Best NFT Utilities Ideas & Examples

6 Best NFT Utility Ideas for Sellers You Should Consider

It isn’t easy coming up with nft utility ideas on your own, and it requires knowing what actual value your nft art project will bring to others. Gone are the days when people would buy nfts because they looked fantastic, and now the expectation is for your nft project to be helpful for the long term. 

If you just started on your journey or are looking to improve your nft project, we compiled a list of six best nft utility ideas and defined how to add utilities to your nft collection. 

First, I will explain what art utilities are and how you should be thinking about them for your project. 

Let’s dive in: 

What is Utility? 

Utility relates directly to how you add or create value, specifically in being helpful, profitable, or beneficial to others. For example, are you helping someone solve a problem, make more money, or feel good? 

NFT utilities are ways to reward nft holders and make them feel a part of a community or give them a sense of belonging others do not. 

Another way to think of nft Utility is creating ‘functional nfts’ that serve a purpose. Here’s a great explanation from a fellow youtuber: 

Getting intentional around what you provide and what you do not will foster an engaging and productive nft collection. How you make your nft holders feel and what value you add will impact how much sales you get. 

Use this formula, and you’ll find the perfect way to add Utility to your nft project: 

Utility = Usability + Profitable + Beneficial 

Learning how to add utility to your nft project can determine wether your collection is successful or not. Using this formula will prevent an nft failure  and it all starts with how you define your nft roadmap. We go in-depth on that in a different guide.

What Added Value or Use Case Does the NFT Project Bring to the Holder?

Sometimes the added value doesn’t have to be within your project, and it can be on how the nft becomes useful elsewhere. For example, Twitter brings utilities to your NFT Projects due to the following use case: 

‘Profile Pictures’ are a great use case for holders because if they sold the nft, then they can’t keep it in their ‘Profile Picture.’ 

Twitter Hexagon Profile Picture NFT
Logan (@lo6an_j) twitter profile picture of NFT validation

Twitter’s new profile picture validation feature prevents those who do not own a nft from using it in their profile picture. 

How do NFTs add Utility to Your Project? 

The token has an underlying smart contract that plays an enormous role in creating Utility for a nft. Smart contracts play an enormous role in creating Utility for a nft because they set conditions and represent anything. 

To understand how art with Utility works, you need to understand what tangible vs. intangible benefits your nft collection provides to others. Ideally, you want both benefits to create Utility and add value. 

Tangible Benefit

  • Ownership by gaining collectibles worth money 
  • Merchandise or physical items you can hold 
  • Access to something locked or unobtainable 

Intangible Benefit 

  • Status in social circles 
  • Emotional dividends
  • Connections with other like-minded individuals

For more details on why nfts are worth millions and how to increase your nft projects values read this guide:

Ultimate Guide on Why NFTs Are Worth Millions | Collector Tips (

Why NFTs with Utility Succeed More Often Than Those Without 

Not every nft project needs Utility, and it’s not intended to be overwhelming. Instead, it’s about finding different ways to position your nft project uniquely and be able to stand out from the crowd while creating a sustainable revenue stream. 

Most projects with Utility are more focused on generated collections of thousands of NFTs, not as much 1/1 fine/digital art. 

However, Utility becomes essential in solving problems, making money, and making others feel good. 

Objective World NFT Utility Examples 

Contractually a business will need to send a product when you purchase an NFT, or it can become a ticket to a concert providing access. While digital collectibles and art are most famous for Non-Fungible Tokens, there are other ways to incorporate them into the real world, like real estate and more. 

Here are some nft utility examples already in use: 

  1. AMC Spiderman NFT for free when purchasing tickets ahead of time at the local movie theater.
  2. Bored Apes allow commercial licenses and rights for their holders, giving them the ability to put them on merchandise like T-Shirts, Hoodies, or Hats to sell to others. 

6 Best NFT Utility Ideas for Sellers 

1. Merchandise 

    • Win 1/30 designer items 

For example, Rebel Rabbits offer a hoodie with their logo and a wallet address on the back for others to join the moment. If you were to wear it in public and meet another person who owns a Rebel Rabbits nft, you’d make a new friend.

Rebel Rabbits Hoodie Merch

2. Real Estate / Virtual Land 

3. Royalties / Earnings / Profit 

  • 70% profits fairly distributed to all holders 
  • 30% profits go back to community wallet 
  • $40,000 community giveaway on sellout 

4. Donation 

  • $40,000 donation to a local charity on sellout 
  • 10% Donations to charities around the United States

For example, Creepy Creams is a nft project which supports children’s charities for every nft purchased. They are described as “community-first, metaverse-first project with a fully-doxxed team” and the floor price makes it affordable for first time collectors.

NFT Utility Ideas: Creepy Creams Supports Children Charities

5. Exclusivity / Rarity / Scarcity / Access 

  • Exclusive Metaverse events, merch & 3D models 
  • Physical metal membership card 
  • Exclusive discord channels (with crypto signals, real estate tips, & more)
  • Lock a video or photo behind requiring verification of ownership 
  • Play as a unique character in video game
  •  1,500 hand-drawn nfts – making each one of a kind

6. Events & Giveaways 

  • Lifetime passes to annual events.
  • Seasonal tickets
  • Giveaway a free Non-Fungible Token once a month. 
  • Invitation to dinner with a celebrity 

Why Utilities Aren’t Everything When Buying into an NFT 

Anybody can have an impressive sounding “Road Map,” and “Utilities” Most won’t pull off their plans. While Roadmaps are essential for setting vision and plans, nft sellers do not keep all promises, and they make a lot of noise that collectors need to filter through when evaluating rare nfts.

Validate their integrity by analyzing the tenure of a project. And more specifically, look to see if these nft sellers have stayed committed to their roadmap. 

Focus on finding a nft project with a community where you align with their values, vision, and purpose. Just because a nft project has mechanics like staking, burning, and other utilities don’t make it great. 

Look at the Individual involved to understand better their drive and excitement for building a sustainable community. 

If NFTs didn’t exist, would they still do that type of artwork? But unfortunately, those rushing and pushing their nft projects show signs that they are only in it for the money. 

Does the Value of an NFT Decrease When an NFT Utility Is Gone?

If you’re an artist making unique digital art, people will buy it to own it. Artists can support each other by buying from each other.

There is very little success as a creator if you are going solo. A techs and marketing gurus are backing all the winning NFTs. NFT utilities help sell a collection easier and should be taken seriously. 

It also helps when you have a solid roadmap and vision for your project. And a great team of talented associates who have extensive experience. 

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