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Using NFTs for Access and Utility

Connie Digital

Published Sep 1, 2022

Cool, but what can I do with your NFT? What utility does it enable? Actual NFT usability often gets lost in all the big-money sale headlines. As more and more people wake up to NFTs, it’s important that we highlight some of the usefulness of these tokens, besides simply selling.

In a previous post, I discussed how NFTs (specifically tokenized art) can be used within virtual worlds. You can find that here. Today, I’d like to discuss how NFTs can be used as access passes for entry into both physical and digital experiences.

What is an NFT Access or "Utility" Pass'

An early example of an NFT access pass looks just like an event ticket. Issuing verifiably unique tickets that can easily track ownership across a blockchain seems like a no-brainer. In fact, in February 2020 I attended the NFT.NYC conference in which I was able to gain entry using the NFT ticket in my crypto wallet. Pretty dope! This was my first real-world experience verifying access using an NFT. Shout-out to Matthew from Nifty Gateway for gifting me the ticket.

NFT.NYC

While NFT ticketing is an obvious real-world use case, there are also some digital uses for NFT access passes. One, in particular, revolves around ‘token-gated’ content. This idea is similar to paying to access content behind a paywall, but with an NFT. Let me explain.

Today, many creators are familiar with monetizing their content using subscription services like Patreon and OnlyFans. In short, creators create content, lock it behind a paywall, charge their supporters for monthly access to the content, and then split that money with the platform. Token-gating, while similar in theory, works a bit differently.

Imagine this. You create content (videos, podcasts, music, etc.), and then you make that content only accessible to fans who own a specific NFT. This is exactly what I plan to do with my next NFT drop on MakersPlace in early April. The drop will feature a collection of NFTs inspired by my latest song, STAKING. Anyone who purchases one of these NFTs will also gain private access to a growing library of exclusive content, including a 6-part podcast with myself and the producer, a lyric breakdown, and a video breakdown of how the beat was made.

By token-gating my content, I am able to give my NFTs greater utility and greater value. To execute on this idea, I will use Token Protected Pages from MintGate.

Token Protected Pages

Token Protected Pages are essentially secret links that point to gated webpages.

MintGate

In practice, the MintGate platform allows anyone to enter a content URL from Web2 platforms (i.e. YouTube, SoundCloud) and then generate a new, secret URL that is protected by a specified fungible or non-fungible token. When a fan opens the secret URL, MintGate checks to see if their Web3-connected wallet (i.e. MetaMask) holds the correct token. If someone wants to access, but they do not own the specified token, they will not be permitted to see the content. Sorry, my guy. You need to own this NFT!

It’s also important to note that using NFTs in this way is platform agnostic. This means creators no longer need to be restricted to the monetization model of a single platform. If YouTube ad revenue begins to slow down, a YouTuber could make private videos, use MintGate to token-gate the URLs, and then sell NFTs for access. Pretty dope!

What happens when subscribers need to own a specific NFT to watch a season finale!?

This is all just scratching the surface. NFT access passes can also extend into Discord servers, virtual destinations within the Metaverse, you name it! Much of the fun and excitement around NFTs is in the possibilities, the opportunities, and the utility.

Access as utility.