Coachella VIP Pass, Oasis Lounge Keepsake NFTs Launched

Leaning into the idea of token-gating, the VIP pass and Oasis Lounge Keepsake NFTs are more than just NFT-based collectibles. Holders of the NFTs will be afforded access to exclusive fan experiences during the festival in April. This is an example of how NFTs can be used to offer velvet rope-style exclusivity to physical, real-world experiences in addition to the more traditional token-gating of virtual experiences.

Issued as ERC-1155 tokens on the Avalanche public blockchain, the NFT grants holders one VIP ticket to the 2024 Coachella Festival and access to the exclusive Oasis Lounge, which includes a private area with complimentary food and drinks, merchandise, art experiences, and even air-conditioning.

VIP Keepsake NFTs are separately available for weekends 1 and 2 of the festival at a price of approximately 23.5 AVAX (approximately US$1,325 at the time of publication). AVAX is the protocol token of the Avalanche blockchain. Payment is also accepted using a credit or debit card.

Introducing Coachella Keepsakes - virtual art with the power to unlock never before seen festival experiences. Collect Keepsakes and use their powers to craft your unique festival journey. The VIP Pass + Oasis Lounge Keepsake is available now on @opensea 🐚 pic.twitter.com/Vs8KAqYOhK

— Coachella (@coachella) March 5, 2024

The supply of NFTs is limited to 1,024. However, at the time of publication (almost two weeks after the tokens went up for sale), only 35 NFTs have been minted, according to the official mint data. Moreover, Coachella is planning three more NFT drops, promising additional unique perks for holders.

One week after the mint’s opening, Coachella will offer a redemption portal for holders to “burn” their Keepsake NFT in exchange for a VIP festival pass and wristband. Holders will be issued an updated version of their Keepsake NFT art after redeeming. ERC 1155-compliant tokens are commonly deployed as a part of NFT-based customer engagement programs with the idea of burning them in exchange for another NFT with longer-term value and, potentially, collectibility.

Lessons Learned

Coachella’s decision to re-engage with NFTs follows a less favorable experience that involved FTX in 2022 when, after that exchange’s collapse, holders of Coachella’s NFTs were unable to gain access to them. The redo appears to demonstrate how the Coachella team remains convinced of the potential of NFTs to drive better fan experiences. As a part of a make-good effort, Coachella also took the proactive approach of re-issuing new NFTs to prior lifetime pass holders who got caught up in the FTX debacle.

In an effort to make this NFT more credible than the last, Coachella has turned to the OpenSea marketplace, which is where the NFTs will be initially minted and traded. OpenSea CEO Devin Finzer told Blockworks that live events are “one of the verticals that we see enormous potential in.”