From Blockchain Banking to NFT Marketplaces: The Future of Commerce and Finance

Welcome to our "Brands in Web3” special, where we dive into how digital tokens called NFTs change how we do business and handle money. Here, we look at real stories and 14 carefully researched and exciting industry examples showing how companies like Mastercard, Visa, and JP Morgan use NFTs to make big changes. These stories will show you how NFTs help companies grow, connect with customers in new ways, and unite the old banking world with the exciting new world of online finance. We want to clarify how NFTs are being used today to shake up industries and pave the way for the future.

If you're intrigued by these stories, you'll find even more detailed insights and analyses in our comprehensive summary, which explores how NFTs serve as the bridge between traditional finance (TradFi) and decentralized finance (DeFi), empowering brands to enhance customer relationships, democratize asset ownership, and innovate financial solutions. Click here to explore the summary and discover how NFTs are shaping the future of commerce and finance.

But before that, dive into the 14 compelling examples showcasing how big names and startups alike are utilizing Non-Fungible Tokens (NFTs) to revolutionize commerce and finance.

Did you hear that we have a new Twitter account? 
Stay in the loop with Ludo's latest developments and industry insights – follow us @LudoHQ and be the first to stay informed about the latest in Web3 through Ludo's reputation-driven curation, offering insights into the best NFTs, opportunities, and dApps.

Industry Examples

1. Mastercard

Mastercard has ventured into the NFT space to enhance digital asset transactions. Notable projects include a free multi-sensory Mastercard Music Pass NFT to support emerging musicians by unlocking a Web3 music-focused program, the Mastercard Artist Accelerator. This program connects musicians, allowing them to create, collaborate, and monetize their music while retaining control. Five artists from different regions are participating, guided by expert mentors, and will learn how to use blockchain and emerging AI tools for monetization and building a fan community. Mastercard believes in responsible experimentation with Web3 to drive meaningful and passionate innovation that benefits people and promotes inclusivity.

Another project that involved Mastercard and the use of NFT technology is their partnership with Tekuno, a project from the NEAR Balkans Hub. Together, they created a unique NFT (Non-Fungible Token) experience at the Money Motion (MoMo) Fintech conference in Zagreb, Croatia in April 2023. This collaboration showcased the integration of Web3 technology and blockchain gamification to engage conference attendees.

The partnership allowed MoMo conference visitors to collect NFTs called Proof of Doings (PODs) as evidence of their participation. These PODs had specific time and location restrictions, making them exclusive collectibles. This innovative use of NFTs not only engaged attendees but also enhanced Mastercard's image as an innovative brand in loyalty and payments.

Attendees obtained NFT PODs by scanning QR codes at designated locations during the conference. These PODs were used as entries for prize raffles, offering exclusive Mastercard merchandise, one-on-one sessions with Mastercard executives, educational workshops, VIP access tickets, and a grand prize of a unique Mastercard experience in Istria.

The campaign reached over 14,000 people on social media, distributed more than 500 PODs to over 200 collectors, and received overwhelmingly positive feedback from attendees, emphasizing Tekuno's user-friendly interface.

The collaboration demonstrated the real-world applications and versatility of NFTs, fostering engagement from a diverse audience at the conference. It also signaled Mastercard's commitment to embracing blockchain technology and showcased NEAR Balkans' mission of promoting Web3 adoption.

2. Visa

Visa has initiated the NFT Creator Program to support digital creators in art, music, fashion, and film for a year-long immersion. This program aims to foster creativity and innovation within the NFT space. 

The Visa Creator Program is a one-year immersion program aimed at digital creators in the fields of art, music, fashion, and film, with a focus on leveraging NFTs to accelerate their small businesses. The program's goal is to explore Visa's role in supporting Small and Medium-sized Businesses (SMBs) in the Creator Economy.

The Visa Creator Program offers creators mentorship, a community of peers, access to Visa's network, and a one-time stipend to support their growth. It aims to empower digital creators in the rapidly growing Creator Economy by helping them scale their businesses and monetize their creativity through emerging technologies like Web3.

Additionally, Visa made headlines by purchasing a CryptoPunk NFT, demonstrating its interest in exploring the NFT and broader crypto ecosystem. This purchase helps Visa understand the NFT market and its potential impact on commerce.

3. RealT

In 2021, RealT, (a platform that specializes in fractional real estate investment through tokenized assets) made the headlines by tokenizing over 100 properties on the blockchain. This innovation comes from decentralized finance, enabling the sale of real estate properties worldwide. RealT stands out by offering fractional ownership through tokenization, allowing investors to choose their investment amount and share property ownership. This opens up global access to the US real estate market through compliant, fractional, and tokenized ownership, all powered by blockchain. Unlike traditional competitors with higher minimum investments, RealT properties offer tokens at prices ranging from $50 to $150, making real estate investment affordable. Ownership is divided into tokens, and investors receive annual returns of approximately 10 to 13%. Tokens can be stored in a compatible digital wallet, like MetaMask, and there are multiple options to receive rental payments. Additionally, RealT allows for easy token resale through the platform or xDai-based applications.

4. Goldman Sachs

Goldman Sachs has shown interest in digital assets, including non-fungible tokens (NFTs) and the tokenization of real assets:

• In April 2022, Goldman Sachs announced its exploration of NFTs, focusing on the tokenization of real assets. This move signified the bank's growing interest in the digital asset space.

• In the same month, the bank also expressed its interest in the tokenization of financial assets.

• In February 2023, Goldman Sachs indicated its willingness to expand its digital asset team, possibly reflecting its continued exploration of the digital asset space. The team, consisting of approximately 70 members, plans to hire more staff in 2023. Notably, this hiring orientation comes after Goldman Sachs recently laid off around 3,200 employees.

5. JP Morgan

Banking giant JPMorgan has made significant moves in the world of NFTs and blockchain technology:

• NFT Giveaways: In December 2021, JPMorgan distributed NFTs at its "Crypto Economy Forum for TradFi Investors" event. Although none have been traded on OpenSea, one of the NFTs is listed for sale at 420 ETH (approximately $1.8 million). The event featured prominent speakers like Sam Bankman-Fried, Emin Gün Sirer, and Brian Armstrong. 

• Metaverse Presence: In February 2022, JP Morgan became the first major bank to establish a presence in the metaverse by opening a virtual lounge in Decentraland, a blockchain-based virtual world. In this virtual lounge, customers can purchase virtual land using non-fungible tokens (NFTs) and make transactions using cryptocurrency. Visitors are greeted by a tiger and an avatar of JP Morgan's CEO, Jamie Dimon, upon arrival. The bank introduced the "Onyx Lounge" in conjunction with a report highlighting business opportunities within the metaverse, estimating a market opportunity of over $1 trillion in annual revenues. JP Morgan aims to play a significant role in the metaverse, addressing issues like account validation and fraud prevention.

• Defi involvement: In November 2022, JPMorgan, in collaboration with the Monetary Authority of Singapore, executed its first cross-border transaction using decentralized finance (DeFi) on a public blockchain under Project Guardian. This pilot, also involving DBS Bank, SBI Digital Asset Holdings, and Oliver Wyman Forum, explored the use of tokenized assets and DeFi protocols for financial transactions. The trade, conducted on Ethereum's Polygon network using a modified Aave protocol, involved tokenized Singaporean dollar and Japanese yen deposits, marking a significant step towards integrating traditional financial assets with DeFi, aligning with broader industry predictions about blockchain-based tokenization of real-world assets.

• JPM Coin: In June 2023, JP Morgan conducted its first Euro-denominated blockchain transaction using its own token, JPM Coin. Siemens AG, a German conglomerate, initiated this transaction on JP Morgan's permission blockchain. JPM Coin is exclusively available to institutional clients for settling payments. JP Morgan's Coin Services division, launched in 2019, enables 24/7 blockchain-based transfers between client accounts, offering faster and more secure settlements compared to traditional methods. Since its inception, JPM Coin has processed around $300 billion in transactions, and JP Morgan handles approximately $9.8 trillion in daily payments. 

These initiatives reflect JPMorgan's efforts to embrace blockchain technology, cryptocurrencies, and NFTs, signaling a growing trend of traditional financial institutions exploring these emerging digital markets.

6. Nomura

Nomura, a prominent financial services company from Japan established in April 2022 a new Digital Company to explore opportunities in cryptocurrencies and nonfungible tokens (NFTs) as part of a restructuring effort. The Digital Company aims to increase client engagement with digital assets and related services. Nomura Group's president and CEO, Kentaro Okuda, emphasized the goal of enhancing client services and promoting collaboration with internal and external stakeholders. Despite strict cryptocurrency regulations in Japan, NFTs are gaining popularity, with Nomura Holdings joining other major Japanese players like Rakuten in exploring NFT offerings. Nomura Holdings manages approximately 70 trillion yen ($593 billion) in assets.

In October 2023, Nomura and its digital assets subsidiary, Laser Digital, announced their presence in The Sandbox metaverse. They have created a Japanese botanical garden experience that reflects their heritage and commitment to sustainability. Users can interact with the avatars of senior management and complete up to 20 tasks, including growing a bonsai tree and much more.

7. Konvi

Konvi is a European crowdfunding platform that offers opportunities for individuals to gain partial ownership in high-yielding luxury assets, such as exclusive watches and other luxury items. They have also ventured into the world of NFTs (Non-Fungible Tokens), where they have created NFT collections related to luxury items like watches. These NFTs may grant special access and rights in the future, including priority access to special features.

In addition to its investment platform, Konvi offers private NFT sales to its customers, inspired by the luxury assets they feature. The platform seems to have garnered attention as a startup, particularly for its unique approach to fractional ownership of luxury items.

8. Ubank

In October 2022, UBank, a community-oriented, relationship bank, partnered with Upstream, a trading app for digital securities and NFTs, to become the first traditional bank to offer Web3 and digital collectibles (NFTs) to its members. This collaboration allows UBank to create a Web3 community-building strategy where members can trade NFTs and redeem them for unique perks and experiences. Initially, this service will be offered to VIP clients and later extended to all UBank customers. The partnership aligns with UBank's commitment to community banking and incorporates blockchain technology to facilitate unique customer interactions and digital perk redemptions, such as tickets to events like the "Good for Country" concert series.

9. PriceWaterhouseCooper (PWC)

PwC (PricewaterhouseCoopers) has been actively involved with Non-Fungible Tokens (NFTs) in various capacities. Besides offering studies on the topics, such as reports and strategy consultancy, PwC also launched its first NFT (Non-Fungible Token) on a dedicated marketplace for their 2022 Emerging Tech Exchange event. They incentivized early registration by offering an early bird NFT to participants. PwC also facilitated a straightforward onboarding process for attendees who didn't have a digital wallet. After completing activity demos, attendees could claim NFTs by scanning QR codes. This initiative aimed to provide executives with a trustworthy environment to engage with NFTs and demonstrated that PWC’s know-how on NFTs is not merely theoretical, but also practical.

10. KPMG

Just like PWC, KPMG also published a series of qualitative reports about the NFT industry. However, their biggest involvement in the field was KPMG's US and Canada collaboration hub in the metaverse, which aims to assist clients in developing strategies within this emerging space. Launched in June 2022, this private hub serves as a platform for KPMG employees, partners, and clients to engage in virtual team meetings, idea-sharing, training sessions, job interviews, and employee evaluations using virtual tools. KPMG is actively exploring the opportunities within the metaverse, which they estimate to be a potential $13 trillion market with up to five billion users by 2030. The company is also building dedicated teams with technology and innovation expertise to support clients in metaverse design, NFT use cases, crypto assets, community engagement, and Web3 integrations. KPMG is investing in technology and talent to meet the growing demand for metaverse-related services, including partnerships with Web3 companies. Additionally, KPMG's Canada business has added bitcoin and ether to its corporate treasury and purchased a World of Women NFT, while the US arm has integrated NFT- and crypto-related training into its onboarding process, signaling the company's commitment to blockchain and DeFi talent acquisition despite industry fluctuations.

11. Rakuten

In February 2022, Rakuten, a media conglomerate from Japan, launched its non-fungible token (NFT) marketplace and sales platform called Rakuten NFT. This service offers a marketplace for users to buy NFTs and engage in peer-to-peer NFT trading, covering various areas like sports, entertainment, music, and anime. It provides a unique platform for intellectual property (IP) holders to create and sell NFTs, with Rakuten ID integration for earning and using Rakuten Points. Users can add purchased NFTs to their collections and list them for sale on the marketplace.

There are plans to introduce peer-to-peer NFT issuing and selling services in the future, supporting IP holders worldwide. Additionally, Rakuten NFT aims to diversify payment methods. The platform's initial offerings include NFTs featuring manga and anime series. Future releases will include NFTs with rare footage from TV Asahi shows, rock idol group Under Beasty NFT trading cards, artwork by contemporary artists, and more. Rakuten NFT also established the Rakuten NFT Art Gallery, featuring original NFT artwork.

12. Line

LineNext, the non-fungible token (NFT) unit of the Japanese messaging app Line, has launched a consumer-to-consumer (C2C) marketplace on its NFT platform called DOSI. This C2C trading service allows users to buy and sell NFTs globally, excluding Japan. Users can easily trade NFTs on the DOSI platform by signing up for a DOSI Wallet and connecting it to MetaMask. Payment methods include Ethereum, credit cards, Naver Pay, and more. LineNext plans to expand its supported crypto assets and mobile payment services in various countries. DOSI has already attracted users from 180 countries, except Japan, and has issued over 100,000 DOSI Wallets with 170,000 membership NFTs since its beta launch in September 2022. 

LineNext has partnered with various companies, including CJ ENM and Naver, for NFT projects and aims to make NFTs more accessible to users. The CEO of LineNext, Youngsu Ko, emphasized their commitment to creating a user-friendly NFT experience.

13. Walmart

Walmart made waves in 2022 by filing trademark applications related to the metaverse, signaling its intention to create its cryptocurrency and non-fungible tokens (NFTs). The retail giant filed seven trademark applications, encompassing various virtual goods categories such as electronics, home decorations, toys, sporting goods, and personal care products. These applications also mention the development of a virtual currency and NFTs. While Walmart confirmed its exploration of emerging technologies for future shopping experiences, it remained tight-lipped about specific filings. However, the retail giant’s involvement with the NFT technology continued.

As such, in September 2023, Pudgy Penguins, a popular NFT collection, partnered with Walmart to sell their new line of Pudgy Toys in 2,000 Walmart stores across the US. Each toy includes a unique code that grants access to Pudgy World, a multiplayer game on zkSync Era's layer-2 blockchain, allowing players to customize penguin avatars and merge real-world and digital play. Pudgy Penguins has seen over $400 million in NFT sales since its 2021 launch and aims to transform the toy industry by combining blockchain technology with unique digital experiences. NFT holders who own the digital art that inspires the toy designs will receive royalties from toy sales. Walmart sees this partnership as a way to tap into emerging digital toy trends and bridge the gap between physical and digital play experiences for children.

14. Flipkart

In June 2022, E-commerce giant Flipkart announced a partnership with UK-based consumer electronics brand Nothing to offer buyers of the Nothing Phone 1 in India the opportunity to acquire limited edition non-fungible tokens (NFTs) through its mobile shopping app on Android and iOS. Nothing recently launched its first smartphone, Nothing Phone 1, and introduced an NFT collection called Nothing Community Dots hosted on the Polygon blockchain. These NFTs grant early access to new products, events, and exclusive gifts from Nothing. Flipkart's customers who pre-book and purchase the smartphone can redeem the NFTs using the Firedrops feature on the Flipkart app, marking Flipkart's entry into the Web3 and NFT ecosystem. This collaboration represents the first NFT drop by a smartphone brand in India, demonstrating the growing interest in NFTs within the e-commerce industry.

Flipkart involvement with the NFT ecosystem deepened in 2023, when it partnered with Hang, a US-based web3 loyalty platform, to enhance customer engagement. Under this collaboration, Flipkart will launch FireDrops 2.0 on the Polygon crypto platform, offering discount coupons, limited edition membership badges, and other benefits through non-fungible tokens (NFTs). Users can collect and trade these NFT tokens for rewards. Hang will develop web3-based loyalty programs for Flipkart, focusing on sustainability, user participation, Gen Z appeal, and scalability. The partnership originated from the Flipkart-Polygon Blockchain Center of Excellence.

Thanks for joining us to see how NFTs are making waves in commerce and finance. We've highlighted how big names and new startups are using these digital tokens to innovate and challenge the status quo. This journey sheds light on NFTs' role in boosting customer relationships, making it easier to own assets, and blending traditional banking with modern online finance. To get the full picture and discover even more about the impact of NFTs, click to read our detailed article. This will give you a fuller view of how NFTs are sparking change and leading us into a new digital era.

We hope you liked these examples and that they excite you even more about the Web3 space! If so, then please share our newsletter with your peers!