Non-fungible tokens (NFTs) and the metaverse have exploded in popularity over the past year, spawning a variety of new initiatives and use cases. The utility NFT, a kind of NFT meant to give holders additional value beyond the actual digital asset, is one new use case in this area.
Access and goods are made available through utility NFTs to anyone who wants to interact with companies and take part in the project's culture. Web3 gives a chance for crypto-native and Web2 firms in fashion and entertainment to offer their audiences both digital and physical goods and experiences. Since the physical and digital worlds are now so frequently combined, the term "phygital" has been coined.