SlideShare a Scribd company logo
Schedule
12:00 – 12:15 ET, Alex G. Lee
"Overview & Fame Universe Fashion NFT Monetization Platform"
Overview & Fame Universe Fashion NFT Monetization Platform
12:15 – 12:30 ET, Ted Kim
"XBRIK: NFT Securitization & Brick Exchange & IBO DeFi Platform"
12:30 – 12:45 ET, Aditya Mani
"In-app monetization of NFTs for Style"
In app monetization of NFTs for Style
12:45 – 13:00 ET, Aline Conus-Moulin
"NFT Valuation: Challenges & Solutions"
13:00 – 13:15 ET, Yael Tamar
"NFTs in Real Estate"
NFTs in Real Estate
13:15 – 13:30 ET, Vandana Taxali
"NFT IP Rights Licensing: Deep Dive"
13:30 – 13:45 ET, Joshua Hale
"NFTDAOs not spelled S A F E: Why the most interesting things you can
p y g g y
do in crypto can land you in hot water!"
13:45 – 14:00 ET, Alex G. Lee
(Optional) Q&A/Discussion
S k D t il
Speaker Details
Alex G. Lee https://www.linkedin.com/in/alexgeunholee/
Ted Kim https://www.linkedin.com/in/hbkbumkim-2b200925/
Aditya Mani https://www.linkedin.com/in/adityamani/
Aline Conus-Moulin https://www.linkedin.com/in/alineconus/
Yael Tamar https://www.linkedin.com/in/yaeltamar/
Vandana Taxali https://www.linkedin.com/in/vtaxali/
Joshua Hale https://www.linkedin.com/in/thisthatjosh/
NFT Monetization
O i
Overview
NFT Value Development
p
Scarcity
A NFT issuer can develop the scarcity by designing NFT with some rare features/characteristics and controlling NFT supply and demand. NFTs that are issued by well-
known brands/celebrities/community supports/fandoms/reputations/popularities also can add the scarcity.
*NFT scarcity evaluation solution:
Rarity.Tools (https://rarity.tools/)) and Rarity Sniffer (https://raritysniffer.com/) provide a ranking of the scarcity of individual collectible NFTs and how rare any NFT is
within their collection.
Utility
An utility NFT enables an underlying application that provides some economic utilities through a real-world use case. NFT utilities include providing direct economic values
to NFT holders (e.g., monetary return/rewards/redeemabilities/incentives/benefits) and/or functionalities (e.g., VIP membership/access pass/passport to exclusive
experiences/events/communities/products/real estates) and/or diverse applicabilities (e.g., applications in metaverse/gaming/fashion/retail/sport/finance/music ...) and/or
sustainabilities (e.g., life cycle management of a product) and/or technical features (e.g., dynamic/consumable/composable NFT; interoperability).
*A good reference for the utility NFT:
Here are the top NFTs with Utility (https://supplain.io/news/top-nfts-with-utility)
Sustainable Tokenomics
A good token economic system design enables a better NFT liquidity, and thus, an economically sustainable NFT ecosystem , which significantly affects the long-term
economic value of NFT holders.
*High liquidity provides an ability/opportunity to realize the expected/market value from a sale in a reasonable time frame.
NFT Valuation
Floor Price
The NFT floor price is the lowest listed selling price for a NFT within an NFT collection on NFT marketplaces.
Market Approach
For a digital collectible/artwork NFT, a value can be evaluated based on recent comparable (similar asset characteristics) transaction price on NFT marketplaces.
*A good valuation reference for artwork NFTs:
NFT Valuation Guide (https://www.clearrating.com/resources/nft-valuation-guide)
Income Approach
A value can be evaluated based on regular cash flow generation potential through IP licensing and other income generating activities.
A good example is the music licensing royalties.
Prediction
A value can be evaluated based on available historical market price data to predict current and future NFT values.
Experts’ View
A value can be evaluated based on (a cloud sourcing) experts' evaluation by incentivizing honest answers.
*Upshot (https://upshot.xyz/) provides the NFT price predictions based on available historical market price data using machine learning models. Upshot also provides the
NFT appraisals by asking its decentralized user base to compare collectibles.
NFT Monetization
Sales
A NFT, which represents a physical/digital asset (ownership certification), can be monetized through the primary sales and secondary sales on marketplace. Popular NFT
marketplaces include OpenSea Binance Lucky Block Nifty Gateway Foundation and Rarible
marketplaces include OpenSea, Binance, Lucky Block, Nifty Gateway, Foundation and Rarible.
*NFT sales do not mean the ownership transfer of the underlying physical/digital asset automatically. For the ownership transfer, an in-built smart contracts for the NFT
may specify the ownership transfer but this is currently the exception and not the rule Usually NFT ownership means you have the token can display the token and can
may specify the ownership transfer– but this is currently the exception and not the rule. Usually, NFT ownership means you have the token, can display the token and can
authenticate your token ownership.
Licensing
Licensing
A NFT, which represents the intellectual property (IP) rights of a physical/digital asset, can be monetized through the licensing for royalty incomes.
*References for NFT licensing processes and legal issues:
References for NFT licensing processes and legal issues:
A Survey of NFT Licenses: Facts & Fictions (https://www.galaxy.com/research/insights/a-survey-of-nft-licenses-facts-and-fictions/)
Copyright Vulnerabilities in NFTs (https://medium.com/initc3org/copyright-vulnerabilities-in-nfts-317e02d8ae26)
Financing
NFT IPs can be pooled to use as asset-backed securities for securitization financing from institutional investors. NFTs also can be pooled to use as collaterals for DeFi
money markets (NFT+DeFi = NFTFi)
money markets (NFT+DeFi NFTFi).
*References for NFT financing:
Can I interest you in NFT² Sir? (https://volquant.medium.com/can-i-interest-you-in-nft%C2%B2-sir-3c9c1b4caf19)
Can I interest you in NFT Sir? (https://volquant.medium.com/can i interest you in nft%C2%B2 sir 3c9c1b4caf19)
A detailed analysis of NFT financialization: how to unleash the greater potential of NFT? (https://coinyuppie.com/a-detailed-analysis-of-nft-financialization-how-to-unleash-
the-greater-potential-of-nft/)
FAME UNIVERSE
Fashion NFT
Monetization Platform
Architecture
Alex G. Lee, Ph.D, Esq.
Chief Evangelist
October, 2022
Fashion NFT Monetization Opportunities & Challenges
pp g
Monetization Potential
Although digital fashion assets (e.g., wearable NFTs for metaverse/gaming fashion) can be the new revenue streams, monetization opportunities are not fully explored yet
(still targeting specific NFT/game mania community not fashion consumers in general)
(still targeting specific NFT/game mania community, not fashion consumers in general).
-Development of innovative experience value propositions for consumers’ engagement is required (e.g., a digital cloth should have a personalized experience tied to it).
-Design of NFTs for providing long-term utilities to unlock deeper relationships and create more shared values with customers is required (.e.g., utility NFTs for various
value additions)
value additions).
IP Licensing
In general clothing is considered a useful article that is inherently functional and thus physical fashion designs are not protectable under copyright law especially in the
In general, clothing is considered a useful article that is inherently functional, and thus, physical fashion designs are not protectable under copyright law, especially in the
US. However, a digital fashion design, which is a 2D or 3D design, so long as it is original and has some minimum degree of creativity, it is potentially protectable under
copyright law. Thus, a fashion NFT, which represents the copyright of a digital design, can be monetized through the licensing for royalty incomes. For the licensing
transaction an in-built smart contracts for the NFT should specify any licensing agreement However a cash flow generation of the fashion IP NFT licensing through
transaction, an in built smart contracts for the NFT should specify any licensing agreement. However, a cash flow generation of the fashion IP NFT licensing through
licensing royalties is hard to evaluate, unlike to the case of the music IP NFT licensing.
*A good reference for the music IP NFT licensing:
A good reference for the music IP NFT licensing:
Blockchain Copyright Exchange – A Prototype (https://digitalcommons.law.buffalo.edu/buffalolawreview/vol69/iss4/2/)
IP Financing
IP Financing
Fashion IP NFTs can be pooled to use as asset-backed securities for securitization financing from institutional investors. Fashion NFTs also can be pooled to use as
collaterals for DeFi money markets (NFT+DeFi = NFTFi). However, the difficulty in valuation for income generation and low liquidity of fashion NFT IPs should be resolved.
Fame Fashion NFT Monetization Platform
Fame Universe (https://famegroup.io/) is a platform builder that hyper connecting fashion “From Physical to Digital And From Digital to Physical.” Fame’s mission is to
lead the “Sustainable Metaverse Fashion Ecosystem” that nourishes existing physical and digital fashion universes where we can build, create, enjoy, play, earn and shop in
a sustainable way
a sustainable way.
Fame Platform
Patent pending Fame platform is a sustainable metaverse fashion ecosystem building platform that provides a play ground where the ecosystem players and stakeholders
Patent pending Fame platform is a sustainable metaverse fashion ecosystem building platform that provides a play ground where the ecosystem players and stakeholders
can co-create a sustainable metaverse fashion ecosystem. Fame platform provides the interfaces for the ecosystem players and stakeholders can cooperate synergetically to
build sustainable metaverse fashion ecosystem more efficiently and effectively. Fame platform provides/integrates the tools/solutions/knowledge/expertise for supporting a
sustainable metaverse fashion ecosystem development
sustainable metaverse fashion ecosystem development.
Fame Fashion NFT Monetization Platform
Patent pending Fame fashion NFT monetization platform (FameFiTM) is a core element of the fame platform
Patent pending Fame fashion NFT monetization platform (FameFi ) is a core element of the fame platform.
FameFiTM is designed to provide most innovative fashion monetization solution that can maximize opportunities and resolve many challenges in fashion NFT monetization.
FameFiTM is designed to employ various innovative monetization methods including fashion IP NFT licensing, securitization and NFTFi for maximizing monetary rewards to
the Fame ecosystem/community members and for enabling financially sustainable Fame metaverse fashion ecosystem development.
FameFiTM is designed to resolve many legal issues in fashion NFT monetization and overcome several huddles in the fashion NFT valuation.
FameFiTM is designed to innovate the fashion NFT value creation through NFT scarcity, utility and sustainable tokenomics development.
FameFi is designed to innovate the fashion NFT value creation through NFT scarcity, utility and sustainable tokenomics development.
Fame Universe Patent Pending Fashion NFT Monetization Platform Architecture
g
Digitalization
Digitalize a designer’s sketch, patterns, and wearable garment Curate 2D or 3D digital fashion design products to assure a m
i i d f ti it f idi i ht t ti
Digitalization
Layer
into 2D or 3D digital fashion design products inimum degree of creativity for providing copyright protection
Mi t NFT 1 f ti di it l f hi d i d t
Embed DID (Decentralized Identifiers) based SSI (Self-Sovereign Identity)
NFT Minting
Layer
Mint NFT-1s for representing digital fashion design products
with underlying IP rights; Mint NFT-2s for representing
secondary creations from NFT-1 (metaverse fashionwear)
Embed DID (Decentralized Identifiers) based SSI (Self Sovereign Identity)
for a verifiable NFT authenticity that can be used for a NFT creator to
verify the authenticity of minted NFT by creating a verifiable credential
(carried with NFT) that proves NFT creator's identity
Form a securitization pool of NFT-1s and NFT-2s considering Comply lighter-weight security regulations such as
Securitization
Layer
p g
design features, types, use cases and income generation
potentials; Provide group index and mint NFT-ST
for representing the securitization pool
Securitization
Layer
Comply lighter weight security regulations such as
Regulations D, S, or A+ and/or Crowdfunding and/or
Regulation A for offering does not exceed $20 million
in a 12-month period
Valuation
Layer
Value based on experts’ view with consultation of (British/Dutch/
Vickrey/SMR/Radical) auction; Value based on comparable IP
licensing price with consultation of information cloud sourcing
Value based on DeFi price discovery mechanism: pool
in liquidity pool Automated Market Makers (AMMs) using
NFT-backed fungible tokens and arbitrage process
Monetization
Layer
Monetize through sales of NFT-ST security tokens;
Monetize through primary/secondary marketplace: in-built smart
contract for the NFT should specify any sales/licensing
Monetize through fashion NFT monetization DAO:
To encourage active engagement in the monetization
DAO, a utility based NFT, where the token acts as a
Layer co t act o t e s ou d spec y a y sa es/ ce s g
agreement in a legally appropriate way
DAO, a utility based NFT, where the token acts as a
digital passport of the DAO membership is used
Upcoming Webinar
p g
Upcoming Webinar
p g

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NFT Monetization Innovation Webinar

  • 1. Schedule 12:00 – 12:15 ET, Alex G. Lee "Overview & Fame Universe Fashion NFT Monetization Platform" Overview & Fame Universe Fashion NFT Monetization Platform 12:15 – 12:30 ET, Ted Kim "XBRIK: NFT Securitization & Brick Exchange & IBO DeFi Platform" 12:30 – 12:45 ET, Aditya Mani "In-app monetization of NFTs for Style" In app monetization of NFTs for Style 12:45 – 13:00 ET, Aline Conus-Moulin "NFT Valuation: Challenges & Solutions" 13:00 – 13:15 ET, Yael Tamar "NFTs in Real Estate" NFTs in Real Estate 13:15 – 13:30 ET, Vandana Taxali "NFT IP Rights Licensing: Deep Dive" 13:30 – 13:45 ET, Joshua Hale "NFTDAOs not spelled S A F E: Why the most interesting things you can p y g g y do in crypto can land you in hot water!" 13:45 – 14:00 ET, Alex G. Lee (Optional) Q&A/Discussion S k D t il Speaker Details Alex G. Lee https://www.linkedin.com/in/alexgeunholee/ Ted Kim https://www.linkedin.com/in/hbkbumkim-2b200925/ Aditya Mani https://www.linkedin.com/in/adityamani/ Aline Conus-Moulin https://www.linkedin.com/in/alineconus/ Yael Tamar https://www.linkedin.com/in/yaeltamar/ Vandana Taxali https://www.linkedin.com/in/vtaxali/ Joshua Hale https://www.linkedin.com/in/thisthatjosh/
  • 3. NFT Value Development p Scarcity A NFT issuer can develop the scarcity by designing NFT with some rare features/characteristics and controlling NFT supply and demand. NFTs that are issued by well- known brands/celebrities/community supports/fandoms/reputations/popularities also can add the scarcity. *NFT scarcity evaluation solution: Rarity.Tools (https://rarity.tools/)) and Rarity Sniffer (https://raritysniffer.com/) provide a ranking of the scarcity of individual collectible NFTs and how rare any NFT is within their collection. Utility An utility NFT enables an underlying application that provides some economic utilities through a real-world use case. NFT utilities include providing direct economic values to NFT holders (e.g., monetary return/rewards/redeemabilities/incentives/benefits) and/or functionalities (e.g., VIP membership/access pass/passport to exclusive experiences/events/communities/products/real estates) and/or diverse applicabilities (e.g., applications in metaverse/gaming/fashion/retail/sport/finance/music ...) and/or sustainabilities (e.g., life cycle management of a product) and/or technical features (e.g., dynamic/consumable/composable NFT; interoperability). *A good reference for the utility NFT: Here are the top NFTs with Utility (https://supplain.io/news/top-nfts-with-utility) Sustainable Tokenomics A good token economic system design enables a better NFT liquidity, and thus, an economically sustainable NFT ecosystem , which significantly affects the long-term economic value of NFT holders. *High liquidity provides an ability/opportunity to realize the expected/market value from a sale in a reasonable time frame.
  • 4. NFT Valuation Floor Price The NFT floor price is the lowest listed selling price for a NFT within an NFT collection on NFT marketplaces. Market Approach For a digital collectible/artwork NFT, a value can be evaluated based on recent comparable (similar asset characteristics) transaction price on NFT marketplaces. *A good valuation reference for artwork NFTs: NFT Valuation Guide (https://www.clearrating.com/resources/nft-valuation-guide) Income Approach A value can be evaluated based on regular cash flow generation potential through IP licensing and other income generating activities. A good example is the music licensing royalties. Prediction A value can be evaluated based on available historical market price data to predict current and future NFT values. Experts’ View A value can be evaluated based on (a cloud sourcing) experts' evaluation by incentivizing honest answers. *Upshot (https://upshot.xyz/) provides the NFT price predictions based on available historical market price data using machine learning models. Upshot also provides the NFT appraisals by asking its decentralized user base to compare collectibles.
  • 5. NFT Monetization Sales A NFT, which represents a physical/digital asset (ownership certification), can be monetized through the primary sales and secondary sales on marketplace. Popular NFT marketplaces include OpenSea Binance Lucky Block Nifty Gateway Foundation and Rarible marketplaces include OpenSea, Binance, Lucky Block, Nifty Gateway, Foundation and Rarible. *NFT sales do not mean the ownership transfer of the underlying physical/digital asset automatically. For the ownership transfer, an in-built smart contracts for the NFT may specify the ownership transfer but this is currently the exception and not the rule Usually NFT ownership means you have the token can display the token and can may specify the ownership transfer– but this is currently the exception and not the rule. Usually, NFT ownership means you have the token, can display the token and can authenticate your token ownership. Licensing Licensing A NFT, which represents the intellectual property (IP) rights of a physical/digital asset, can be monetized through the licensing for royalty incomes. *References for NFT licensing processes and legal issues: References for NFT licensing processes and legal issues: A Survey of NFT Licenses: Facts & Fictions (https://www.galaxy.com/research/insights/a-survey-of-nft-licenses-facts-and-fictions/) Copyright Vulnerabilities in NFTs (https://medium.com/initc3org/copyright-vulnerabilities-in-nfts-317e02d8ae26) Financing NFT IPs can be pooled to use as asset-backed securities for securitization financing from institutional investors. NFTs also can be pooled to use as collaterals for DeFi money markets (NFT+DeFi = NFTFi) money markets (NFT+DeFi NFTFi). *References for NFT financing: Can I interest you in NFT² Sir? (https://volquant.medium.com/can-i-interest-you-in-nft%C2%B2-sir-3c9c1b4caf19) Can I interest you in NFT Sir? (https://volquant.medium.com/can i interest you in nft%C2%B2 sir 3c9c1b4caf19) A detailed analysis of NFT financialization: how to unleash the greater potential of NFT? (https://coinyuppie.com/a-detailed-analysis-of-nft-financialization-how-to-unleash- the-greater-potential-of-nft/)
  • 6. FAME UNIVERSE Fashion NFT Monetization Platform Architecture Alex G. Lee, Ph.D, Esq. Chief Evangelist October, 2022
  • 7. Fashion NFT Monetization Opportunities & Challenges pp g Monetization Potential Although digital fashion assets (e.g., wearable NFTs for metaverse/gaming fashion) can be the new revenue streams, monetization opportunities are not fully explored yet (still targeting specific NFT/game mania community not fashion consumers in general) (still targeting specific NFT/game mania community, not fashion consumers in general). -Development of innovative experience value propositions for consumers’ engagement is required (e.g., a digital cloth should have a personalized experience tied to it). -Design of NFTs for providing long-term utilities to unlock deeper relationships and create more shared values with customers is required (.e.g., utility NFTs for various value additions) value additions). IP Licensing In general clothing is considered a useful article that is inherently functional and thus physical fashion designs are not protectable under copyright law especially in the In general, clothing is considered a useful article that is inherently functional, and thus, physical fashion designs are not protectable under copyright law, especially in the US. However, a digital fashion design, which is a 2D or 3D design, so long as it is original and has some minimum degree of creativity, it is potentially protectable under copyright law. Thus, a fashion NFT, which represents the copyright of a digital design, can be monetized through the licensing for royalty incomes. For the licensing transaction an in-built smart contracts for the NFT should specify any licensing agreement However a cash flow generation of the fashion IP NFT licensing through transaction, an in built smart contracts for the NFT should specify any licensing agreement. However, a cash flow generation of the fashion IP NFT licensing through licensing royalties is hard to evaluate, unlike to the case of the music IP NFT licensing. *A good reference for the music IP NFT licensing: A good reference for the music IP NFT licensing: Blockchain Copyright Exchange – A Prototype (https://digitalcommons.law.buffalo.edu/buffalolawreview/vol69/iss4/2/) IP Financing IP Financing Fashion IP NFTs can be pooled to use as asset-backed securities for securitization financing from institutional investors. Fashion NFTs also can be pooled to use as collaterals for DeFi money markets (NFT+DeFi = NFTFi). However, the difficulty in valuation for income generation and low liquidity of fashion NFT IPs should be resolved.
  • 8. Fame Fashion NFT Monetization Platform Fame Universe (https://famegroup.io/) is a platform builder that hyper connecting fashion “From Physical to Digital And From Digital to Physical.” Fame’s mission is to lead the “Sustainable Metaverse Fashion Ecosystem” that nourishes existing physical and digital fashion universes where we can build, create, enjoy, play, earn and shop in a sustainable way a sustainable way. Fame Platform Patent pending Fame platform is a sustainable metaverse fashion ecosystem building platform that provides a play ground where the ecosystem players and stakeholders Patent pending Fame platform is a sustainable metaverse fashion ecosystem building platform that provides a play ground where the ecosystem players and stakeholders can co-create a sustainable metaverse fashion ecosystem. Fame platform provides the interfaces for the ecosystem players and stakeholders can cooperate synergetically to build sustainable metaverse fashion ecosystem more efficiently and effectively. Fame platform provides/integrates the tools/solutions/knowledge/expertise for supporting a sustainable metaverse fashion ecosystem development sustainable metaverse fashion ecosystem development. Fame Fashion NFT Monetization Platform Patent pending Fame fashion NFT monetization platform (FameFiTM) is a core element of the fame platform Patent pending Fame fashion NFT monetization platform (FameFi ) is a core element of the fame platform. FameFiTM is designed to provide most innovative fashion monetization solution that can maximize opportunities and resolve many challenges in fashion NFT monetization. FameFiTM is designed to employ various innovative monetization methods including fashion IP NFT licensing, securitization and NFTFi for maximizing monetary rewards to the Fame ecosystem/community members and for enabling financially sustainable Fame metaverse fashion ecosystem development. FameFiTM is designed to resolve many legal issues in fashion NFT monetization and overcome several huddles in the fashion NFT valuation. FameFiTM is designed to innovate the fashion NFT value creation through NFT scarcity, utility and sustainable tokenomics development. FameFi is designed to innovate the fashion NFT value creation through NFT scarcity, utility and sustainable tokenomics development.
  • 9. Fame Universe Patent Pending Fashion NFT Monetization Platform Architecture g Digitalization Digitalize a designer’s sketch, patterns, and wearable garment Curate 2D or 3D digital fashion design products to assure a m i i d f ti it f idi i ht t ti Digitalization Layer into 2D or 3D digital fashion design products inimum degree of creativity for providing copyright protection Mi t NFT 1 f ti di it l f hi d i d t Embed DID (Decentralized Identifiers) based SSI (Self-Sovereign Identity) NFT Minting Layer Mint NFT-1s for representing digital fashion design products with underlying IP rights; Mint NFT-2s for representing secondary creations from NFT-1 (metaverse fashionwear) Embed DID (Decentralized Identifiers) based SSI (Self Sovereign Identity) for a verifiable NFT authenticity that can be used for a NFT creator to verify the authenticity of minted NFT by creating a verifiable credential (carried with NFT) that proves NFT creator's identity Form a securitization pool of NFT-1s and NFT-2s considering Comply lighter-weight security regulations such as Securitization Layer p g design features, types, use cases and income generation potentials; Provide group index and mint NFT-ST for representing the securitization pool Securitization Layer Comply lighter weight security regulations such as Regulations D, S, or A+ and/or Crowdfunding and/or Regulation A for offering does not exceed $20 million in a 12-month period Valuation Layer Value based on experts’ view with consultation of (British/Dutch/ Vickrey/SMR/Radical) auction; Value based on comparable IP licensing price with consultation of information cloud sourcing Value based on DeFi price discovery mechanism: pool in liquidity pool Automated Market Makers (AMMs) using NFT-backed fungible tokens and arbitrage process Monetization Layer Monetize through sales of NFT-ST security tokens; Monetize through primary/secondary marketplace: in-built smart contract for the NFT should specify any sales/licensing Monetize through fashion NFT monetization DAO: To encourage active engagement in the monetization DAO, a utility based NFT, where the token acts as a Layer co t act o t e s ou d spec y a y sa es/ ce s g agreement in a legally appropriate way DAO, a utility based NFT, where the token acts as a digital passport of the DAO membership is used