Yes, it can, because it sure already changed us.
Geek conversation on the way: Web 3, also known as the third generation of the internet aims to connect all of the world's data and make it more accessible. Sounds good right? Bear with us: Web 3 runs in a decentralized network enabling a more personalized experience. It allows you not just to read or participate in the web, but also, for instance, to own it.
One interesting aspect of Web 3 is its potential to revolutionize the way we think and act about anything, including jewelry. For instance, through the use of non-fungible tokens (NFTs), and their unique technology, it’s possible to transform a piece of jewelry into a unique piece of art that can be showcased digitally and physically.
What is an NFT
First, let's define NFTs (Non-Fungible tokens), also known as digital assets, and how they work. NFTs are digital assets that are unique (different from crypto, which are assets that share the same features among themselves). NFTs are stored on the blockchain which uses a decentralized and secure digital ledger that records data and transactions and ensures that this data cannot be altered. Blockchain technology allows this information to be shredded and distributed across a network of computers, as opposed to the traditional data stored in the cloud where all the information is stored on a central server.
An NFT (token) is a unique token that has always a smart contract behind it. A smart contract is a piece of “code” that gives a token its unique characteristics or behavior. Once you mint your NFT (insert it in the blockchain), the smart contract that goes with it will determine what will happen with this NFT: who’s the owner, if it’s a simple PFP (profile picture), or for instance, a dynamic NFT and evolves or changes accordingly to what you prior decide.
NFTs are often used to verify the authenticity and ownership of digital items and have gained popularity in the art world as a way to sell and trade digital art, but they can be much more, because of the technology that makes them unique and traceable. Also, an NFT can also be linked to the real world, as a ticket to an event, or even a way to access or prove the ownership of a physical asset.
What is a Dynamic NFT
A dynamic NFT is a type of non-fungible token that can change. Is also stored on a blockchain and can change or evolve over time. It owns characteristics that allow a specific behavior, adding an extra layer of interactivity and uniqueness compared to a static NFT.
This creates a new level of interactivity that allows the NFT to have a dynamic and interesting value proposition. This opens up new possibilities for digital art, collectibles, gaming, jewelry, etc., where the asset's value is linked to its evolution.
These changes could be triggered by various events such as time, life events, several relevant actions taken by the owner, or even interactions with other NFTs, making the NFT more relevant and valuable. In this way, dynamic NFTs can be seen as a way toad more value to a digital asset.
What is a phygital asset?
A phygital asset is a modern term used to describe a physical item that has a digital component or representation, usually an NFT. It is an asset that exists both in the physical and digital realms and offers new ways of thinking about ownership, value, and use.
This concept links the real world with the digital one and allows any asset to be tracked and managed digitally, giving it added value. For example, a piece of jewelry can be given a digital identity, allowing the owner to keep track of its value and ownership history, and the seller to manage inventory and pricing. The digital aspect of a phygital asset opens up new opportunities for ownership and value creation.
In the world of jewelry, phygital assets are becoming more common helping evolve the traditional methods of selling, buying, and owning jewelry.
One great example of a phygital asset in the jewelry world is blockchain-based diamonds. These diamonds are unique, as each one has a unique digital signature, verified and recorded on a blockchain. This means that the diamond can be tracked and verified throughout its entire lifecycle, from mining to sale. This not only adds transparency and security to the diamond industry but also helps consumers to verify the authenticity and history of the diamonds they purchase.
Phygital assets in jewelry are revolutionizing the way we think about jewelry ownership and value. By combining the physical and digital realms, phygital assets offer new opportunities for transparency, security, and innovation in the jewelry industry. As technology continues to evolve, we can expect to see more exciting examples of phygital assets in the future.
A great example of a phygital jewelry
Tiffany, the iconic luxury jewelry brand, has taken the world of phygital assets with their collaboration with Cryptopunks. This innovative and groundbreaking collab has set a new standard for other luxury brands.
Cryptopunks, an NFTs collection created by UK-based artists, are a set of 10,000 unique digital characters, each with its unique traits and characteristics. Tiffany partnered with the creators of Cryptopunks to launch a limited-edition series of their own, “Tiffany Cryptopunks,” which was made available for purchase on their website and via the blockchain-based marketplace, OpenSea.
This partnership combined a digital collection of NFTs with a jewelry piece that came with the possibility of designing your Cryptopunk pendant and receiving it inside Tiffany's signature blue box. Holders had a few days to redeem their digital collectible for a physical pendant and chain.
The success of this was immediate and impressive, with the first Tiffany Cryptopunk selling for an eye-popping 12.5 million in the first 20 minutes.
The unique combination of digital art with a physical good added to the allure of these NFTs, making them a must-have item for art collectors and crypto enthusiasts.
What are we doing at Wonther Jewelry?
At Wonther we will keep working on web 3 while still working on web 2. This means that besides doing regular e-commerce, on every special collection we design, we will provide an NFT version. This allows our customers to be able to buy the jewelry piece physically and digitally, making them able to showcase it on their social media profiles. Additionally, it works as an authenticity tool. This ensures that the jewelry piece cannot be replicated or counterfeited and gives our customers peace of mind: investing in a genuine, one-of-a-kind item that can also be showcased or traded digitally.
This evolution is important because jewelry has long been a symbol of personal style IRL and it allows this style to can be transferred into digital life. Jewelry has also been used to mark important milestones, such as weddings and graduations, and has been passed down through generations as a way to preserve family history and heritage. Can you see the similarities with a digital asset? We totally can.
The technology brewing behind Web 3 including NFTs has enormous potential to change the way we see and act on the internet.
At Wonther jewelry, we believe we need to be a leading example in the space that launches and sells phygital assets in the jewelry business. Therefore, we are embracing and sharing our journey as a brand with anyone interested in it. Ask us anything, just email us or comment send us a DM on social media. Keep in touch because the barrier beyond digital and physical is becoming less and less visible and we love that.