Why are Major Web2 Brands like Reddit and Nike Building in Polygon?

If experts are to be believed, Web3 is going to be infused into our daily lives as early as 2030. While this is an exciting prospect for users across the globe – especially cryptocurrency investors who have prior experience with blockchain platforms – not everyone will be jumping for joy.

Businesses today have shaped themselves around the Web2 concept, with all of them predominantly utilising fiat currency as a way to pay for the products and services that they provide. 

Under a Web3 model, average consumers will be given far more control. Specifically, payments will be built around a native token (ETH, BTC, DOGE, etc.), and payment apps will require no personal data or be blocked for certain types of work.

In order to survive, a number of pre-existing businesses will have to change and adapt to a new, closer relationship with their online consumers. This change is not a distant prospect somewhere over the horizon, either. The best companies are instilling those changes right now, transforming themselves into a constant presence within the blockchain sector to get ahead of the curve and gain familiarity with a new way of doing business.

The Path Into Blockchain

Companies like Nike and Reddit have managed to achieve this through the use of NFTs, which provide a path into blockchain that is both innovative and widespread. To give an example, the US is one of the big players in the crypto market, with over 46 million Americans owning a share in BTC. In 2021 alone, however, as much as two-thirds of Americans were unfamiliar with NFTs. Today, only 7% have not heard of them – such is the rapid success of the concept.

The growth of NFTs has been wild and fast, and companies like Nike and Reddit have taken notice. For those still unfamiliar, an NFT stands for “non-fungible token”, meaning it is an asset which is unique to any other. Like a piece of art, only one original NFT exists, and the price varies depending on what the seller/buyer deems suitable. The price of Ethereum, on the other hand, remains the same for all tokens, and one ETH can be bought and traded for an identical asset. 

Why Are Companies Taking Note?

They are also sold entirely on blockchain, which is why these companies have started to take note. Utilising in-house creativity and innovation, brands across the globe are beginning to build their own NFTs (whether that be in the form of digital art, videos, logos, cards, etc.) and auctioning them on blockchain to crypto users. 

This offers a unique way for businesses to redefine how they engage with blockchain-based customers. For those consumers, they encourage interaction and essentially build brand awareness in the world of Web3 before Web3 even exists – not to mention introducing a new, effective way to raise capital in the process.

Nike and Reddit’s Polygon Scheme

Looking at Nike and Reddit specifically, they have both chosen Polygon as their preferred platform in the lead-up to Web3. This is a platform which connects and grows Ethereum-compatible networks, allowing both Nike and Reddit to set up their Web3 market stall to sell their NFT products. 

For Nike, they will be using Polygon to launch “Swoosh”, which is their own platform that puts itself in the epicentre of virtual apparel through the selling of iconic clothing pieces in the form of digital assets. This will include apparel such as sneakers, t-shirts, accessories and many other collectables. They will also include virtual events and exclusive NFT drops, which will begin in early 2023.

Reddit, similarly, has begun plans to launch an NFT marketplace for online avatars. So far, it has created a total of 90 designs for its early-access series of NFTs – with sales tipped to total at least $10,000 – all of which can be used as avatars on other platforms and exhibit a glowing effect next to comments on Reddit.

What Other Companies Are Utilising Polygon?

It is not only Reddit and Nike utilising Polygon, either. As mentioned before, some of the biggest companies around the world are putting their Web3 scaling into action with their own partnerships. This includes the National Football League and Liverpool FC, both of whom are planning to distribute NFTs to their fans on select ticket purchases. Liverpool, especially, is intent on bolstering the sustainability of the NFT concept, with their NFTs consuming 99.5% less energy. 

Food and drink chains are also taking advantage. Starbucks has announced an NFT-based loyalty program, known as “Starbucks Odyssey”, and Coca-Cola has launched 4,000 NFTs that allow holders to gain a list of perks, including an experience powered exclusively by “Coke Studio”. 

Over the years, we can likely expect more and more companies to get involved with Polygon – as well as other platform-building networks – to create their own NFTs and find their place in the Web3 market. Transcending from Web2 to Web3 is not going to be an easy task, but it appears that companies across the globe are choosing to embrace the challenge by escalating their innovation and reaching consumers in a way they have never achieved before.

FAQs

How Much Do NFTs Cost?

NFTs vary in cost. Some of Nike’s virtual sneakers have cost customers between $4,000 to $9,500 – although some have even sold for over six figures. Their value is determined by the owner or seller, so it all comes down to individual opinions.

How Can I Get Involved With Reddit And Nike’s Web3 Wonderland?

If you have crypto holdings, then you’re already halfway there. Simply set up a Polygon account and be ready for the next NFT launch!

Will Web3 Really Arrive In 2030?

It’s difficult to pin down exactly when Web3 will be with us. There won’t be any official Web3 launch, but more of a gradual phasing in, just as Web1 phased into Web2. It is likely, however, that Web3 will become more of a constant presence between 2030 and 2040.

Are NFTs Really Worth It?

As mentioned before, an NFT's worth is determined by the seller and buyer. But they are growing more and more popular for a reason. They offer something different in the online space, and owning an original digital asset will undoubtedly put you in a unique and potentially profitable position.

What Is The State Of Crypto Right Now?

Crypto is currently in the midst of its second crypto winter. While the price of Bitcoin and other alt-coins is experiencing a lull, it doesn’t mean that your crypto journey shouldn’t start now. In many ways, it is a good idea to start building a portfolio while prices are low and gain considerable returns when they start to rise again.