The NFT token market has not only grown significantly over the past year (from hundreds of millions of dollars to 28 billion), but also opened up new prospects for other areas of life. Where it is realistic to use tokens, which industries are actively implementing this technology - about this in the material.
Labeling of real assets
The possibilities in this industry are endless, as NFTs cannot be counterfeited or counterfeited. All data is securely stored on the blockchain, and the fulfillment of various obligations is tracked in smart contracts.
Where is it realistic to apply in the near future? For example, in real estate. With the help of ERC-1155 standard tokens, NFTs are issued and shares of ownership are allocated. As a result, each investor has as many tokens as the number of buildings or structures he owns.
With full tokenization, everything is much more complicated due to the lack of development of the legal field in many states. Often, different procedures are required when handing over objects, transferring ownership through contracts and verified signatures. And working with regulators is often necessary as well. But when these complexities are worked out, the scope of using NFT is more than promising.
Everything is easier with manufactured goods in production or manually. For example, create a token for each model of jeans, sell it on the NFT marketplace, and then transfer the real thing to the owner (at his request). This opens up huge opportunities for the market. And the location of production in this case will not play any role.
One of the goals of blockchains and cryptocurrencies is to remove intermediaries and extra fees. That is, all procedures should take place (and are taking place) automatically. But NFT is capable of more.
Since a smart contract is “embedded” inside each token, it is much easier to negotiate a loan with someone. For example, a friend asks for $1,000 for a year at 2% per annum. An NFT is created, where all conditions are prescribed, including a monthly transfer of interest to the creditor's account. In case of default, the lender has tokenized financial rights and is able to demand the performance of the contract.
The use of NFT in this way is possible. But again, due to the lack of a well-developed legal framework, such movements of funds can be considered as securities and involve supervisory authorities with checks.
But in this area NFT is used very actively. The secret lies in the irreplaceability of such tokens, the reliability of blockchains. That is, the creators of NFT fully control the sale of tickets or invitations to events, without fear of counterfeiting and resale for the price of x10.
This is useful for both those invited and those who organize concerts. At the same time, creating your own NFT takes only a few minutes, does not require printing of tickets / invitations and their distribution in physical form. Yes, there are e-ticket options now. But they are much easier to fake than NFTs.
The gaming industry and NFTs have been connected since the very beginning of the introduction of tokens. And in recent months, the trend is gaining momentum with the Play2LEarn model, that is, direct earnings during the game.
The bottom line is that in the process of completing levels, the player receives unique NFTs, for example, with equipment, virtual land, and some skills. And on the marketplace, all this is sold and bought. At the same time, the creators of the game themselves receive their percentage from each sale.
One of the brightest examples in this industry is Axie Infinity. According to various sources, the turnover of the game in 2021 reached 3.5 billion transactions. That is, the participants actively passed the levels, bought and sold NFTs.
There is also a minus - the life of GameFi projects is short, from several months to a couple of years. The same CryptoKitties, although it continues to exist, is no longer so popular. But the introduction of NFTs into gaming will continue.
The scope of non-fungible tokens is growing every day. Their capabilities go far beyond digital cats and memes, paintings and videos. And soon it is quite likely that NFTs will become the same everyday part of our everyday life.