When we think of blue-chip NFT projects, a few big names come to mind: BAYC, CryptoPunks, Beeple. These projects often attract new investors and artists into the crypto space, confident that all they must do to succeed is create a collection of cool apes and start a new Discord community.
In reality, most projects that mint on any blockchain come nowhere near blue-chip status, even when their artwork is worthy of it. There are many reasons for this, but a big one is the lack of meaningful utility. An NFT that has utility is one that has an application beyond the artwork within a defined ecosystem. Common utility NFTs relate to real estate, metaverses and fine art, but what constitutes ‘utility’ is constantly changing.
One NFT project that’s redefining what it means to be a utility NFT is Drunken Monkey Members Club. Built on Ethereum and founded by serial investor and entrepreneur Gavin Berry, Drunken Monkey offers its holders lifetime access to a real-life concierge network through NFT ownership.
Concierge meets crypto
A Drunken Monkey concierge membership is managed through a mobile application that gives members access to exclusive or sold-out events, assistance with travel and transport, personalised dining and destination guides, and more. While traditional concierge memberships require regular renewal fees, a Drunken Monkey membership is lifetime access, and it can be flipped on the secondary market.
The project launched their first round of 1,000 NFTs eight months ago, and their floor price has increased month-on-month since. As BAYC and other blue-chips struggle to retain their floor price amidst the crypto winter, it’s an unexpected achievement.
This growing floor price has less to do with crypto, and more to do with the concierge industry.
Demand for concierge memberships is rising, and a market report by Spherical Insights & Consulting forecasts a CAGR of 6.10% during the period of 2021-2030. Mid-level luxury concierge memberships in the UK easily can easily set back members £25,000 per year, while other high-end memberships can cost an eye-watering lump-sum of £400,000 for lifetime access.
There is reason to assume that the floor price will continue to increase as members trade their memberships on the secondary market. After all, if high net-worth concierge users are willing to fork out £25,000 per year for an annual membership, and £400,000 for a lifetime membership, where does that value a lifetime membership that can also be traded on the secondary market?
There are 5,995 NFTs in the DMMC collection corresponding to 5,995 individual concierge memberships.
One thing this crypto winter has taught us is that nothing can be truly predicted or expected, but DMMC demonstrates that demand for real-life utilities will always be high, regardless of the crypto market.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.