Tiffany Co NFTiff: Rewarding Holders with Physical Luxury
The Tiffany Company is a world-famous jewelry business which has been operating in the United States for nearly two centuries. Lately, Tiffany Co. has begun shifting some of their business towards the blockchain (like many other fashion brands including Lacoste, Gucci, and Nike), with the upcoming release of their own NFT which comes with a high-quality pendant made by The Tiffany Company in partnership with Cryptopunks.
What is NFTiff
The NFT by Tiffany, appropriately called an NFTiff, is a low supply, high price mint which features 250 tokens at 30 Eth each.
Due to the price of the mint, many people in web3 are hesitant about the collection and are calling Tiffany’s collection a bust. However, the NFT itself is more than just an ordinary token with its connection to one of the most prominent names in luxury fashion.
This isn’t a collection meant for average users just like their physical products aren’t meant for ordinary occasions. Tiffany is a high-end jewelry retail store and it makes perfect sense that their tokens come at a similar price.
Tiffany NFT Jewelry
The reason behind the exorbitant price of the tokens is that the tokens themselves are used to acquire a pendant made by the Tiffany Company.
According to their website, the pendants will replicate a select number of CryptoPunk images (matching the tokens in the holder's wallet) made with the same standards as other products from the famous Blue Book catalog.
The pendants will feature 18-carat rose/yellow gold and a variety of stones to match the colors of the pixelated art pieces. Select enamels will also be used in order to match the color palettes of the CryptoPunks. The gems will also be cut and shaped appropriately so that they can represent the imagery accurately.
While there are a few other businesses which offer similar services for other NFT tokens, none of them can match the immaculate quality of a Tiffany product or their brand recognition, thus justifying the 30 Eth price.
Moreover, 30 Eth (which is approximately $48,000 at the time of this writing) is not an uncommon price for many of Tiffany’s products which range anywhere between $2,000 to $180,000.
Tiffany Co.’s blockchain partnerships
To make all of this possible, Tiffany has sought a partnership with Chain to operate the backend of their NFT collection. These types of partnerships are becoming increasingly common as more and more web2-based companies transition towards web3 products.
These types of services are becoming increasingly common and allow businesses to offer their products without putting their customers at risk due to inexperienced smart contract developers hired in-house.
Companies like Chain aren’t alone either. Other businesses such as Artory are providing similar services for traditional businesses that are opening the door toward web3 engagement. As more and more brands begin to look into web3 products, expect to see these companies becoming a lot more active in the future.
Investing in Jewelry with the Blockchain
Following criticism from around the web, this collection is more than just a standard NFT; it highlights the broader application of NFT technology which allows for alternate routes of purchasing and investing.
Jewelry, more than just a fashionable product, has widely been used as an investment option for centuries. Rare stones and metals carry an inherent value which is enhanced by jewelers with their designs.
What Tiffany is doing is offering a new way of purchasing their products, which relates to a brand that is already established in the web3 community, and allows for three different products to appreciate in value - the NFTiff, the Cryptopunk, and the pendant.
By placing this traditional option onto a blockchain, we are seeing a new investment strategy begin to develop for many luxury products. The physical representation of the NFTiff carries significant appreciation for the quality of its craftsmanship and the materials used to build it while tokenization adds another layer of distribution and provenance to its value.
