Building Experiences Dec05

Building Experiences

Non-fungible tokens, or NFTs, may have been attracting headlines for the eye-watering sums splashed on digital artworks and virtual land. But behind the hype is a digital key that can help the real estate industry create better experiences in their buildings, foster engaged communities and, ultimately, unlock new value. Mars House, a digital home designed by Toronto-based artist Krista Kim, sold for more than half a million dollars in 2021, changing the way we think about virtual real estate. By the end of the year, a virtual plot of land in online world Decentraland had sold, using an NFT, for a record $2.4 million worth of cryptocurrency. A lot of folks in the real estate sector have made the mental leap and are looking at how NFTs can support fractional ownership and debt financing. But to my mind, what’s even more exciting is the role of NFTs in the future of the workplace. A “non-fungible token,” as the name suggests, is a unique digital item stored on a digital ledger called a blockchain. Ownership of an NFT is easy to certify and transfer, which is why they are being used to tokenise unique items like art, collectibles and real estate. But NFTs can be a bridge between the digital and physical worlds. NFTs can be used as tickets or membership cards, giving people access to events, experiences, products or discounts. Imagine attaching an NFT to each service in a building? Think treadmills in the office gym, entry to Friday night drinks on the rooftop terrace, discounted movie tickets at concierge or yoga class reservations. Each unique NFT can connect a smart building to smart contracts to provide smart services. This idea may sound revolutionary, but it is simply another evolution of the office. The...