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Soul of Nature
September 7, 2022

How to Add Utility to an NFT - Give Your NFT Projects a Purpose

Starting an NFT project is just half the battle. Giving your NFT holders benefits, perks, or merch are just some ways to assign utility to NFTs. Does it mean an NFT collection is less desirable if there is no utility? Not necessarily, but there is no doubt that utility NFTs are more appealing. If you’re wondering how to add utility to an NFT project, we have some of the best NFT utility ideas for you!

What is NFT Utility?

In short, utility for an NFT is basically what it can be used for. There is usually a practical purpose to the NFT and sometimes benefits for the NFT holder. It could be real-world or digital use cases. Need some examples? We have a few!

NFT Utility Examples

Here are some of the best NFT utility proposals we have seen NFT creators come up with. 

Axie Infinity

The digital tokens you can buy in Axie Infinity are an example of in-game utility NFTs. NFT buyers in this play-to-earn (P2E) game would acquire Axies, the adorable creatures we see here (one of the cutest NFT art designs). The little monsters are the NFTs and you can breed, battle, and collect them.

Players of this game in the NFT space can earn SLP tokens, which can then be traded for money.

A classic example of a project with charity utility, Kame Krew is a mission-driven project on Cardano. 50% of the proceeds are going to Wor. Watthana, a muy thai gym in Thailand dedicated to raising and helping disadvantaged children.

Kame Krew is a great example of a project utilizing various marketing strategies to create support and hype such as Where’s Waldo NFT search (game), fitness and martial arts training opportunities with qualified and experienced instructors and exclusive access to “fight/arcade nights” on spaces, special airdrops, and more access to workshops and seminars.  

Soul of Nature

There are plenty of projects out there that add utility to do good. Aside from being digital art collectibles, they can offer real change such as Souls of Nature. It is an experience to earn (E2E) utility token in the form of unique digital assets that look like animals. 

Souls of Nature will be donating a portion of its NFT value proceeds to helping the environment. If this is something close to your heart, there are also projects that work towards reforestation.

NFT Utility Top Ideas

We’lll cover the 3 utilities we mentioned above, but also give budding NFT makers more ideas to benefit their holders and create a high demand for their project.

• Redeemable NFTs

Think about NFTs that link physical goods to your digital assets(in-game items work too). If a holder can trade a token for an item in a game, gambling NFTs that can be exchanged for real money, or use it to receive something in reality, then that definitely adds value to your NFTs.

• Real World Use

There are a lot of ways to incorporate real-world value into your NFTs. For example, maybe buying four NFTs of the same series can grant your holders discounts on subsequent NFTs you may produce down the line that won’t be available during regular NFT drops.

• In-Game or Metaverse Use

One of the most popular (and lucrative) ways to get people to buy NFTs is to give them in-game or metaverse use. For example, Decentraland is an online community where the NFTs (land parcels) can be used in the game to build experiences.

It’s similar to purchasing real estate, but instead of physical items, your land is digital. However, you can build on it like you can in reality and the land sales on the secondary market are sky high right now.

Read more: 
How to buy Decentraland

• Merchandise

How about winning merchandise if people purchase from your NFT collections? You can think about adding utility by incorporating physical art or other types of products that go along with your NFTs. For example, a unique asset can give the holder merch from your line.

• Royalties

Royalties are a very appealing way to hype up your project and get it to sell out. Who wouldn’t want to make passive income when they sell NFTs on a marketplace? NFT collectors can stand to earn a percentage of secondary sales they make from an NFT. 

• Donations

Some people create NFTs for the sole purpose of helping others. Regardless of what blockchain technology you pick, you can add utility to your digital asset by assigning it to a charitable cause. Good examples of this are environmental projects and ones that donate proceeds to helping animals and the less fortunate.

• Exclusivity/Access

From a marketing standpoint, offering early access or exclusive access to VIP events will also help your project sell. It is a business strategy that works. An example is offering early bird access or discounts to merchandise sales. 

It doesn’t have to be products, you can also offer exclusive content, access to exclusive events, and membership NFTs – anything to make your supporters feel special and different from other holders. 

• Giveaways

Giveaways can always add value to not only your project, but your brand. While you may think giving away one or a few of your NFTs means you’re taking a loss, it isn’t true because it creates a positive association for your project and that is a value you can’t put a price on.

Creating Utility for Your NFTs

Consider Your Project Theme

How do you create utility for your non-fungible tokens? The first thing to consider is your project theme. If you’re minting cute cats, for example, you may want to think about adding utility to an NFT that is related to the theme such as animal welfare.

Think About the Application

The next and obvious step is to decide what you want your NFT to do, and that brings us back to the ideas list we presented above.


• What is the best NFT utility?

There is no best NFT utility. NFT holders sometimes like to collect NFTs for keeping, but a lot of them also consider the use behind each one. Consider the theme of your project and the utilities you can assign to create value for your community.


NFTs have evolved beyond just digital collectibles and art. Many creators are now assigning use to their tokens and are looking to foster community relationships and build notable projects. You also have NFT lines that are looking to make great changes in the world. Which one appeals to you and what would you like to achieve? Think about that before you consider adding utility to an NFT.

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