Would Instagram be the next social network after Twitter to adopt NFT in user flows? Apparently so!
Adam Mosseri, the head of Instagram, revealed news that is changing the daily lives of many users: the application is starting the first phase of testing its NFT functionality, including the introduction of cryptocurrencies.
The NFT Revolution
The introduction of NFT (non-replaceable tokens), these emerging digital assets will completely change the digital world. They will transform the art market by upgrading products or cultural goods through an “online” purchase with cryptocurrencies.
In recent years, NFT trading has grown tremendously. These blockchain-based digital artworks are sold for exorbitant prices in top markets, with sales reaching up to $5 million.
Given the enormous potential, social networks are trying to break through in the market, such as Twitter. In January, the app launched NFTs as hexagonal profile pictures.
Instagram also decided to take the plunge and confirmed † “We’re testing several ways creators and collectors can share NFTs they’ve created on their own Instagram with a glitter effect. This means that you can log in to the digital wallet and the NFTs you want to share”.
A small group of users can display NFTs on their feed, stories and posts. Labeled as “digital collectibles”, the uploaded NFT is not limited to images, but may affect videos or music as well.
Clicking on the tag will bring up more detailed information, such as the name of the owner and creator.
Mark Zukerberg, the founder of Meta, announced the launch of the test of these “digital collectibles”, on Instagram and then on Facebook so that creators and collectors can display them on their profiles.
Digital art will also be able to be placed in physical spaces, thanks to the upcoming launch of augmented reality NFTs in Instagram Stories, via Spark AR.
NFTs on Instagram? What are they for?
We all know Instagram as a social network to socialize with friends, family, target. We also know that several artists use it as a marketing tool to showcase their creations and that it has huge marketing potential.
Indeed, many content creators and brands do not hesitate to exhibit various forms of art there: photography, music, short videos… By using the right tools, these artists and brands can create a new business avenue.
NFTs, these digital certificates proving ownership of a work, are published on Instagram, by linking third-party digital wallets in the app. In practice, a small group of users, creators and collectors, will be able to share what they have made or bought by linking third-party digital wallets in the application. These digital objects are displayed in a special mode, with more vibrant colors, and the content is credited to both the author and owner.
In this first phase of testing, the Rainbow, MetaMask and Trust Wallet are cryptocurrencies. Coinbase, Dapper and Phantom are the compatible third-party wallets to use later. But Ethereum and Polygon, as well as Flow and Solana will already be the supported blockchains. As for the cost, posting or sharing an NFT on Instagram is completely free.
Instagram’s potential on NFTs
For Adam Mosseri, support for NFTs on Instagram could help introduce the technology to a wider audience. The news comes as media success around NFTs begins to wane, with the market 92% drop of NFT sales since September 2021, according to the Wall Street Journal. But this integration of Web2 and Web3 could make the transition to the metaverse more enjoyable for an unwilling audience, and rekindle interest in NFTs.
On Instagram, the feature is first being rolled out to a handful of US users. After that, it will be tested on other social networks, such as Facebook.