In the last blog post, we discussed three (3) examples of gaming studios that are using NFTs for their in-game assets – the titles we wrote about include: Axie Infinity, The SandBox & Illuvium. In this latest blog post, as the title suggests, we are going to be discussing two (2) specific examples of how our company – Yaad Labs, is using NFTs. As a refresher and at a “high level”, NFTs is a technology used to easily prove & transfer ownership of items – these items can be natively digital, or they can represent “real world” concepts and objects. In summary, we’ll be discussing NFTs as Digital Collectibles & Membership Passes – which is from the lens of how they are presently being used at Yaad Labs.

Tipsy Turtles X Digital Collectibles
Tipsy Turtles is a Cartoon Yaad Labs made for the Cardano community using IP/Characters registered on the blockchain. The goal is simply to entertain viewers with insider jokes and “absurdity” – which is not very different from titles like “Family Guy” & “Rick & Morty”. We are using NFTs as a means to monetize the show by selling the main character as a digital collectible. A helpful anecdote would be to think about the relationship between Pokémon the animated series and Pokémon the trading card game – we are doing the exact same thing but “online”.

One might ask, what are the benefits of digital collectibles as NFTs to Yaad labs? The answer is as follows:
1. It is a new way to present & monetise media – We made $20,000 USD selling digital collectibles in under two hours
2. We earn royalties every time our NFT is traded – We now have a means to earn from our creative works long term
3. We have a transparent way to demonstrate provenance – We can prove who issued the NFT as well as the “historics” of the asset, i.e who owned what and when
4. We have a means to authenticate our creative works – Every collection has a Policy ID that is immutable and transparent, this allows our buyers to verify if a digital collectible is in fact real
5. Our creative works is now portable – It is now easier than ever to move around and transfer collectibles
6. Our NFTs are tradable 24/7 – There is no need to go into a store, auction house or set up meetings with other collectors in defined business hours to trade – you can list and engage with marketplaces and their smart contracts 24 hours a day, 7 days a week
Given the realities of the creative industry, this is simply one of the best ways to register, present and monetise media as an independent creator/studio.

TripHut X Membership Passes
TripHut is a Travel Club & Decentralised Autonomous Organisation (DAO) that sends its members on free or discounted vacations using a combination of community owned resources and third-party partnerships. We are using NFTs as a means to “token gate” club benefits. In other words, the NFT acts as means to prove you are a member and therefore eligible for club discounts, grants & rewards. A helpful anecdote would be to think about having to show your Pricesmart card on entering the building to be able to shop and benefit from their wide selection and prices the super store offers.

The benefits of using NFTs as membership passes are as follows:
1. It acts as a means to differentiate our offering as it eliminates sunk costs for consumers – If members no longer want to be a part of the club, they can sell their membership pass/NFT and recoup the spend. This is something you can’t presently do with your Pricesmart membership card
2. It acts as a means to attribute benefits – Smart contracts can read customer wallets for the presence of a token/membership pass to then allow the user access to benefits. These benefits can then be tiered based on the type of membership pass or even the amount of passes present in the wallet
3. It reduces IT Costs – There is no need to spend on back-end IT costs to manage the ledger, as the blockchain will do all of that for you
4. It offers security advantages and solves difficult problems – There is no risk of duplication as is the case for traditional attempts at digital membership passes, as NFTs are provably unique and can’t be copied
5. It serves as a unique value proposition as it allows members to share in the value created – When demand for club passes exceed the supply, the price increases, which gives members a unique opportunity to leverage their NFTs for their own gain
Given the value NFTs create for startups using member-based models, looking to challenge incumbents – it is a viable option to explore, as it has unique benefits.

So you see, there are practical use cases for NFTs that Yaad Labs are presently taking advantage of. We have already achieved a lot, but time will tell just how successful we become. In the next blog, we will discuss more examples of how NFTs can be used by Caribbean Creatives.