Throughout this blog series, you’ve discovered the influence of storytelling and utilities on NFTs. Plus, the impact which blockchains have across the digital world alongside new marketplaces. Throughout this blog, you’ll discover ways NFTs can open networks, further details about the effects of tokens, the internet’s influence across native brands, the role games play and more.
The current state of NFTs
The fact that profile picture collections are on the rise is a strategy to present to your audience that you’re in a community which can open new networks for you.
The influence tokens have on NFTs
To understand the potential that NFTs can have on applications, the two headlined tokens must be clarified.
For example, hearing a car is an open pickup, it’s expected to have an empty truck and 4×4 traction. This thought process can be applied to smart contracts.
When a smart contract is an ERC721, it’s predicted to mint tokens for them to have unique characteristics. If you hear it’s ERC20, it should first approve transfers between users and manage spending allowances.
ERC721 are Non-Fungible Tokens, whereas ERC20 are fungible non-unique tokens.
ERC721: they’ve got different properties and values from one another. E.g. Bored Apes, despite being from the same collection, each has an additional value.
ERC20: these have the same values and properties.
With ERC271, you can do the following:
- Restrict access to a resource
- Generate assets/content from token attributes
- Use ownership to gain a token
With ERC20, the following can be achieved:
- Proprietary currencies
- Blockchain verified scoring systems
- Rewards based on a token account
To make this point clear, here’s a Sandbox example.
Sandbox sells virtual lands and other assets with its own currency, SAND.
An NFT is spotted on the orange box, which is placed at LAND (-134, -70).
SAND is the native currency of the Sandbox. Since it’s a fungible token, 1 SAND = 1 SAND. To recap:
– The Lands are ERC-721 tokens, therefore, NFTs. They have different properties, and each has a different value.
– SAND is an ERC-20 token that works like the native currency for that virtual world. All SANDs are equal in value.
NFTs- Native Brands
Each new technological paradigm opens an opportunity to birth a new brand.
For example, in the 90s, the internet purchased brands like Amazon, Google and Salesforce, whereas mobile bought Uber, Air BnB, Instagram, Tinder etc.
Games can play a key role in NFTs achieving mass adoption.
For example, a rare Fortnite skin can cost $150. This can help players communicate their personalities, differentiation, belonging etc.
Games like World of Warcraft and Counter-Strike, for example, have a kind of undercover market where users sell items to each other.
Imagine the potential to combine in-game cosmetic items with NFTs?
Some of the biggest game companies in the world, like Ubisoft and Square Enix, have already started experimenting or discussing how to insert NFTs into games. This was accompanied by criticism from most players, which can be considered normal since there is still a lot to learn about NFTs.
NFTs can help creators to raise money for projects.
It already happens. For example, a collection like Cool Cats has launched games and new readers in its roadmap. This was only possible because thousands of people bet on the project and decided to finance it.
Here, the creators’ creativity will drive the market. Here are two examples:
Even a blog post can be converted into an NFT.
That’s the idea behind Mirror (https://mirror.xyz/), an online writing and publishing platform natively integrated with NFTs.
The writing tool itself is simple and intuitive. The potential revolution is under the surface.
Every time a post is published on Mirror, it gets added to the Ethereum blockchain, creating an immutable record of who published that post, when it was published, and so on.
While writing great articles, authors can fundraise for their projects and sell articles as NFTs, all directly through the platform and fully integrated.
Hint: Mirror has become a platform for many other things besides Online Writing. It will be interesting to follow its next steps.
Just like games, music will be greatly impacted by NFTs. It is not yet known how, but we can say with certainty that NFTs will change the way artists build relationships with their audiences. Today, many rely on signing to record labels or receiving pennies when their music is streamed.
Today, there are already marketplaces for NFTs focused on music and several other platforms that seek to tokenise these files.
Musician Daniel Allan, for example, created a crowdfunding campaign using Mirror to raise funds for his ” Overstimulated ” project. He presented something close to 50 ether (See the current price of 1 Ether here and do the math…).
To summarise, it’s evident that profile pictures are becoming collectables within the NFT landscape. Tokens have made a revolutionary impact on NFTs; the gaming industry has presented as a unique market to offer diverse values for brands, and blogs can effectively be utilised as NFTs alongside music.
As with each blog, here’s a link to discover the full details around the metaverse through an Inevitable course.