Italy is one of the cultural hubs of Europe, with centuries of history, art and culture. Now it is also posed to create the crypto art Renaissance via its nonfungible token (NFT) market, says a new report.
Data from Research and Market’s “Italy NFT Market Intelligence and Future Growth Dynamics Databook” says the country is projected to have a growth of 47.6% in its NFT market by the end of 2022.
This would make the Italian NFT market hover around a $671 million valuation.
Moreover, over the next five years, Italy’s NFT industry is forecasted to have a steady upward compound annual growth rate of 34.6%. The spending value for NFTs is anticipated to hit $3.6 billion by 2028.
According to the report, some of the country’s success with NFTs comes from its vibrant art and culture scene. Major Italian luxury fashion brands such as Gucci and Dolce & Gabbana, have been some leaders in adoption of Web3 technologies in the industry.
They not only represented innovation for Italy, but across the entire fashion industry. Over the last year, Dolce & Gabbana generated $25.6 million worth in revenue from their NFTs, and Gucci $11.5 million.
These brands also led initiatives to bring their communities into the metaverse through digital events and wearables, many of which incorporated NFTs.
Fashion brands aren’t the only forces pushing Italy into the NFT spotlight. The country’s rich cultural history has also seen some Web3-related activities.
An NFT project called the Monuverse, which is preserving historical sites via digital assets, used the Arco della Pace, or the Arc of Peace, in Milan, Italy as its first subject.
Italian artists even have their own management organization to help Italian NFT artists, called “crypto renaissance,” which harks back to the country’s emergence as an art leader during the Renaissance period.
Related: What is an NFT whitelist, and how can you join one?
Meanwhile, the general atmosphere of the crypto industry in Italy is also picking up. Recently, the blockchain developer Algorand will use its technology to help support banks and insurance guarantees platforms in Italy. In November, Gemini received the greenlight to operate in Italy.
On Dec.1, however, Italy released its budget documents for the upcoming year which revealed a new 26% capital gains tax to be imposed on crypto profits in the upcoming year.