Opinion by: Charu Sethi, president of Unique Network
Some argue that NFTs are dead. Others are holding out for the speculative art boom to return with the next market cycle. Both assumptions miss the reality. NFTs are neither obsolete nor poised for another speculative hype wave. What’s unfolding instead is likely the most important phase in their evolution: where NFTs are transitioning into core digital infrastructure underpinning gaming, AI and machine-driven applications.
The market has evolved
There are clear signs that NFT utility is replacing speculation, and the trend is holding. According to DappRadar, in Q1 2025, NFT trading volume dropped 24%, but sales declined only by 10%, pointing to lower average prices rather than user exit. AI and social DApps — with the potential to leverage NFTs for agent identity, assets, credentials and access — grew sharply in Q1, and utility categories like real-world assets (RWAs), domain NFTs and metaverse assets showed sustained traction.
In gaming, platforms like Mythical and The Sandbox continue to grow, where in-game assets provide real, functional value. While there is still a vision and demand for interoperable NFTs, there are also examples where they are being delivered for developers and end-users.
NFTs in the agentic AI era
NFTs were originally conceived to enable verifiable digital ownership, identity and programmable rights — not speculative trading. It was meant to give people ownership of their digital lives. Be it their identity, health records, social media content or creative work — NFTs offered a way to prove ownership. That vision was foundational to the broader Web3 movement.
This foundational vision was obscured by the rise of memecoins and short-term financial hype, distorting public perception of NFTs and Web3. This core utility resurfaces as the agentic AI era emerges, where code meets cognition. Autonomous AI agents now require self-sovereign identity, memory and access control to operate effectively onchain.
With AI frameworks maturing,…
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