In my earlier blog post, I wrote about what NFTs are. If you don’t know about NFTs – I suggest you go and read that blog by clicking here.
Few important points that you need to keep in mind:
- NFT of a particular thing gives you proof of ownership of that thing. That “thing” can be anything – painting, game tokens, digital media, song, tweet etc.
- Owning NFT doesn’t mean that you will be able to make changes to that thing or you will be able to hide that thing from the world. But still this does not mean that owning an NFT is not valuable.
- I hope you understand that if you have ownership of that thing – you have bragging rights. Everyone can easily verify that you are the owner of this particular thing. So, owning an NFT of something means that everyone can verify that you are the real authentic owner and that is the real value of NFT.
Now that you understand the basics of NFTs, lets directly jump to the uses of NFTs:
- Art: You can buy the NFTs of art. This means that you will earn the proof of ownership of an art. For eg: Let’s say some person made some art and you bought the NFT of that art for x amount. Now if that person gets famous, then you will be able to sell this “proof of ownership” of this art (i.e. NFT of that art) at a higher price.
- Music: Most music artists don’t earn enough. They earn enough only if they get popular and then do concerts or sell something. In the music world, artists get to sell limited digital content to their fans who pay via crypto. You can now produce any music content that cannot be counterfeited. The popular American musician, 3LAU, sold off his tokenized album in February for more than $11 million.
- Virtual Land: This is a very interesting idea. In games like Decentraland, players can take possession of virtual land using NFTs. People can trade or build on the land using NFTs.
- Real World Land: Since NFTs can be used to prove ownership, Read estate deals with physical property deeds can be transformed into tokenized digital assets that can move physical assets like houses or land into blockchain networks.
There are innumerable use cases of NFTs. There is a high possibility that within the next 10 years each one of us will own NFTs in one way or another.
I hope this byte sized blog article gave you a good idea around uses of NFTs.
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