Microsoft’s Blockchain Director: Major Brands Embracing NFTs Will Drive Mainstream Adoption

Yorke Rhodes, director of digital transformation, blockchain and cloud supply chain at Microsoft thinks NFTs are “a first toe in the water.”


Yorke Rhodes, Microsoft


key takeaways

  • “You see literally everybody in marketing wanting to do something within NFTs.”
  • “Growing entry of major players including Microsoft, Home Depot, Tesla, Whole Foods, Starbucks, and increasing appeal of tokenization through crypto currencies remain a key driver of growth,” according to a report by Brandessence Market Research and Consulting

Non-fungible tokens (NFTs) have taken the crypto world by storm during 2021 and now every major brand and marketing specialist wants in, but this isn’t a bad thing — as it could help drive mainstream adoption of crypto, Yorke Rhodes, Microsoft’s director of digital transformation, blockchain and cloud supply chain, said in an interview with Blockworks. 

“You see literally everybody in marketing wanting to do something within NFTs,” he said. 

Crypto assets have “pretty good” recognition by anybody who’s an asset investor, Rhodes said. “Crypto is an obvious foundation for digital assets and NFTs are digital assets,” he said. 

On one side, he predicts that almost every major bank will become a custodian of digital assets in one form or another. While on the other side, Rhodes said NFTs are an interesting opportunity for brand marketers.

NFTs saw a growth of 328% in transactions during the first three quarters of 2021, according to a report by Brandessence Market Research and Consulting. “Growing entry of major players including Microsoft, Home Depot, Tesla, Whole Foods, Starbucks, and increasing appeal of tokenization through cryptocurrencies remain a key driver of growth,” the report said.

NFTs are most known for unique one-of-a-kind digital artworks, verified via blockchain technology, they can be anything ranging from a digital certified song to a screenshot of a tweet. 

Earlier this month, Nike filed to trademark “virtual goods” for products ranging from footwear, clothing and sports bags to art, toys and accessories. These requests hint at the possibility that the company is planning to either sell its products as virtual goods or non-fungible tokens (NFTs) or is trying to protect its products from becoming NFTs. 

Separately, Visa made headlines in August for buying its first NFT — CryptoPunk #7610, for $150,000 in ether — and the company’s head of crypto told Blockworks it wouldn’t be their only NFT purchase. 

The expectation is that NFTs will become integral to the burgeoning concept of the metaverse, which Microsoft’s CEO Satya Nadella highlighted at a conference earlier this month, previewing Microsoft’s foray into the space.

In recent weeks, the concept of a metaverse, which is a digital universe where people can interact virtually, has inundated the market. Meta, formerly known as Facebook, has rebranded to reflect its future vision, adding that moving forward the tech giant will be “metaverse-first, not Facebook-first,” Blockworks previously reported

Separately on Wednesday, Disney CEO Bob Chapek said during the company’s fourth-quarter earnings call that the media giant plans to take a leap into the metaverse as well, consistent with its history of adopting technological innovation. 

“Suffice it to say, our efforts to date are merely a prologue to a time when we’ll be able to connect the physical and digital worlds even more closely, allowing for storytelling without boundaries in our own Disney metaverse,” Chapek said. 

NFTs more mainstream ready than DeFi

While decentralized finance, or DeFi, is also a popular sector within the crypto industry, Rhodes said it’s harder for the public to grasp. “Then NFTs…brands can embrace them without really understanding too much about the tech,” he said. 

Last week, Microsoft’s Rhodes said that the industry has hit an inflection point and the whole crypto ecosystem is just scratching the surface of what NFTs’ are, Blockworks previously reported

In the near future, Rhodes said he expects to see things like NFTs at the top of the curve, where it currently sits. 

“Many brands will continue to ape in with their own version of an NFT, which in most cases is going to be a relatively conservative approach, right? As a first toe in the water,” he said. “Then as they learn more, they’ll start to realize there’s a lot more they can do with the technologies on the brand side,” he said. 

Between now and the next summer, Rhodes thinks people will start to evolve their understanding of NFTs and what they can do with it beyond just trading cards. 

“I think you’ll start to see much more awareness in the market around what NFTs can be and how you might use those,” he said.

Get the day’s top crypto news and insights delivered to your inbox every evening. Subscribe to Blockworks’ free newsletter now.


Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

MON - WED, MARCH 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience:  Attend expert-led panel discussions and fireside chats  Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts   Grow your network […]

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Frax report cover.jpg


Frax saw continued development in its frxETH liquid staking derivative and Fraxlend money market throughout 2023. Frax V3 introduces an RWA strategy to drive utility to the protocol's cornerstone product, the FRAX stablecoin.


MicroStrategy discloses the purchase of 16,000 bitcoin throughout November


Digital asset firms face potential new regulatory landscape under Treasury’s proposed authority expansion


Uniswap Labs will be providing trading APIs to Talos investors through Fireblocks


DYDX supply will climb by up to 80% after the Friday unlock, but a couple factors make a massive sell-off appear unlikely


Switzerland-based Pando Asset, which has crypto products trading on the SIX Swiss Exchange, now looks to the US


Binance does not hold the required licenses to advertise and serve customers in the Philippines, the country’s securities regulator said