Snapchat Explores NFTs as AR Filters to Boost Creator Monetization

Snap Eyes Adding NFTs as AR Filters in Snapchat

The cryptocurrency market may be experiencing a "deep midwinter," but mainstream tech companies are continuing to explore the space. Snap, the company behind Snapchat, is reportedly experimenting with ways to allow artists to showcase their digital collectibles as Augmented Reality (AR) filters within Snapchat.

Key Developments:

• NFT Integration: Snap is planning to test a feature that enables artists to create and mint NFTs on external platforms and then import them into Snapchat as Lenses.
• Creator Monetization: Initially, Snap does not intend to charge creators for showcasing their NFTs. The company is exploring avenues for artists to monetize their work through this integration.
• Competitive Landscape: This move places Snap in competition with other social media giants like Twitter, Instagram, and Facebook, all of which have been exploring NFT integrations.
  • Twitter: Introduced the ability for paid users to set NFTs as profile picture avatars.
  • Instagram: Began testing NFT display in Feeds, Stories, and Messages for select creators.
  • Facebook: Also started testing NFT features for a limited U.S. user base.
  • Reddit: Launched its own NFT avatar marketplace.
• Meta's Approach: Snap's closest competitor in the NFT space is Meta, which aims to integrate NFTs into the "real world" using its SparkAR technology and plans to create a marketplace for digital collectibles for the metaverse.
• Strategic Timing: This NFT test appears to be part of a broader product push by Snap, coinciding with the recent launch of its premium subscription service, Snapchat Plus. These initiatives could help Snap bolster its appeal to investors by demonstrating new revenue streams beyond advertising.

The Broader Context:

The article highlights the ongoing trend of social media platforms embracing NFTs, despite the current downturn in the crypto market. Each platform is leveraging its unique dynamics to integrate this technology:

• Twitter's Avatars: Focused on digital identity and status for its premium users.
• Instagram & Facebook: Aiming to provide creators with new ways to showcase and potentially monetize their digital assets.
• Reddit's Marketplace: Offering a direct avenue for users to purchase digital avatars as NFTs.
• Snap's AR Integration: Capitalizing on its strength in AR to create immersive experiences with NFTs.

Snap's Financial Strategy:

With Snap's quarterly financial results approaching, these new initiatives, including the NFT integration and Snapchat Plus, are seen as strategic moves to diversify revenue streams and reassure investors about the company's growth potential in a challenging advertising market.

Author and Further Information:

The article was written by Ivan Mehta, who covers global consumer tech developments for TechCrunch. The piece also references a report from the Financial Times and mentions key figures like Stephane Kasriel, Meta's head of fintech.

Related Topics:

The article touches upon several key topics and technologies:

• Artificial Intelligence (AI): While not the primary focus, the broader trend of AI and its integration into digital platforms is relevant.
• Augmented Reality (AR): Central to Snap's strategy of using NFTs as AR filters.
• Blockchain Technology: The underlying technology for NFTs.
• Cryptocurrency: The market context for NFTs.
• Digital Collectibles: The assets being integrated.
• Metaverse: The future digital environment where these assets may be utilized.
• Social Media Platforms: The competitive landscape and integration strategies.

Event Promotion:

The article also includes promotional content for "TechCrunch All Stage," an event in Boston on July 15th, offering insights from venture capitalists and founders.