs (Non-Fungible Tokens) as an illustrative example. It aims to identify the existing issues and challenges within this domain, while also exploring its potential applications across various business sectors. Moreover, the chapter explores how tokenization of both digital and physical assets can be leveraged to provide a diverse range of services. In this study, an analysis was conducted on NFT products, examining their fashion characteristics and trends within NFT applications. Additionally, the study investigates the opportunities and challenges presented by NFT applications, including the exploration of sustainable NFT options. The rise and subsequent crash of NFT and related crypto markets in mid-2022 have vividly demonstrated the sector's volatility, leading to concerns about its sustainability, environmental consequences, and exploitative practices. These issues have prompted discussions about the potential existence of socially responsible applications for NFTs and whether such use cases are feasible. We firmly believe that the outcomes of our research hold valuable insights and strategies for future researchers, creators, and entrepreneurs interested in advancing NFT applications.