Who would have thought that the NFT theme would become so popular? Moreover, now it is not just modern, but relevant. Why? Let’s discuss this today.
A token that cannot be exchanged, replaced, or divided. NFT can be called a kind of certificate that confirms the rights related to the object you need.
Only the owner will have an original and unique token. If the product has no analogues, it costs much more. An interesting point: what makes these tokens especially unique and valuable is the fact that the publication of transaction data is as transparent as possible.
The difference between NFT and other cryptocurrencies lies in a certain “construction”, as well as in the value, which is not determined from the outside. The investor or producer will typically remake the cost of the NFT. What could be like them is the accumulation effect: when data about a certain work of art is stored longer and longer, additional value is acquired from NFTs. This can happen with cryptocurrencies as well. You can learn more about cryptocurrency news at ICOholder.
Breakthrough in the NFT market
As it became known from the calculations, in 2021 the volume of trade in NFTs is an order of magnitude higher ($3.34 billion) than in 2020 ($17.1 billion). We can say that the market has grown 196 times. The number of active wallets was 65 thousand, and a year earlier it was only 17 thousand. Considering that the use of NFTs is becoming more and more common in various fields related to computer technology, it can be said that all the popularity is yet to come.
Over time, you can see the accumulation of new creative business models. The digitization of physical assets can be adapted to a wide range of sectors.
The influence of NFT extends to social networks. Thanks to the NFT, some metrics will no longer be the stewards of how much to pay for content. These include, for example, the number of subscribers, views. Naturally, due to the process of digitization of physical assets, we have to change a lot in the processes that we are used to, but if you notice how quickly humanity is rebuilding and getting used to a more convenient and newer one, we can handle it.
NFT for creative people
NFT is now one of the ways of expression for talented people. The case when musicians, artists, and people who are unprofessionally fond of any kind of creativity, can sell their work via the Internet and earn quite good amounts from it. Just think how humanity came from classical paintings to this one. Auction and electronic galleries today – no surprise. Investing in digital art, by the way, is no different than investing in physical art. Evaluation of the goods takes place according to such criteria as in real life: rarity, appearance, showiness, and so on.
We should also not forget about games that actively implement NFTs in their stories, characters, and so on. By this they arouse interest and great excitement among gamers. After all, who doesn’t want to stand out among the team of players and show off their new unique costume, for example. This is how both players and creators rejoice, whose income is growing. Games are becoming more profitable for some, and more exciting for others. In addition to virtual engagement, some companies are planning to move NFTs to the level of online business investments. Peter Molyneux, for example, tied crypto tokens with plots of land to his game, which has not yet been released, and earned a lot of money from it. Now he intends to achieve the level of a full-fledged business simulator, which will be based on blockchain technology.
Complete freedom in the art and time you spend creating your NFT. Considering how the NFT topic is developing today, you can become one of the first famous people in this direction.
To create and sell your token, you need at least three components:
- the object you created
- online wallet in the cryptocurrency you need
- intermediary service
You can experiment and take any photo of yourself, upload it to a service that will allow you to create NFTs without a fee, and then add the resulting digital token to your own wallet. If we talk about token binding, Andres Guadamuz notes: “the right to transfer intellectual property can still be tied to the sale of a particular token – this parameter is set when it is formed …”
As for protection: it is impossible to physically steal a token, but, unfortunately, there are cases of plagiarism. This issue is controlled by individual administrations, just like on any other platform. But the solution to the problem can end in different ways. It happens that certain platforms protect their users by not passing off work as plagiarism. If there is no such “hiding”, but on the contrary, there are algorithms that allow you to determine the presence of copyright infringements, the process of identifying criminals becomes easier.
Effect of NFTs
If we consider the modern areas of NFT use, we can say that they primarily solve the problem of intellectual property. NFT solves the problem of copying works in the digital environment. They confirm who owns the rights to the work. The advantage is that the shares that will be bought by users can be transferred to NFT. That is, in the event of a sale, the corresponding amount is automatically transferred to the artist’s wallet.
In the future, the areas of NFT use will be expanded. Perhaps now we are content only with our imagination regarding this topic. But now it is worth paying attention to what changes the introduction of such an update entailed. Already, NFT allows its owner to feel like a unique owner of something valuable. Right now, NFT is working with the metaverse, expanding not only the capabilities of the network, but also the capabilities of the person in that very network. Isn’t it great!