Is the future of fashion in video games, NFTs, and the metaverse?

Non-fungible tokens are changing the way fashion is bought and sold by using the cryptocurrency Ethereum. (Photo by focalphoto/Flickr)

After clothing sales declined in 2020 due to the COVID-19 pandemic, the fashion industry is primed for a shift towards digital clothing.

Non-fungible tokens (NFTs) are virtual items that are entirely unique due to their use of the Ethereum blockchain. They offer gamers the opportunity to purchase pieces of digital clothes to be used in several video games and virtual worlds, all while maintaining each token’s uniqueness.

Roblox, a video game that has over 40 million daily active users, is one of the biggest drivers of integrating digital fashion into games. The Roblox Corporation has announced several partnerships between its game and world-renowned fashion brands like Gucci, Ralph Lauren, and Nike to let players buy digital clothing for their gaming avatars.

Players will be able to expand the closets of their online personas just like they would in real life as the fashion industry continues to expand into the gaming environment. One of the most attractive aspects of these collaborations in the eyes of fashion companies is that gaming worlds and metaverses are blending into our physical world.

According to a Dec. 1, 2021, report by McKinsey & Company, video games and the metaverse are slowly becoming “an extension of the real world,” and fashion brands have seen that as a prime opportunity to expand into.

“As consumers spend more time online and the hype around the metaverse continues to cascade into virtual goods, fashion leaders will unlock new ways of engaging with high-value younger cohorts,” the report said. “To capture untapped value streams, players should explore the potential of non-fungible tokens, gaming, and virtual fashion — all of which offer fresh routes to creativity, community-building and commerce.”

As Meta, the company formerly known as Facebook, promotes its metaverse as an all-encompassing space where users can show off their personalities with NFT clothing, digital fashion has a bright future.

This is an exciting development for players who want to wear their favorite brands in virtual worlds, and it has the potential to help the fashion industry to rebound from 2020.

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