According to a report by ResearchAndMarkets, the NFT industry in the UAE is expected to grow steadily, recording a CAGR of 32.1% during 2022-2028. The NFT Spend Value in the country will increase from US$982.1 million in 2022 to reach US$ 4.746.3 million by 2028.
As per the report the non-fungible token (NFT) scene is growing as more and more entrepreneurs, businesses, and celebrities enter the fast-growing industry. Like the rest of the world, the UAE market is also rapidly adopting NFTs.
The report notes that over the last 12 months, several innovative NFT marketplaces have also emerged in the country, which has made it relatively simpler for the general public to buy, sell, and trade in NFTs. From NFT-based startups to cryptocurrency exchanges, several players are entering the UAE NFT market; the presence of several NFT marketplaces has also supported the rise in NFT trading transaction value and volume, the trend expected to gain further momentum over the next three to four years in the UAE.
Already the NFT market is witnessing a resurgence in 2023. Digital ownership continues in 2023 with $256.69 million in non-fungible token (NFT) sales over the last seven days up to January 22nd 2023, according to statistics from cryptoslam.io. This represents a 16.39% increase from the previous week’s NFT sales and includes 1,355,376 NFT transactions. A total of 320,580 buyers participated in the market activity, a 43.48% increase from the prior week.
The rise of blockchain-based gaming is expected to drive NFT market growth in the UAE. With blockchain-based gaming, people are frequently awarded cryptocurrencies or NFTs for participating in gaming tournaments. This explains why the Abu Dhabi government-backed AD Gaming program has entered into a strategic collaboration with local crypto platforms such as Attarius Network, which attempts to increase the chances of blockchain-based gaming. The collaboration aims to create a participatory and collaborative NFT ecosystem for gamers.
For example GLEAC, an Abu Dhabi Hub71 entity announced the launch of the world’s first utility NFT, called Lovely Humans that allows users one-on-one time with global industry experts for five hours. The winning bidder can use the time with the industry expert to gain work-related knowledge and advice, solve problems or even try to co-create a new project that can be monetised. The knowledge gained from the discussion can also be minted into a utility NFT that could be co-owned by the buyer and the industry expert. The first round of bidding will include a group of 25 experts from industries including Fintech, Metaverse, Sustainability, Data, and others.
In addition UAE based Farming Online launched its NFT marketplace on UAE’s 51st National Day at Gracia Farm under the theme you farm on the internet we farm on the ground. Gracia Group is an innovative model of future farming, created by an Emirati entrepreneur Hamed Al Hamed to influence and change the agricultural sector.
Rolls-Royce has unveiled its latest Bespoke Series Phantom ‘The Six Elements’ as NFTs in UAE. This unique project features six one-of-a-kind Phantom Extended Series II cars, each featuring a commissioned hand-painted artwork by world-renowned British artist Sacha Jafri. The cars were designed and crafted by the Bespoke Collective at the Home of Rolls-Royce at Goodwood in collaboration with the resident Bespoke designer in the Rolls-Royce Private Office in Dubai.
The project has raised over $1 million for charity. The project, initiated by Rolls-Royce Motor Cars Dubai and Rolls-Royce Motor Cars Abu Dhabi, began in late 2020 and has taken two years to complete.
The use of NFTs in the “The Six Elements” series allows each car to have its own unique digital token, which can be sold independently to raise funds for charity. This represents a new way for luxury car manufacturers to use blockchain technology for philanthropy and could potentially open up new opportunities for collaboration between artists, car manufacturers, and collectors.