As with any emerging technology, NFTs have also been controversy\u2019s favourite child. To be sure, it\u2019s not all unfounded. From their <\/span>environmental impacts<\/span><\/a> to rising <\/span>scams and rugpulls<\/span><\/a>, <\/span>non-fungible tokens<\/span><\/a> have ample downsides to their name. Not to mention the industry\u2019s prevailing crypto-bro culture, racism, and lack of representation. And with all the fuss around cartoon jpegs and many ludicrous NFT projects with no intrinsic value (read: Trump NFTs), it\u2019s easy to club all NFTs under a single umbrella\u2014as the finance journalist, Matt Levine put it\u2014a Ponzi scheme. But, there are always two sides to the coin.<\/span><\/p>\n Time and again, the Web3 space has witnessed innovators using blockchain and NFTs to advocate for a range of social, environmental, and other relevant causes; driving real-world impact. Be it Web3 activism, supporting the LGBTQIA+ community, fighting Web3 racism, or raising funds for scientific research, there are plenty of examples of using NFTs for a brighter future. Moreover, if the current bear market conditions are any indication, this may be the only sustainable path forward for the Web3 space.\u00a0<\/span><\/p>\n 2022 has been a tumultuous one for NFTs, to say the least. The waning interest in NFTs, the dropping sales volumes, crashing crypto prices, and big selloffs all point towards one thing\u2014<\/span>the NFT bubble is bursting<\/span><\/a>, if it hasn\u2019t already. Compared to 225,000 sales in September 2021, the numbers plummeted to 19,000 in May 2022. <\/span>BAYC\u2019s Otherdeed<\/span><\/a>, Cool Cats, <\/span>World of Women<\/span><\/a>, Moonbirds Oddities, and multiple other top collections are all trading at around 1-3 ETH (at the time of writing).<\/span> Dwindling portfolios aside, this is the perfect opportunity for the industry to shift the focus to the true potential of blockchain technology. Amidst all the cacophony surrounding digital tokens, people often don\u2019t realise that NFTs aren\u2019t the images, videos, or memes that one sees online. Rather, NFTs, in the simplest terms, are essentially digital certificates of ownership and authenticity on the blockchain. This distinction is significant; especially in turning the narrative around NFTs.<\/span><\/p>\n If history is any indication, there are plenty of examples of digital trends that needed to make substantial changes to stand the test of time. Virtual reality, for example, was heavily hyped in the late 1990s. Yet, it was only in the last decade that they became popular, thanks in part to more advanced and user-friendly VR headsets, such as the Oculus Rift, released in 2012 (now discontinued). Even then, the technology is yet to see mainstream adoption.\u00a0<\/span><\/p>\n At this critical juncture, a few important questions arise: In what ways can Web3 contribute to creating real-world impact? How can we use NFTs for social good?\u00a0<\/span><\/p>\n While the NFT industry is still in its infancy, there are several ways to use NFTs to create real-world impact:<\/span><\/p>\n NFTs and crypto have become popular fundraising tools, especially because of the transparency conferred by blockchain technology. As the crypto investor and environmentalist, <\/span>Nick Rose Ntertsas<\/span><\/a> explained in an earlier interview with <\/span>NFT Evening:<\/span><\/i><\/p>\n \u201cIf you donate funds using ERC-721 tokens or ERC-20 tokens, you can actually see where your money goes\u2026There should be some kind of report back of what they did with the money and you can track everything on the public ledger.\u201d<\/span><\/i><\/p>\n With NFTs, collectors also get something in return for their donations\u2014be it art, membership, or some form of utility. Often, organisations can use these NFTs to give donors future benefits, including access to events, merch, and more. This is significant because <\/span>studies<\/span><\/a> have shown that reciprocal donations can inspire people to give more. At the same time, Web3 fundraising gives charitable organisations access to a wider audience for whom donation requests may have previously gone unnoticed.<\/span><\/p>\n Web3 is already brimming with examples of charitable donations. The proceeds from the now infamous Jack Dorsey NFT were actually donated to GiveDirectly, an organization supporting COVID-affected poor families in Africa. <\/span>UNICEF<\/span><\/a>, meanwhile, used NFTs to provide internet connectivity to 21 poverty-stricken countries.\u00a0<\/span><\/p>\n Another widely cited example is the crypto and NFT community coming together to <\/span>raise funds for war-torn Ukraine<\/span><\/a> through multiple projects. When the Ukraine government set up its official <\/span>crypto wallet<\/span><\/a>, over $164 million poured in in the form of crypto donations. A <\/span>donated CryptoPunk NFT<\/span><\/a> even raised $100,000.\u00a0<\/span><\/p>\n Besides, fundraising is not restricted to organisations and governments. Biologists like <\/span>Merlin Sheldrake<\/span><\/a> have shown how NFTs can be used to raise funds for important scientific research.<\/span><\/p>\n For the longest time, art has been widely used as a powerful tool to raise awareness about pressing issues. NFT art offers the same but with added advantages of decentralisation, proof of ownership and authenticity, greater transparency, and security. For this reason, creators, organisations, and brands alike have used NFTs to support causes close to their hearts.<\/span><\/p>\n![\"Artist](\"https:\/\/nftevening.com\/wp-content\/uploads\/2023\/01\/WWF.jpg.webp)
\n<\/picture>\n<\/noscript>The NFT bubble is bursting<\/strong><\/span><\/h2>\n
<\/span>
<\/span>This is a clear wake-up call for the industry. NFTs aren\u2019t about projects (briefly) riding the success wave fuelled by artificial hype and FOMO. Investors are becoming wary\u2014and rightly so\u2014and conscious of where they put their money. It doesn\u2019t matter if it\u2019s an NFT that sold for millions earlier (remember the NFT of Twitter founder <\/span>Jack Dorsey\u2019s first tweet<\/span><\/a>?). Or that it was backed by a popular celebrity (<\/span>Logan Paul\u2019s<\/span><\/a> Bumblebee NFT is now infamous for its worth; or the lack thereof). What matters right now is that NFTs need a fresh start, and soon.\u00a0<\/span><\/p>\nThe need to shift focus<\/b><\/span><\/h3>\n
![\"NFT](\"https:\/\/nftevening.com\/wp-content\/uploads\/2023\/01\/Drue-Kataoka-3-scaled.jpeg.webp)
\n<\/picture>\n<\/noscript>How can NFTs create positive, real-world impact?<\/strong><\/span><\/h2>\n
Transparency in charity fundraising<\/b><\/span><\/h3>\n
NFTs supporting social and environmental causes<\/b><\/span><\/h3>\n
![\"WWF](\"https:\/\/nftevening.com\/wp-content\/uploads\/2021\/10\/Untitled-design-3.jpg\")
![\"Pussy](\"https:\/\/nftevening.com\/wp-content\/uploads\/2023\/01\/Pussy-Riots-Nadya-Tolokonnikova.jpg-scaled.webp\"\/)
![\"Pussy](\"https:\/\/nftevening.com\/wp-content\/uploads\/2023\/01\/Pussy-Riots-Nadya-Tolokonnikova.jpg-scaled.webp\")