Tacen's Analysis: NFT users are the prize every DeFi project should fight for

It wasn’t too long ago that the idea of a nonfungible token (NFT) was an obscure concept that only the most diehard of cryptocurrency advocates knew about. But the past 24 months have seen the explosion – and supposed implosion – of NFT popularity in mainstream consciousness.

From celebrity NFT endorsement deals, to NFTs being “space dropped” to a live audience at a concert, to extensive corporate-level investment in NFT campaigns, the rapid proliferation of NFT-related projects was eye-watering. Even while the underlying technology behind NFTs was hard to grasp for most people, the idea of verifiable proof of ownership for digital assets made obvious sense. While detractors meme’d that they could just take a screenshot of an NFT and own it too, those who understand the idea behind NFTs knew that this was bigger than JPEGs.

Though the dust has settled somewhat, and NFTs have left the limelight, there is a remaining core userbase that is finding new and exciting ways to push the envelope of NFTs. The value of the NFT market is expected to rise above $3.6 billion in 2023, with 64 million active users by 2027. While the market cap metric is exciting, the active user count is what should catch the eye of every cryptocurrency project manager. Finding ways to appeal to people who use NFTs is a wise strategy for gaining a loyal and active following for your project.

Cryptocurrency projects looking to tap into an engaged, passionate, and tech-savvy group to potentially poach new users should invest effort into courting the NFT community. In doing so, they will be taking serious steps towards securing a userbase that will use their product beyond the beginner phase.

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