How Big Brands Are Using NFTs

Transcript

a little bit breakfast um I think this works great awesome yeah yeah hey guys thanks for coming on the earlier half of the day um I will be talking about um big brands in web3 from sort of like a larger where we are macro perspectives set the scene a little bit and then dive more into sort of what we're building to help onboard them um start it's also my birthday today and so can't imagine a better place to be spending it than when you guys so like let's make this the pregame to my birthday party um so

who are we like quickly just before I dive in to give an introduction of mojito who I am my background our team because I think it's really important for all these talks to know like who who's speaking to you and with what experience um so we are mojito um the sweetest way to Mint and we are the world's Premier nft Tech platform and so we've been guiding over the last year Brands major Global brands from sports teams creators into the world of web3 through building out their platform and the creation and ongoing management of nfts across like the initial Marketplace Commerce event and then communities and engagement we've driven over 100 million of sales in nfts in the last year

um and we'll dive in a little bit more to what we're building um we have partnered with some of the biggest brands in the world we've brought Sotheby's into the nft space over the last year building out um all of their Tech and their strategy we've worked with Liverpool Football Club for their nft project the Milwaukee Bucks and sort of a gen Z music Community called lyrical lemonade um who are we super quickly a lot of us come from sort of the early ethereum Community a magic acid who's the president co-founder was the former Chief marketing officer of consensus and so really did a lot of the early brand building for ethereum Matthew Isles is a former

product builder in web3 built the blockchain for journalism platform called civil and then we have some great web two people that have joined us Ian McMillan who's our chief growth officer comes from like over a decade of Nike building out Nike brand and Nike store experiences and our CEO Rocky Miller has an amazing experience in sort of product building for her entire career recently at a startup called Drive wealth and then many years at Goldman Morgan Stanley and macri I also have had about uh working full-time about five years in web free and at consensus most recently at serotonin and then before that in the traditional Finance world of Bridgewater

um so that's sort of the squad at uh mojito so Global brands in web 3. um first of all Global brands are already here um serotonin wrote a great report researching all of the brands that have entered into this space in the last year it's in the hundreds and it would be shocking like pick a category um some of the biggest names have entered across art Automotive Beauty and cosmetics Believe It or Not uh food and beverage if you all remember the early days of like the Taco Bell nft fashion has come in with some very successful projects like Adidas Finance gaming luxury Media Sports Tech you name it it's all here um that's a really really long list and

not to mention independent um artists and celebrities from like Hans Zimmer to Paris Hilton um traditional artists like Damien Hurst and Jeff Coons they're all exploring this new tech um so why why are they excited about nfts obviously a lot of the prices that nfts have fetched in the last couple years have been pretty in months have been pretty Iowa eye-watering but when they actually explore deeply with the tech they realize that it offers um sort of this Omni Channel non-deme D platformable engaged in paying audience in a very new way than they're used to and so it's not only an opportunity for them to bring new digital Goods to Market like a new

Revenue stream a new product launch of a digital good um but when they actually understand how they can have like new direct engagement with their most loyal fans in kind of a web free version of an of a CRM they get incredibly excited about the opportunities because for them they're digital fans and following whether it's sports or fashion or whatever they Brands haven't really been able to monitor because outside of selling advertising exposure to their fan group and they don't love that the fans don't love that and like they don't love that because they know that those are the most valuable fans they can be rewarding them and engaging them in a much better way and so for the first time with this Tech you can really capture that audience reward that audience profit from and with that audience in a new way of

course there's always this element about adoption within like how many of you guys in the room where you say are like web three people working full-time in this space awesome and how many like web 2 great so glad you're here um and how many people on the engineering side okay great um and then like brand marketing strategy other awesome um so a lot of you guys are web free native as well um there's this feeling of like we all want adoption we're all here for different reasons whether it's decentralized future that we want to build but then when adoption starts to come we all get that feeling like it's our community um but as Brands enter they really start to see what it's about and it is better for the consumer and the ways that

they've been engaging their digital consumers so far you can own a piece of the brand with the company in a much more dimensional way and receive value whether that's Financial or utility the ever promise of nft utility is like in my opinion yet to be fully realized but it's coming um so again what is why do we want Brands like why are we really excited about Brands entering the space to help us adopt um and move forward our industry um I've been looking at some version of the technology adoption life cycle slide uh for many years I know we all have trying to figure out you know in our early days of consensus and um in web 3 you know where are we here and I'd say really only in the last 18

months two years of finally having something to do in web3 that's like fun whether that's at the application Level of like D5 or nfts um I think especially nfts much more so than D5 because while that's incredibly revolutionary um the user numbers and what we've seen it manifested in the last year is still incredibly new and harder for the long tail like larger uh Globe to access but for nfts it's finally a blockchain based asset people can pick up and quite quickly get and we've seen that obviously with Brands so I'd say that like where we are is kind of we've crossed the chasm a bit from an adoption standpoint for big Brands into using blockchain Tech and through nfts but I'd

say we're still at like the end of the early adopters phase and the very beginning of the early majority phase so I'd place this around that Pepe um and as we found like certainly nfts have reached the Zeitgeist like there's a beat reporter everywhere from The Wall Street Journal to the New York Times Rolling Stone that now covers nfts and like culture in crypto um but as we've seen that doesn't necessarily equate to adoption um and so this is uh from May a chain analysis report of a number of active nft buyers and sellers so you can see it start to pick up you know Q4 2020 q1 2021 Q2 as we get into the spring of like you know top shots exploding the

people 69 million sale and then as we know the end of last year just saw an incredible growth of active wallet participants but even then as much as we all have talked about and all these brands are entering nfts you at its peak at the end of last year sorry at the beginning of this year especially with the other Deeds sale and a lot of the big splashy sales in the beginning of the year at its peak we still didn't really get to over a million uh nft buyers and sellers like wallets interacting with nft contracts um that is so small like this is incredibly experimental technology still um yet all these global companies are coming in so why has awareness not uh equaled adoption um it's sort of what we call like the

web 3 Chasm the web3 ux chasm um web3 and I would love to know if anyone disagrees web 3 is a bitterly terrible user experience especially for first timers and it's hard to forget when you've been like using metamask for years and transact only on chain but it's really um it's really inefficient it's really underwhelming for millions of people coming into our space and onboarding it's like people coming to a house party that like hasn't been set up yet and we're not ready for them um and even if like so selling nfts to non-cryptonative users basically they have two options one the crypto native route which I'm sure you've all had conversations with your friends of like it's really easy open a coinbase account

connection to your bank account by Eve download metamask install metamask transfer your eth over and then you have to deal with things like failed transactions gas fees navigating all of it and like quick quickly people drop out or what we're building with mojito is you can let them pay with credit card and give them a semi-custodial wallet with an nft inside of it and so with our checkout solution of what we built for Sotheby's and those Brands I mentioned is that a user can come um plug in to their corporate consumer IIM system and like use auth zero so still email and login and everything to log in and then if it's their first time they can pay with credit card and we set up a

multi-sig wallet for them and so then they have the option to self-host that wallet as well so like with the longer term idea of getting everyone a wallet um they don't have to have a pre-existing wallet um they don't have to own any crypto they can pay in Fiat and still uh work within the laws of kyc AML um the IM system off zero system of the brand and the company and not only buy their first nft but get their first wallet set up for them um and so we kind of think of like the wallet as the user so this governs login authentication role-based access control for the merchant in control including who can mint customer login

authentication and wallet management and so for our customers that use our platform they have like a manager dashboard where they can mint their own nfts see what's happening and see what's going on um and we also do like basically the whole entire creation of the marketplace like that initial point of sale and so it allows semi-custodial wallets for what we call like web 2.5 Merchants these Brands exploring the space to Mint and receive royalty payments um it allows them to pay with Fiat and store their keys um and we have sort of an API driven mint and commerce functionality that sits on top of it for automating primary and secondary sales because I think we're going to see a lot of Brands and big

companies want to own their own secondary experience they can offer better fees they can offer a better experience you know these assets will always be composable and always have open sea and looks rare and everything else but if you're just interested in that Brand's nft um I think we're going to see a lot more going to their direct Marketplace for secondary so in summary because I know I'm almost a time um this is largely what when we speak to Brands this is what they think nfts are they think they're digital art and collectible projects and pfp projects because I'd say like this is what the history book cover would look like for 2021 and then when they actually understand the tech and what it can be they start to get really excited with nfts could be and I think this is what we're definitely I mean I can tell you

because we're speaking with them about to see what nfts are going to look like more and so here we have the Liverpool Football Club nft which sort of functions as their it's a collectible and a pass into their digital fan Community where they receive you know giveaways and discounts and access to tickets at Enfield um the Adidas uh g-money Punk Comics collaboration where you can uh it's redeemable for physical merch sort of an allergies style jumpsuit the Milwaukee Bucks did something really interesting that I think we'll see more is a free mint giveaway nft for their most loyal fans that acts as a in-person pass to the deer District experience for if you are a big bucks fan and you live

in Milwaukee and you want to go to games um I think we're also going to see a lot more digital fashion whether it's I I it's my view that like Avatar fashion was still a little bit ways away because there's just not enough eyeballs in these worlds yet um but you know with Dolce gabbana's sale this Dolce Gabbana crown on the bottom right hand corner is the most expensive polygon based nft um I think it sold the collection for 4 million and so brands are coming in there exploring it but they're not just looking to as they say mint jpegs they're really looking to use them as membership utility how do they bring in Partnerships rewards loyalty everything um into the mix um so lots of case studies deep Dives and what we did with the Bucks what we

did with Liverpool what we did with Sotheby's um how our Tech Works happy to answer any questions um or I only think I have like two minutes for questions so you can always reach out to me on um mojito nft underscore nfts or Twitter um I'm Chamillionaire underscore M and then my email is just Camilla mojito.xyz um so that was just the beginning of brushing the topic but I hope you guys learned something and if we have any questions I'd love to take a few the difference between Brands using this as a particular campaign what do you see the difference between Brands using nfts as a campaign versus thinking about communities and interaction over time yeah it depends on

who we're speaking with at the brand and it depends on why they're coming to this space and to web3 some of them definitely like saw it as a honey pot because they saw all this money and they were like this is insane we have to get in some of them see it as an innovation mandate they're like well our competitors are doing it or they have some like metaverse 2022 strategy tied to their performance bonus or something and then some of them really really get it and so I'd say a lot of them think of it as just a campaign they think of it in a very Web Two mindset is like a product launch like it launches and then they're done and then they're like let's look at performance and how did it do and then when we sit down and they understand that launching it is

literally just the first step if not like phase zero and now they've seated this digital community that their co-owners with and it's their responsibility to continue to provide value into that group and reward them in new ways um and bring them through exciting experiences whether it's like URL experiences or IRL experiences as we say I think a lot of the digital experiences in digital utility there's a lot of promise there with gaming and bringing stuff into digital worlds um and online benefits token gated content and experiences like token gated websites things like that but I don't think we I haven't personally with all the nfts I hope seen something that's super exciting for me I think largely the value of nfts in the last two years

have been speculative um but I think as Brands explore and especially with a little bit of the market cooldown they feel like they have more time to do that now like really be thoughtful and not just launch something and see what happens yeah one more no okay I will be right outside afterwards thank you guys so much um and I hope to see you all later tonight for my birthday [Applause] yeah yeah no worries thank you