The business models of NFTs and fan tokens and how they build trust

The sale of NFTs and the interest in them has ‘exploded’ recently. While there is a lot of information on them, it is not clear what final form they will take. There are several reasons to be uneasy, such as the prevalence of scams, but there are also reasons for optimism and confidence in NFTs. First, they solve the problem of how to own digital assets. Additionally, some of the more reliable and proven cryptoasset exchanges are offering them.
However, this innovation will have difficulties reaching a wider audience until more clarity is achieved on two main issues. Therefore, this study aims to clarify what the NFT business models are, and how do they build trust.
Method: This research attempts to identify the NFT business models with case study analysis in three stages.
Findings: The findings show that there are four NFT business models: (1) NFT creator; (2) NFT marketplace, selling creators’ NFTs; (3) company offering their own NFT (fan token) and (4) computer game with NFT sales.

Link to open access journal:
https://doi.org/10.1108/JEBDE-07-2022-0021

Reference:
Zarifis A. & Cheng X. (2022) ‘The business models of NFTs and Fan Tokens and how they build trust’, Journal of Electronic Business & Digital Economics, vol.1, pp.1-16. Available from: https://doi.org/10.1108/JEBDE-07-2022-0021