Source: Golden Ten Data
The metaverse is menacing, and NFTs are not to be outdone. The world's first SMS was auctioned off in the form of an NFT a few days ago, selling for about $150,000! What is the sacredness of NFTs on the road to the metaverse?
Recently, the world's first text message was auctioned in Paris, France, and sold as a non-homogeneous token (NFT) for nearly $150,000 (about 954,000 yuan). The message that ushered in the age of human texting was sent nearly 30 years ago with only a short wish: Merry Christmas. In 2021, the metaverse is threatening, and NFTs are not to be outdone. So, what is the sacredness of NFTs on the road to the metaverse?
What is NFT?
The full name of NFT is Non-Fungible Token, which is a non-homogeneous token. A non-homogeneous token is a unit of data known as a blockchain digital ledger, and each token can represent a unique digital profile as an electronic certification or certificate of ownership of virtual goods. Because they are not interchangeable, non-homogeneous tokens can represent digital files such as paintings, sounds, videos, in-game projects, or other forms of creative work.
Features of NFT trading
1． NFT buyers are buying ownership of a digital asset
The internet makes it nearly impossible for digital artists to monetize the digital works they create, as everything can be copied or downloaded for free. The emergence of NFTs provides a solution to this problem. At present, the ERC721 standard, which is the most commonly used in the NFT field, can generate a unique and irreplaceable NFT for digital works. The artist's digital work, as long as it exists in NFT form, it is unique, even the creator himself can not tamper with, copy, it has a unique scarcity. For the first time, digital artists can "uniquely mark" digital works that prove scarcity, solving the problem of collection value and ownership of digital artworks. As a collector, the purchase of NFT artwork proves that he is the only one who owns this digital work.
On November 30, Tron founder Sun Yuchen said that after spending $10.5 million on September 2 to buy his first NFT avatar, he bought a new ape avatar for $15 million TRX.
2. NFT transparency is high and easy to track
After the creation is set to NFT creation, all the information including the name of the work, the author's name, the date of the transaction, etc. can be stored on the blockchain, and a unique and exclusive link will be generated, through which anyone can query the source of an NFT, the transfer process, third-party unit verification and other information. After the buyer purchases the NFT, he can also write his personal information, transaction process, etc. into the link to ensure the buyer's rights.
3. NFT users are able to sell content directly without going through middlemen
OpenSea, Nifty Gateway, MakersPlace, Rarible, and SuperRare are all well-known NFT trading platforms. When an NFT work is purchased, its NFT is stored in a digital wallet. To transfer and sell NFTs, you can trade directly on these NFT trading platforms, without going through other intermediary channels.
What is the value of NFTs?
The value of NFTs lies in the "scarcity" of ownership. For example, Leonardo da Vinci's famous "Mona Lisa", her image may be everywhere, and anyone can remake it themselves, and even search for thousands of pictures on the Internet, but because these are not the artist's original works, the real works still have its value. Similarly, the concept is the same as the idea of collecting limited-edition commemorative coins, signed ball cards or works of art, although it is also a valuable item, but because of its immutable, non-destructible and unique characteristics, its price has been rising steadily.
What does NFT have to do with the metacosm?
For some, NFTs are just a gimmick, but the metacosm may change that perception. The Metaverse offers many potential social and financial possibilities through the use of NFTs, and has created some new ways to play, interact, party, monetize, and trade. Through integration with VR, video games, social media, and cryptographic elements, metaversals and NFT blockchain games will become an integral part of Web 3.0.
Taking virtual goods as an example, morgan stanley and others expect that by 2030, the value of NFTs and digital luxury goods in the metacosm will reach $50 billion. Whether by accident or by design, NFTs make it more possible to express one's personality online. The rise of digital fashion in the metacosm also provides new growth opportunities for NFTs. Many companies and celebrities have entered the market, selling skins, clothing, hairstyles and pets in the form of NFTs.
As digital property rights are legalized and blockchain security increases, so will the importance of NFTs.