Some ASX shares are dipping their toes into the world of non-fungible tokens (NFTs). This comes as companies begin to open up to the potential in blockchain technology.
Digital tokens are generated on a blockchain and act as an immutable record of ownership. Because of their characteristics, NFTs have been adopted across the art industry. More recently, brands have opened up to the economical potential of NFTs. Notably, even a number of ASX shares are delving into the new world of digital tokens.
Here's a look at some of the Aussie companies taking a leap of faith in NFTs.
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The ASX gaming share striking gold with NFTs
Outside of digital art, gaming has been touted as a powerful use case for NFTs. Mainly, the excitement for this use centres around individuals being able to actually own the digital assets used in the games they play. Playside Studios Ltd (ASX: PLY) is a game developer that is tapping into this new phenomenon.
The independent game developer's maiden voyage into the digital token world took form in its 'Dumb Ways to Die' (DWTD) brand. This is a franchise that was acquired by the company in October 2021 for $2.25 million in cash.
Since then, Playside has announced the successful launch of its BEANS by DWTD NFT project. As we covered yesterday, the company reportedly netted $8.38 million in revenue from the launch of its first NFT collection — comprising of 10,000 2D characters.
Following on from this, Playside already has plans for future NFTs associated with the DWTD franchise. The $38 million raised by the company in November and December will partially fuel further developments.
Liquor gets a digital makeover
As my colleague, Brooke covered earlier in the year — Treasury Wine Estates Ltd (ASX: TWE) is another ASX share cracking the cask of a new market.
Through a partnership with luxury beverage NFT marketplace BlockBar, Treasury Wines has brought its iconic Penfolds brand to the digital world. Precisely 300 bottles of Penfolds 2018 Cabernet Sauvignon Shiraz have been matched with an NFT twin.
The NFTs will act as a redemption ticket for the real bottle at the owner's convenience. Currently, the lowest price for a Penfolds NFT is 0.27 ETH — which is roughly A$1,185 based on Ethereum's (CRYPTO: ETH) price.
An ASX share counting Snoop Dogg as its neighbour
The final ASX share appearing in our compilation of Aussie companies with exposure to NFTs is Creso Pharma Ltd (ASX: CPH).
In its quarterly activities report released last week, Creso Pharma announced it was entering the metaverse. This entails the company buying digital land on a platform known as The Sandbox. The ownership of the digital land itself is tracked via NFTs.
Additionally, the company plans to develop a digital replica of its cannabis cultivation facility. The cannabis company strategically purchased a plot beside the illustrious Snoop Dogg.
