Blockchain technology is a rare advancement that unearths a variety of conflicting industries and fundamentally changes various processes. Currently, blockchain technology delivers a lot but its true destination is still only potential. One area of blockchain technology that is producing strong traction is Non-Fungible Tokens. NFTs are thriving!
Digital collectables are fast attracting some of the most famous names in the world to this space. Initial NFT projects such as CryptoKitties, KittyHats and Crypto Punks have shown the way that there is value in this space, however the projects that are yet to launch or be fully developed will propel NFTs to the next level.
These tokens are restricted in quantity and the supply verses demand equation becomes prominent.
Humans have always been attracted to rare collectibles, such as beads, shells and elements many years ago. Digital scarcity is a natural progression in technology and lifestyle and provides verifiability without going to a third party like a bank or lawyer.
At present, virtual worlds are growing rapidly and have downloadable content such as accessories, outfits, skins and gaming maps. This is very much the start of interacting with people online through NFTs.
NFTs are valuable and have massive potential value as they are trustless in nature and scarcity, meaning they are not subject to a third-party for storage / validation. Buyers own their NFTs regardless of the virtual developments around them ie a game shutting down. The trustless nature of NFTs creates a custodial advantage.
Blockchain technology allows full transparency of an NFT on display, there is no third-party required. As the NFT space grows, people will begin to appreciate blockchain technology for its advantages over traditional trust systems and become more likely to adopt it in other parts of their lives.