- The global market volume of NFT is expected to rise from $48.74 billion in 2025 and reach up to 703.47 billion in 2034.
- North America dominates the market as the region is quickly followed by Asia Pacific due to games, rewards, and digital identity.
- AI is being used in ways such as creating, selling, and personalizing NFTs with brands such as Nike and Meta popularizing NFTs.
According to Precedence Research, non-fungible token (NFT) market is projected to expand from $48.74 billion in 2025 to approximately $703.47 billion by 2034, growing at a compound annual growth rate (CAGR) of 34.53%. The upsurge is attributed to the increasing adoption of blockchain-based digital goods, advancement in AI technology, and increasing market entry by brands.
North America was the largest region in the NFT market in 2024, with a market share of 32% due to an established digital economy, high levels of blockchain adoption, and a favorable regulatory environment. The United States was $9.62 billion in 2024 and could reach $190.8 billion by 2034. Mainstream entities and media exposure have influenced the consumers’ side uptake, while institutional acceptance and legal certainty have provided the investor side uptake.
Asia Pacific is expected to be the market with the most potential growth due to the incorporation of NFT in gaming and digital identity, as well as the use of loyalty programs. The governments of various countries have demonstrated support for blockchain and sharing their focus on localized platforms and technologically literate citizens, especially in play-to-earn and metaverse projects.
On the other hand, Europe is slowly embracing NFT in fashion, art, and luxury, with the association’s backing responsible for regulating the use of NFT to promote accountability and avoid misuse.
AI Enhances NFT Creation, Discovery, and Curation
Artificial intelligence is revolutionizing the way that consumers build and use NFTs. Applications such as Art Blocks and Alethea AI are beginning to create generative and adaptive NFTs that change over time. AI tools help content creators create and also make recommendations on where to find content based on collector activities.
Machine learning improves promotional strategies, contents most interesting to users, and Metadata manipulation excellently. These capabilities enhance the transparency and expansiveness of NFT applications across online platforms. Therefore, creators will benefit from a larger audience reach for their artwork, while collectors will benefit from better arrangements and suggestions.
Use Cases Expand from Digital Collectibles to Commercial Applications
The NFT market continues to expand. Digital assets dominated the market in 2024, capturing 73% of the entire market through virtual goods, arts, and items related to gaming. NFTs associated with tangible items such as paintings and cars are expected to have the highest CAGR because of the increasing need for authentication and proof of ownership.
Collectibles are still the most popular application type, with NBA Top Shot at the forefront. These NFTs may be embedded with sentimental and cultural value, contributing to interest by promoting community participation and scarcity. The art segment is also on the rise as artists have been able to sell their collectibles directly through NFTs while having ownership and royalty rights.
According to the report, personal use prevailed in 2024 owing to digital identification, personal investment, and access to closed communities. The commercial segment, on the other hand, is expected to expand at a higher CAGR as companies employ NFTs for advertising, customer rewards, and proof of product authenticity.
More established brands are now dedicating great resources to the NFT space. Nike entered the digital fashion space after acquiring RTFKT Studios, which released virtual sneakers and wearables connected to tokens. Coca-Cola, Adidas, and Starbucks, as well as others, have even started to use NFTs to create loyalty programs and collectibles to appeal to the younger generation.
