What is the future of NFT tokens? What are the areas of use of NFT?
What is the future of NFT? Many years ago, the idea of treating GIF or JPEG files as art collections was unimaginable, but today they are called NFT, that is, encrypted investment assets, and its market exceeds $ 49 billion in 2021. The emergence of non -fungible tokens (NFT) marks a new milestone in the digital world in the market. Based on the blockchain, NFT has become a unique form of assets, which has attracted the interest of large investors, corporate executives, collectors and those who like to have exclusive items. The prosperity of NFT will bring the same active market growth: from US $ 20.44 billion in 2022 to US $ 21.74 billion in 2030. What trends have promoted the amazing growth of NFT, and what will happen to the future of NFT?
Community, culture and utility
The value of NFT collections is based on the three pillars: community, culture and practicality. When looking for value in the NFT collection, it can be a combination of multiple aspects or just one aspect. Some of the best examples are the most famous. Bored Ape Yacht Club is the first example of activating the community; the generation of art (Artblocks) and Cryptopunks have promoted NFT in the cultural field, and the practicality of the game NFT is a good indicator of innovation in this field.
The NFT market may fluctuate, but there is potential. The volatility allows investors to formulate strategies such as low buying and high sales, thereby creating the possibility of obtaining astronomical rewards. The most important thing is that the turbulent market provides a great opportunity to select the strongest projects and holders from the weakest projects and holders.
People are looking for more powerful features. Potential buyers want to know: Does this NFT make me part of a great community? Can I get an exclusive drop of senior visits? NFT manufacturers will recognize the demand for value -added drops, and we will see more creative uses of NFT utility. NFT collections without any value provided above will be slowly filtered out.
Knowing that providing value for customers has always been a part of marketing in marketing, the creator of NFT has begun to design more attractive practical procedures. A typical example is entertainment and tourism companies selling NFT tickets. In this way, their customers can change tickets without having to deal with customer service.
In addition, the virtual world has become a rapidly developing industry -JPMorgan Chase recently stated that the virtual world will bring an annual income of $ 1 trillion to cross -industry companies. NFT will become the cornerstone of these digital worlds, and the practical program of encoding will unlock VIP activities or unique discounts.
NFT's application in the real world is countless, and it will expand the possibility of human beings. It will help us further break through the current limit of the world we know. One of the potential applications with huge achievements and changes is the game industry. NFT has the potential to create a new digital economy in video games. As the global population growth is unstoppable, our economy has become more and more saturated now. Think about how many people have the same qualifications as you, how many people apply for the same job, but the demand is ridiculous, how many companies do not hesitate to fight for customers at all costs, and so on. With the new digital economy, new ways to make money. At the personal level, you and I can play our favorite games and earn unique items that we can sell. We don't need to engage in "real life" anymore. Imagination is the limit of NFT.
Web 3.0 The future of NFT in the world
NFT swept the world in 2021, which triggered a digital art revolution and became one of the fastest growing asset categories this year.
The non-fungible token technology enables artists to provide the original number without relying on middlemen, and at the same time, it can obtain version tax from the second sales of their works. But this use case is just the beginning of the function of unable to replace the functions of the booming Web 3.0 world.
This picture sponsored by NFT.com shows the practicality of NFT's continuous development, and how they are already building a community, realizing unique and trading game assets, and laying the foundation for ownership and identity in the Yuan universe.
How does NFT completely change today's digital ownership
NFT provides complete historical records and ownership certificates for digital assets or any other assets expressed in an non-fungible token. This function can create unique digital assets and items that anyone can buy and sell freely in the open market.
Today, NFT has developed to provide more practicality in various industries:
The key of the digital community
Transactionable game assets
Your user name and asset ownership in the Yuan universe
As the Internet world turns from web 2.0 to Web 3.0, NFT is building the foundation of digital communities, economic and assets.
NFT's current and future use in different fields
What are the areas of use of NFT? The following are some popular uses of NFT in different fields;
In most game applications, the NFT tokens are used in applications. For many NFT enthusiasts who want to play games and earn a lot of cryptocurrencies, these games will be a turning point.
The most mature and popular blockchain game Cryptokitties is a good example of how NFT uses in the game. As mentioned earlier, the rarer items (especially Cryptokitty), the more expensive it becomes. Due to the rarity of the items itself, it is difficult to obtain or the NFT on the platform with limited supply will always appreciate over time. The reason for the increase in value is because it is no longer an equal competitive environment for anyone who wants to own it.
Since the blockchain world is still very young, we can expect a lot of changes in the future. This includes a way to change today. It is certain that the NFT field will continue to grow and may even change the games we know. Who knows? Maybe your investment will be worth a lot in a few years!
Blockchain technology and NFT have huge potential in the gaming industry. Games such as "Alex Infinite" and "Brankos Street Party" are made by "Making Money" mode (P2E) to make players truly make money. In the past year, the popularity of video games has increased, especially in developing countries, because who doesn't want to make money by playing video games?
Axie Infinity may be the most popular P2E game. Inspired by Pokémon, the game is based on the purchase, breeding and training Axies to send it into the battle. Axies itself is NFT. Players can get Smooth Love Potion through fighting. This is a cryptocurrency that can be sold in the secondary market in exchange for real money. The transaction volume on the AXIE platform exceeds $ 1 billion and is one of the most valuable NFT projects in the world.
2. Real estate
Real estate is the highest amount of asset category. NFT can be used in real estate in various ways. First, it can be used to make real estate ownership transparent.
For example, you can put the ownership of land or property on the blockchain and allow people to view. Both land and property buyers will also benefit from NFT because they do not have to pay high fees for transactions and management costs.
Another way to use NFT is the management of the real estate industry. For example, smart contracts can be used to manage lease issues, such as rent collection and tenants return the deposit at the end of the lease period.
NFT can also be used to create a new form of crowdfunding to help investors get investment returns to real estate projects (such as building houses and rental apartments).
Having said that, NFT will play an important role in the real estate industry. The blockchain allows us to have the opportunity to link people who intend to purchase or sell real estate without the need to pass the third party or in the middle. This can significantly reduce transaction costs and save our time, while still ensuring trust.
The relationship between the artist and its fans is one of the most important relationships in the music industry. The development of online music streaming services such as Spotify and YouTube makes fans easier to listen to their favorite music than ever.
Because of this, musicians have been trying to find ways to monetize their content and maintain their artistic methods. Enter blockchain technology.
Artists who issue NFT tokens can create a new source of income through sales of limited edition products that can only be obtained by the artist token -fans are inspired to purchase these tokens because they have real value.
As a result, a mutual benefit relationship between the artist and the fans -artists can create more new art and continue to maintain their craftsmanship without relying on record companies or other third parties to support them. Therefore, NFT is a good way to get the direct rewards they deserved in the music industry, not the parts of the middlemen eat them.
4. Surreal VR
In this future world driven by blockchain, a person's entire NFT collection will be able to travel with them through surreal VR environment. Anyone who wants to view them can view these digital assets and can use it as part of an immersive game experience.
One day, we may even see the digital NFT that can be used as a real thing or a virtual product. Imagine the combination of your favorite sports team's jersey with a replacement card game; you can put on your favorite sports team's jersey and use it to play card games with your friends! This not only creates an interactive and immersive experience, but also increases the value of physical (jersey), and increases its life expectancy and availability.
The NFT market will be the most important innovation in the AR and VR world. Users will sell and purchase virtual items, such as their incarnation weapons or tools. In the virtual world, NFT can represent the items you can pick up and carry with you -it may even be sold at some time in the future.
5. Decentralization finance
The idea of decentralized financial applications (DEFI) is relatively new. This means that you can use Defi applications to make deposits, borrowings, transactions, etc. through cryptocurrencies (and possible legal currencies). A common misunderstanding about DEFI is that it is "decentralized banking business". It is not; it is closer to lending services such as Lending Club or Prosper.
Composite NFT. The main purpose of NFT in DEFI is to create a composite NFT (C-NFT). Compound NFT is like partial ownership. You have the share of NFT in a set of ownership structures.
The advantage of this model is that it allows smaller people to have physical assets in a more secure way than previously using a centralized model. For example, stealing a $ 100 real estate is much more rare than the stealing cash or bitcoin worth $ 100.
NFT has become the main asset in the virtual world
Some risk capitalists not only believe that the NFT market will survive, but also becomes larger and more important. This is because they expect our lives to become more virtualized in the next few years. We may soon buy real estate and stocks instead of simply buying digital photos, videos and game assets. In fact, this will mean a Yuan universe, all of which have become NFT tokens that can be purchased with cryptocurrencies. How this will be unclear with our material life in the "real world", but the revolution is already on the road.
Will the future market of NFT collapse?
Some experts still have skepticism about the future of NFT, saying that any bubble will eventually be shattered, including cryptocurrencies. The current enthusiasm has led to JPEG for sale of millions of dollars. Artists and new investors make profits, but unlike physical artworks, others are still easy to make credible copies. This may reduce it in the future in the future. Value, because it is easier to make a precise copy of Digital Photo, Bellennor's paintings are more accurate. Fortunately, many people seem to be opposing this situation. Although critics are saying, NFT is still growing.
Is NFT the future of the virtual economy? The NFT trend in 2022 looks great, but it is close to reality every day. The boundaries between the creators and buyers are disappearing, digital assets have gained greater value, and they are reliable to protect them from theft. Experts in finance, technology, art and sales are experimenting and finding new methods to use blockchain, cryptocurrency and tokens. The NFT market is mature: we expect to see a future, and many things will evolve into NFT.