2022 was the year of hype around Web3, but 2023 is shaping up to be the year when the plans are being implemented. Luxury brands are now focusing on more concrete utilization closely connected with the physical product in contrast to digital-only assets existing solely for the metaverse.

Everything then boils down to the usage of crypto and digital assets for transactional purposes.

Luxury in Web3

Web3 has gradually established a warm relationship with luxury goods, and several brands catering specifically to these markets have managed to position themselves in the space. However, there’s more to the story than just tapping a sector prepared to spend considerable sums of cash. These brands are also bringing their loyal following to Web3.

Ralph Lauren recently announced partnering with BitPay to accept crypto for the first time at its new store in Miami’s Design District. The new offering also includes a crypto-native experience which is gifting NFTs via a multi-tiered partnership with the online leisure community Poolsuite, calling it “deeply rooted in the Miami lifestyle.”

According to Merrick Theobald, Vice President of Marketing at BitPay, consumers have gravitated to using crypto to pay for luxury goods thanks to its popularity and the emergence of easy-to-use platforms. While speaking to CryptoPotato, the exec said:

“One of the most difficult aspects of widespread crypto adoption will be education around blockchain technology, wallets, and how to properly send digital assets to the correct addresses. These are all key points that both consumers and merchants should be aware of.”

According to data compiled by BitPay, almost 20% of items purchased last year with crypto were luxury goods. This includes gold, jewelry, watches, exotic cars, boats, real estate, yachts, and handbags. While cars and yachts accounted for 20% of the total figure, jewelry and apparel accounted for 15%, and 12% for watches.

The American apparel retailer’s decision to dip its toes in Web3 depicted an increasing trend of luxury goods becoming a favorite with the crypto crowd. But what does this mean for the future of crypto payment adoption