Cloud Yachts has confirmed the sale of the 33-metre Tactical 110 superyacht NFT for a US owner. The NFT was minted on Opeansea last week and is believed to be the first NFT yacht sale on the Ethereum blockchain. SYT spoke to some of the minds behind this unique deal to get a greater insight into the world of NFTs, and the possible role they have in superyacht construction.
Once the NFT has been delivered, Tactical 110 will go into build, and the physical yacht is expected to be delivered in three years with a cost of close to $12,000,000. Tactical 110 sports design by Gregory C Marshall and will be built in Canada at Tactical Custom Boats’ facilities.
"We are constantly looking for new ways to improve the build experience for our clients. We teamed up with Cloud Yachts to see if we could use NFTs to simplify a complex build process. The first client we presented the opportunity to loved the idea. We are excited to work with the owner, Greg Marshall and Cloud Yachts on this NFT new build project," says Tim Charles, CEO of Tactical Custom Boats.
Upon completion of this hull, Cloud Yachts and Tactical Custom Boats will mint a second NFT for a potential owner, offering a yacht as well as all the metadata from the build. After a quick call with Zach Mandelstein, founder of Cloud Yachts, SYT got an exclusive scoop that for the second hull of the Tactical 110, the NFT and physical yacht will be built simultaneously.
"We see a unique opportunity to use this new technology while building our custom yacht. We like the idea of pioneering a new process and were happy to explore the best use of NFTs for the owners. The NFT I bought this week seems to be useful in ways I had never imagined; like having all the data from my vessel at my fingertips. It's fascinating to watch Tactical Custom Boats, Greg Marshall, and Cloud Yachts apply this technology to the build process. It will be a real adventure, Just like traveling the world in an expedition yacht like the Tactical 110," said the owner Tactical 110 - hull #1.
The second hull will be available through Alex G Clarke of Denison Yachting at the Palm Beach International Boat Show.
"I've worked extensively with Tim over the years, and he is extremely creative so it's no surprise one of his clients wanted to pioneer the use of NFTs on a new construction yacht. The owner of hull #1 is a team player and without judgment is allowing us to develop and streamline a process that we will be able to apply to future builds. Our end goal is to make a complex 2-3 year build period a better, more efficient experience for him. We all understand that this process will develop and become more complex as the project takes shape. Every day we learn a little more and seem to find a new application for this technology, and it's clear this is just the beginning," says Clarke.
Cloud Yachts will also use Palm Beach as the setting to launch a new collection of NFTs, this time with a design penned by Dickie Bannenberg. The NFT collection comprises just five hulls, and the owner of the first from the series will receive five years’ access to the Windwood VIP section at the Palm Beach Boat Show.
So why NFTs?
Zach Mandelstein is driven to provide utility and to harness the digital space in a productive and inclusive way. “We’re creating access to a community and a very difficult industry,” Mandelstein explained. 
Cloud Yachts has sold NFT yachts for 2 ETH (equivalent to around $5,000 at the time of sale) which is, of course, much cheaper than an actual yacht. The NFT yachts in Cloud Yachts’ fleet are designed by some of the leading superyacht designers, giving owners access to a world that they may not have access to otherwise.
In a previous statement, Mandelstein said: "Our team is honored to represent the world's best superyacht designers. We are months away from having the ability to meet our clients in the metaverse to design their dream yacht using proprietary augmented reality technology." 
While during our call he kept his cards close to his chest and held back from revealing too much, it was clear that there is a lot of excitement for something on the horizon (metaverse, or not). The long and short of NFTs is that we’re learning what’s possible as we go along – it’s a realm that none of us are too certain about and one that we’re tentatively dipping our toes in.
"We're aware of the short-term NFT craze so we've set our sights on the long-term utility that this blockchain technology offers,” Mandelstein said previously. “Whether it's by facilitating transactions, revolutionising the new-build experience or something we haven't yet imagined, we're enthusiastic to participate in this virtual economy."
