Phygital is a half-born term rooted in two familiar terms, physical and digital, which include the use of modern technology branches, including “Virtual Reality” (VR), “Augmented Reality” (AR), and “Artificial Intelligence” (AI) and the outcome will be available in Physical and Digital markets.

We name the concept of using technology to integrate the digital and physical world to provide a unique interactive experience for users as Phygital NFTs and link physical objects or experiences and anything else in real life.


Phygital is a part of technology that combines the world of digital assets with the physical world to provide a unique interactive experience for businesses and users. The digital share of Phygital NFTs is the NFTs, and gladly we already have almost enough familiarity with NFTs. The physical part relates to our daily physical experiences while interacting with physical objects.

What Are Physical Assets?

Tangible assets that are visible and can touch are physical assets that are identifiable physical presence. As examples of physical assets, we can mention a piece of land, buildings, machinery, plant, tools, equipment, vehicles, gold, silver, grains, coffee, oil, etc.

What Are Digital Assets?

“Digital Asset” refers to anything a digital artist or creator creates or stores that are digitally identifiable and discoverable with a specific value. Day by day, Digital assets are becoming more popular, and the digital markets expand along the technological advances that cause the growth of the value of these specific types of assets.

Cryptocurrencies, NFTs, company brands, information, pictures, videos, text content, music, and any types of digital files that we can buy or sell, and the ownership passes from one person to another, are under the category of Digital assets.

Pokemon GO

Phygital goes Mainstream with Pokemon Go.

Where is The Origin of Phigital NFTs?

Phygital is a half-born of digital services and physical goods. There are lots of examples in our daily life, such as scanning a QR Code to choose physical goods and services like what we have on restaurant menus, or last decade’s AR game, Pokemon GO which gamers used their smartphones and go everywhere to catch virtual creatures called “Pokemon,” or in the fashion industry, when the owner converts items to digital tokens on a blockchain network.

This way, brands and other owners can offer collections through the metaverse, including clothes, shoes, and accessories. In the fashion industry, the metaverse helps designers merchandise tokens that are becoming widespread in the virtual world.

Phygital NFTs And Their Characteristics

NFTs are digital tokens on a decentralized ledger like the Ethereum, Bitcoin, or Polygon blockchains. The virtual token will contain all the information about the asset, including who owns it, its value, and other essential details, all available on the ledger.

In other words, Where NFTs were mostly artworks and a significant capability of the blockchain industry dedicated to the financial system, Phygital NFTs are a vanguard phenomenon that integrates using unique NFTs to have a physical experience and a revolutionary approach that we can trade in the future.

Phygital NFTs, with their unique specifications, are hybrid creatures that exist between the territory of physical aspects and the digital world. The owner of Phygital assets will have better control over their NFTs and the relevant physical asset.

This control encloses the higher security and the more mental satisfaction of owning a physical object. To Combine NFTs and their physical entity, we need a unique identifier, which could be anything like a QR code or an embedded microchip.

Once we change the token details, like when the ownership changes from the seller to the buyer, the information will change and reflect on its physical counterpart accordingly. The Updated information is also on the digital token’s metadata.

RTFKT x Nike Air Force 1

RTFKT x Nike Air Force 1

Their Roles in The Digital Marketplace And The Real World

We all know that NFTs represent almost any physical asset, such as real estate, fashion collections, jewelry pieces, watches, tickets, foods and drinks, multimedia files, stocks, artworks, music tracks, etc.

1) Metaverse Fashion and Merchandising

when the Metaverse meets the fashion industry, we see an exciting modal of merchandise tokens becoming widespread among people already in the virtual world. Presenting Phygital NFTs, such as garments and other fashion items, as blockchain tokens enable brands to offer collections of clothes they have designed on the Metaverse.

2) Food and Beverage

Phygital NFTs also help the food industry present food and drink items in the real world. 

3) Luxury Items

Phygital NFTs can also help luxury brands or the marketplace present them through Phygital NFTs, which provide proof of authenticity and help stop fraud when selling or purchasing luxury items or jewelry pieces. Phygital NFTs enable interested people who want to buy precious items to be assured that their purchase is genuine.

Louis Vuitton Treasure Trunk NFTs

Louis Vuitton Is Selling Its Iconic Trunk as a $39k NFT


Phygital NFTs are the bridge that fills the gap between the physical and digital worlds. They can become the ultimate form of ownership, letting owners track their assets efficiently and securely. Phygital NFT is a compelling achievement in the blockchain industry and will change how people own and manage their physical assets.