Fashion Tokens

Abstract

Abstract Non-fungible tokens or NFTs were the unexpected fad of the Covid pandemic. Suddenly, everyone wanted to own—or at least speculate on the value of—cryptographic tokens representing nominal ownership of digital artworks. Many fashion brands saw potential in the NFT market and released NFT collections, with varying degrees of success. While the NFT bubble soon burst, the NFT market continued to percolate. It remains to be seen whether NFTs will transform the art market or become an amusing footnote. This chapter explains the economic reality of both the art market and the NFT market as a means of investing in the commercial goodwill or ‘clout’ associated with an artist’s brand. It describes a selection of NFT collections sold by fashion brands and it observes that the economic reality of the NFT market explains the success or failure of fashion NFTs.