Digital fashion is no longer a futuristic concept; it's here and actively reshaping the industry today. Over 1.6 billion digital fashion items were exchanged on the popular Roblox gaming platform in 2023, and according to Roblox’s latest Digital Expression, Fashion & Beauty Trends Report, over half (56%) of Gen Z users believe that styling an avatar is more important than styling themselves in the physical world.

This type of cultural innovation thrives because fashion designers are translating their skills into digital realms. SYKY, a platform launched in 2023 to connect the dots between next-gen digital designers and the established fashion world, is serving as the bridge. Already, designers like Olympic swimmer and model Calvyn Justus and U.K.-based artist Stephy Fung have showcased their creations on SYKY as part of both curated collections and collabs.

Alice Delahunt, SYKY’s founder and CEO, is determined to ensure emerging talent isn’t left behind in fashion’s digital evolution, which she calculates as a $4.8 billion opportunity. She created SYKY to foster innovation and help protect intellectual property in a world where counterfeit digital fashion is an inevitable threat (look no further than the Hermés copycat “Baby Birkin” NFT that sold for $23,500 in 2021). 

Because digital fashion looks can often be produced faster than physical ones, Delahunt argues it's even more important now to protect quality and intellectual property (IP) with on-chain models like SYKY.

"It’s going to be so critically important for fashion brands and emerging designers to own their IP digitally, but also to be on-chain so it can be tracked back and verified,” Delahunt recently told OpenSea. "We need to ensure digital fashion items can be tracked back and we’re able to say, ‘yes, this is a verified Calvin, this is a verified Balenciaga, this is a verified Gucci,’ and so on.”

Nicola Formichetti, the renowned creative visionary behind pop culture’s most iconic fashion moments, such as the Lady Gaga meat suit, joined SYKY in January 2024 as the company’s first artistic director. Bringing his signature, boundary-pushing creativity to the digital realm, Formichetti’s role at SYKY is to curate the platform's digital fashion drops with emerging designers and mentor them, helping translate their artistry into its appropriate forms.

Delahunt envisions a future where digital and physical fashion exists side by side, pushing boundaries while still democratizing access to what has traditionally been an exclusive world. In this Q&A, Delahunt discusses how SYKY is setting the stage for what could be fashion’s next big shift.

‍Note: This transcript has been edited for length and clarity.

OpenSea: As someone who spearheaded digital strategy for two iconic fashion houses, Burberry and Ralph Lauren, what inspired your pivot into the world of emerging tech?

Alice Delahunt: Well, firstly, I’d say the time I spent working at Ralph Lauren was a privilege. I had the opportunity to work with one of the world’s greatest entrepreneurs, Ralph himself, and learned so much about building something iconic. But by April 2022, I felt we were at this really exciting point where technology — particularly blockchain — was starting to revolutionize industries. I’ve always been a tech enthusiast, and I saw the potential for fashion to embrace digital tools in a way that could democratize access to luxury.

At Ralph, we were already starting to experiment with digital spaces — designing Bitmoji outfits, for example — but it became clear to me that fashion’s future was digital and more specifically, on blockchain. I couldn’t ignore that anymore.

OpenSea: You mentioned the democratization of fashion through technology. Can you elaborate on how you feel web3 is making fashion more accessible?

Alice Delahunt: Yes, this is something I’m really passionate about. If you look at the traditional fashion industry, it’s built on a system that is often inaccessible to emerging designers. It’s difficult for someone without formal training or the right connections to break through. But with web3, we’re seeing something very different. Platforms like Instagram or TikTok allowed people to gain massive followings because they had access to a phone and the internet. Now, web3 is taking that a step further. Creators who design digital fashion on platforms like Roblox or Fortnite are finding an audience and monetizing their work in ways that were never possible before. Some of these creators, who may have started designing in their bedrooms, are now reaching millions of people. It’s this convergence of accessibility and technology that’s so exciting to me.

OpenSea: Digital fashion and skins are a huge part of gaming worlds like Fortnite and Roblox, but do you think we’ll start seeing digital fashion become more prominent outside of these platforms?

Alice Delahunt: Absolutely. The idea of dressing your digital identity is already happening at scale. Just last year, 1.6 billion digital fashion items were traded on Roblox alone. These platforms are just the beginning. We’re going to see more integration of digital fashion into our daily lives, particularly as augmented reality (AR) and virtual reality (VR) become more widespread.

One of the things I love about digital fashion is that it allows for a different kind of creativity. Designers can play with ideas that would be impossible in the physical world, and I think we’ll start to see digital fashion influencing physical fashion in really interesting ways.

OpenSea: You’ve mentioned in past interviews that the digital fashion industry needs to be on-chain. Why do you believe blockchain is essential for fashion?

Alice Delahunt: There are a couple of reasons. First, there’s the issue of ownership. In web3, if you own a piece of digital fashion, it’s truly yours. It’s not tied to a platform, and it travels with you in your wallet. This sense of ownership is critical, especially as people begin to spend more time in digital spaces.

Second, blockchain allows us to track the authenticity of digital items. Counterfeiting is a huge problem in both the physical and digital fashion worlds. On-chain verification will be key to ensuring that what you’re buying is authentic. This is particularly important as more luxury brands move into the digital space — they need to know that their intellectual property is protected.

‍OpenSea: Speaking of counterfeiting, how big of a problem do you think this will be in digital fashion?

Alice Delahunt: It’s already happening, and it’s going to get worse if brands don’t take action. In the physical world, brands spend millions of dollars fighting counterfeiting, and we’re going to see the same thing in digital spaces. It’s so easy for someone to put a designer logo on an avatar and sell it as a legitimate item. This is why it’s so important for fashion brands to embrace blockchain; it’s the only way to ensure that digital items are tracked and verified.

This is even more important for emerging designers. Their intellectual property should be protected as they enter the digital fashion space, and blockchain ensures that authenticity can always be verified. We’ve already seen high-profile cases, like the Hermés situation, that highlight how urgently this issue needs to be addressed.

OpenSea: Let’s talk about SYKY. How did you approach building a community around digital fashion?

Alice Delahunt: Community is everything in web3. One of the things I admire most about the web3 space is how it fosters co-creation. We wanted to build a platform where designers, both established and emerging, could come together and push the boundaries of what digital fashion can be.

We launched SYKY with a Keystone membership pass, which is an NFT that gives holders access to a range of experiences, from masterclasses with leading creatives to behind-the-scenes looks at major fashion events like London Fashion Week. We also partnered with the British Fashion Council to offer emerging designers the opportunity to showcase their work on a global stage. It’s been incredible to see the talent coming out of the SYKY community.

OpenSea: SYKY’s drops have been a big success. Can you tell us more about how you curate these collections?

Alice Delahunt: Every month, we do what we call a SYKY Drop, where we showcase a collection from both physical and digital designers. These drops are curated by Nicola Formichetti, who you might know as Lady Gaga’s creative director. Nicola has this incredible eye for talent and understands the importance of blending physical and digital fashion in a way that feels fresh and exciting.

Each drop is different. We work closely with designers to determine price points, how many editions to release, and which blockchain to use — whether that’s Ethereum or Polygon. We’re very intentional about making sure each drop is a reflection of the designer’s vision.

OpenSea: And when it comes to pricing, how do you manage fluctuations in gas fees and overall cost for buyers and designers?

Alice Delahunt: We price every drop individually, working closely with the designers. We also keep gas fee fluctuations in mind when we plan. We’ve been mindful of the different blockchains and their fee structures, which is why we offer the option of either Polygon or Ethereum. This creates flexibility for the designers and the buyers. There are more chains on the horizon for us too.

OpenSea: SYKY is working with major names in the fashion industry. How do you balance collaboration with both established and emerging designers?

Alice Delahunt: That’s a great question. At SYKY, we take a curatorial point of view. We want to showcase the best digital fashion creators, and our collaborations reflect that. We launched the SYKY Collective with designers from around the world. The common denominator is their talent, and we’re committed to giving them a platform regardless of where they come from or what their educational background is.

We believe the best talent isn’t limited to certain cities or traditional pathways, and digital fashion is a great equalizer in that sense. We work hard to cultivate a community that nurtures this talent while also building relationships with established brands and designers who want to explore digital fashion in new ways. It’s an exciting time, and we’re really just getting started.

OpenSea: That’s incredible! Before we wrap up, could you tell us about any upcoming projects or drops we should keep an eye out for?

Alice Delahunt: We have some very exciting things on the horizon. Our drop this month (Oct. 2024) comes from Ukrainian high fashion and ready-to-wear brand PASKAL, recognized for their creative use of precision laser-cutting technology. Their Butterflower collection, launched exclusively through SYKY, includes leather key cases debossed with the designer’s enduring “Love Is The Key” message and include a SYKY-branded butterfly motif, each with their own unique color and pattern made from recycled materials. Our collaboration marks the first time PASKAL’s designs will be available in a digital format. 

Looking ahead, our SYKY Drops will continue to feature incredible work from both digital and physical designers, and we’re scaling that offering even more. We’re also continuing to grow our community and foster collaborations with other major fashion houses. You’ll see more integrations of fashion and tech, especially as we explore the possibilities of augmented and virtual reality. So, definitely stay tuned!

OpenSea: This has been such a fascinating conversation. Thanks so much for your time, Alice, and I can’t wait to see what SYKY does next!

Alice Delahunt: Thank you so much! This was a pleasure.