We all know that the last two years have not been great for crypto lovers. Along the way NFT has forced people to scratch their heads into its interest. NFT is on the top hot search topics in 2021. So, why are people losing interest in NFT nowadays? Is it due to the condition of the crypto market or is it something else. Let’s see in this article.
What is NFT?
When you hit Google by typing “What is NFT?”, you will find so many blogs that say “NFT is Non-Fungible Token”
NFT is the concept of digital ownership over the internet with the help of blockchain technology. It can be anything like a song, tweet, image, video, piece of code, text on a website, or any digital format. NFT is a revolutionary concept for proving transparent, mutable, and historically proven trust of ownership. The Ethereum blockchain is widely used for trading NFTs.
As other articles, we also like to include that every NFT has its unique presence in the world and is never repeated.
Some examples and history of NFTs
NFTs were first popularized in 2017 by CryptoKitties, which are digital representations of cats with unique characteristics. CryptoKitties behave similarly to their physical counterparts. They grow and reproduce. They respond to care. And they can be exchanged. Not surprisingly, they quickly attracted the attention of cat lovers, who spent more than $20 million in Ether to buy, feed, and care for them to develop special traits.
Use cases are still being developed in the evolving market for NFTs. A NFT JPG file by Beeple, a South Carolina-based artist, recently sold for $69 million at the venerable Christie’s auction house. In November 2020, the same artist sold another digital NFT artwork called Crossroads for $666,666 at Nifty Gateway, an online NFT marketplace owned by the Winklevoss brothers.
The National Basketball Association (NBA) has also jumped on the NFT bandwagon. In March 2021, it launched Top Shot, a crypto-collectible game similar to baseball trading cards.
The site’s use of technology allows digital artifacts such as video clips and gifs to be owned and shared, each bearing a unique digital stamp from the NBA for identification. They can be purchased in packages for as little as $9 or as sophisticated NFTs with different lighting and camera angles of historic footage for up to $240,000.
Marketplace works as a name suggesting the market for NFTs. A place where anyone can create, sell or buy NFTs by paying cryptos(Digital Currency). There are multiple marketplaces available for different blockchain.
Different marketplaces are coming up with different features.
- Multiple blockchain support
- Royalty Support
- Multiple Wallet Supports
- NFT Drops and Collections
- Platform fees( Admin commission)
- Timer/unlimited/fixed auctions(bids)
- Multiple NFTs Standard Support
Some groups of people who love crypto are directly linking crypto with NFTs. This group exists in large numbers in every country. So, there is a misconception that the revolutionary era of NFT is about to end just because crypto markets are down.
Many Countries still have to decide the regulations on cryptocurrencies. This uncertainty in regulation is one more reason why people worried about NFT’s Future but still many countries are able to launch NFT marketplace with fiat currency and that is positive sign for NFT Marketplace.
The people who know blockchain and NFTs very well, believe that we just used one portion of NFTs which is digital ownership. There is so much potential left in NFT in the near future.
Seriously, What! You won’t believe it, right? You will get clear in the next topics.
NFT and Metaverse: A Next-Gen Digital Age
You must have heard the word “Metaverse” since it has been in the news governing the IT playgrounds. Yes, you are right that people are made behind the metaverse nowadays. Even big giants like Facebook (meta) and Adidas have jumped into this.
In this metaverse, everything you buy, sell, auction, rent or stake is NFT, a digital asset that can be traded and exchanged for a value price. Now you got our point. Metaverse is a combination of both AR/VR(Augmented Reality/Virtual Reality) and Blockchain. Using these technologies, the metaverse creates a virtual world the same as the real world exists. Thanks to blockchain technology and NFTs by which Metaverse is possible.
After the COVID pandemic, the Virtual Reality industry gained a boost and some people have attended virtual meetings with the help of metaverse from different countries.
Some of the best examples of metaverse are Second Life, Meta Horizons(Facebook), Fortnite, Decentraland, Nvidia Omniverse, and Roblox.
New Strategies to Emerge
We can integrate IOT with Metaverse to link physical asset ownership with NFTs.
NFT can be more useful for ownership transfer and history records in the real estate market.
Right now, NFT is playing a major key role in the gaming industry. Gamers can earn and own in-game items as NFT and prove the ownership of that item. Also, gamers can earn by ranting NFTs in the game. NFTs create win-win situations for both players and platform owners. Axie infinity and BFK Warzone are some of the NFT based games ranging from low to mid and hyper realistic levels that display the utilization of NFT by game development companies.
NFTs change the whole artist and music industry by solving copyright issues with their uniqueness. Also, NFTs are used for organizing concerts in the metaverse and also the real world. There are lots of things coming in the future with NFTs. So stay tuned.
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Few Last Thoughts
In short, Blockchain technology is not only used for its first application which is crypto but with applications like NFTs, blockchain can revolutionize many industries. If you want all these different features in a single marketplace and explore the NFT marketplace development services in detail then you could pick a NFT integrated blockchain development company that is leading the innovation strategies in this never ending NFT Era.