Hello everyone, Holle, I am Wecoin Daniel Wu Recently, the topic of NFT has suddenly increased Many exchanges have also released News of frequent doubling of the NFT sector I believe that whether it is old leeks, there will be new leeks that have just entered the circle. Have heard of NFT more or less But what exactly is NFT? What is driving the NFT sector How about doubling the medium frequency in just two or three months at the beginning of the year? Today's video let me let us together Let’s talk and see what NFT is First introduce what is NFT? It is a blockchain name that appeared in 2018 Its full name in English is Non-Fungible Token Translated into Chinese is: non-homogeneous tokens Or can be translated into non-fungible tokens It has the characteristics of indivisible, irreplaceable, unique, etc. NFT can be traced back to the first 17 years The most popular DApp encryption cat CryptoKitties at the time As the first phenomenon-level DApp, it was all the rage It allows many people to understand what a DApp is Let Ethereum have large-scale congestion for the first time Also brought the concept of NFT to fire Want to understand non-homogeneous tokens We must first understand what a homogenized token is Figured out the homogenization of tokens I understand what NFT is Need to pay attention here Isn't a homogenized token a homogenous token? Homogeneous tokens want to understand the meaning of the word it's actually really easy There are many cases in the real world around us Commodities in the real world can be divided into Homogeneous goods and non-homogeneous goods The most famous example of homogenized commodities is currency In the era of metal currency, every gram of gold is exactly the same Your gold is my gold, my gold is still my gold In the era of banknotes, even though the banknotes have crown codes But because it is a general equivalent banknote of the same denomination People with the same purchasing power have no need to differentiate Other examples include those commodities (Petroleum, coal, grains of the same quality, etc.
The same brand of potato chips, coffee lollipops, etc.) There are also many non-homogeneous products around Such as the real estate market, the art market No house or artwork is exactly the same Difficult to standardize so every house The artwork is unique And the Token in the full name of NFT It means pass or token In the initial stage of the blockchain Tokens on the blockchain are mainly native encrypted tokens These tokens are homogeneous With the enrichment of digital assets on the chain Especially game assets such as crypto cat Generated a demand for non-homogeneous tokens On the other hand, because the blockchain is a trusted machine With the development of blockchain Real-world assets will be more and more on the chain More need for non-homogeneous tokens The expansion of the scope of Token can not only be cryptocurrency tokens Native digital assets (virtual pets) It can also be used to mark real-world commodities of shares (Real estate artwork) Digital art, etc.
By representing something as a Token, you can pass Smart contracts to create transaction interactions and even destroy them On the chain can greatly reduce transaction costs In this regard, Blockchain 2.0 Ethereum The smart contract concept brought is a great contribution There are many benefits of homogenizing tokens, such as unlimited splitting It is very convenient to exchange it with each other You won’t feel the change after redemption As long as the quantity is the same But over time people found Things that have real value in real life It is irreplaceable like a contract and a qualification A uniquely designed jewellery is unique for everyone At this time, NFT non-homogeneous tokens appeared Non-homogeneous tokens, NFTs, are unique Undivided tokens such as crypto kits Tokenized digital tickets, etc. The money printing machine used for the issuance of homogenized tokens is ERC20 The money printing machine for non-homogeneous tokens is ERC721 The key innovation of NFT is to provide A method for marking the ownership of native digital assets It means that one of your assets on the blockchain is marked No one can take it so Although NFT is called non-homogeneous token But in fact, people are essentially a technology, not a currency What is the function of this function? Great effect I believe everyone who speculates has heard the example of Bitcoin being stolen Bitcoin was inexplicably stolen on the exchange If someone steals your coins and sells you there is no way But if your bitcoins have numbers on them Can you find out? The robbers robbed the bank of money, do you think they dare to spend it? Because every RMB has a serial number That's why they dare not move casually NFT tokens mainly include Ethereum's ERC721 And ERC1155 standard encryption cat is the first Issued using the Ethereum ERC721 standard ERC1155 is an improved version of ERC721 721 One obvious disadvantage is a contract Only one type of NFT asset can be issued Games with rich types of props are basically unlikely to be used And 1155 can issue any kind of NFT assets also made many adjustments to the metadata settings The main application area of NFT tokens is game art Domain name collectibles virtual assets Real-world asset tokenization (STO) and other fields Especially artwork and games have a high degree of attention in the market Some game props and artworks are naturally unique And inseparability are just coupled with NFT Therefore, NFT can effectively prevent the forgery and fraud of such items NFT can represent the digital asset itself Can also be used to represent a voucher for a special purpose (Real estate certificate, passport, ticket coupon, etc.) Therefore, its usage scenarios are extremely wide Below I mainly introduce the NFT in the game And application in the field of collectibles Because so far the applications in these two fields are the most The first game item Broad game props include in-game All relevant assets owned by the player These assets have one common characteristic: Players must acquire through game behavior Or buy through money Game props are very suitable for NFT Data form On the one hand, game props are produced on-chain and used on-chain Avoided by the value support provided by the game scene "Value on the chain" is a centralized link; On the other hand, most of the game equipment Characters are unique and can circulate freely This is consistent with the characteristics of NFT In addition, NFT game props can also be cross-scene Confirmation and reuse across servers and even games Make the game asset itself no longer limited to an island And may become a truly universal hard currency within the ecosystem OpenSea as the largest NFT trading market NFT transactions for more than 100 products have been accessed Most of them are game items that can be freely circulated And hero characters benefit from the characteristics of blockchain and smart contracts The trading of game props no longer needs to be like 5173 in the past In-game delivery of online payment like the platform Disintermediation can be achieved after using NFT Instant payment and delivery have greatly improved The liquidity of virtual items and the user experience of item trading I have a very bold idea here If that project can combine cross-chain and nft That must be a great market For example, you are on the decentralized League of Legends Purchased a hero This hero has his own nft token code Pledge the original nft tokens through cross-chain technology Create another nft token in a new game Is equivalent to this hero can enter To the battlefield of the chicken game His skills or characteristics have not been drastically changed Then such a game world is the real open world A truly decentralized world If such a game is made Then a world like the number one player Maybe it will be realized If this game can still release tokens Then I will definitely be stud all over Hey, it seems that a new business opportunity has appeared accidentally If someone wants to make this game You can contact me for free promotion The premise is that you can do it You must do it with your heart, right Back to the topic The second point of collectibles area Collectibles have two characteristics: unique and unforgeable In the centralized network world It is difficult for us to use a digital medium to reasonably express this kind of information.
NFT production just fills up this gap For example, in the field of art, we can compare The ownership of sculptures and other art assets is NTF The form is saved on the blockchain Deposit the entity in some Central institutions with strong trust (such as museum vaults, etc.) Can be realized without touching the physical object Carry out operations such as verification and transfer of trading rights We can even securitize artworks Become a more liquid investment product In December 19, Binance issued a series of Limited Collector's Edition NFT of ERC1155 Protocol It is also the first batch of NFTs that mainly carry brand value in the industry At that time, the first batch of NFT collections According to the disclosed transaction data The cheapest is around 0.075ETH The most expensive transaction price is as high as 23.8ETH It can be seen that NFT serves as the value support of collectibles It can be derived from brand premium and its own scarcity And is highly recognized by the market Then there are many NFTs being implemented Or application scenarios that can be achieved in the future I will probably talk about the scope of application I have learned NFT in the field of intellectual property can represent a picture One song, one patent, one film, one photo Or other intellectual property In this field, NFT plays the role of the patent office Help every unique thing with copyright registration Help it identify patents Other physical assets such as real estate such as housing NFT can be used to represent tokenization Can be used for the circulation of assets and other financial markets Records and identification NFT Can also be used to verify identity and birth certificates Driver’s license, academic certificate, etc.
These can be stored safely in digital form And prevent abuse or tampering Financial documents, invoices, orders, insurance bills, etc. Can be converted into NFT for trading Tickets, concert tickets, movie tickets, drama tickets, etc. You can use NFT to mark that all tickets are the same But the seat number is different Probably I have learned so many applications There may be more but I can’t think of it NFT has developed rapidly since the beginning of this year Many new projects and many Including but not just the many applications I mentioned above Well, compared to what everyone is most concerned about Or will NFT become popular? this problem First of all, according to our previous introductions We can get two conclusions 1 NFT is not equal to uniqueness: NFT can only ensure the chain The uniqueness of the token Cannot ensure the uniqueness of the off-chain assets corresponding to the token; 2 Uniqueness on the chain is not equal to scarcity: Scarcity comes from the ratio of power between supply and demand NFT ensures uniqueness on the supply side chain But if there is no demand it will not be scarce Our conclusions from these two directions Set out to investigate whether NFT will be popular For the native of off-chain data like ENS Each digital asset NFT is unique, isn’t it Scarcity depends on whether there are people to buy liquidity, it is difficult to guarantee Is it like the cat you bought years ago is now sold? And NFTs that require off-chain data like artworks It is the only picture on the chain but the picture under the chain Music and other works can be copied and downloaded by others For people with IP When they issue NFTs, some people are willing to buy Although a single NFT may be a low-frequency transaction But the NFT trading platform and its platform currency But can capture the NFT long tail market After all, art is a big money laundering market The game also provides additional personalized services Better meet user needs The reason why many people assert that NFT will be popular Is that some DeFi projects have introduced NFT On the one hand, DeFi enters the second half Need to differentiate from existing DeFi products But it is not the basic DeFi service itself; On the other hand, the meaning of DeFi should be that no license is required Serve users as low as possible Ethereum's high miner fees lead to liquidity mining Becoming a big game has been criticized by people It can be said that DeFi introduces NFT It violates the original intention of DeFi Will DeFi+NFT become a question mark? More off-chain assets are on the chain instead It may be a large-scale landing case of NFT Off-chain assets are different from on-chain assets It needs a centralized trust mechanism For example, NFT tickets need to be issued centrally by the event organizer For example, upload pictures in Opensea Rarible Artwork casting NFT does not guarantee pictures Artwork is original by uploader In the future, copyright agencies may be needed to cooperate For example, the real estate certificate will be on the chain in the future May need to be done by an authority Make sure your house can live in Back to the question, is NFT the next hot spot? It's hard to have a unified answer Some NFT platforms will be bigger Some NFTs will be used If you don’t talk about whether it will be hot or not, just talk about the prospects Personally, I am more optimistic about the prospects of NFT Especially the value and application of rare collectibles And promote the development of digital patent copyright registration Have very good meanings, people are easy to be Doubts about the potential of NFT When the car was still a new thing People have also doubted NFT just like the previous car Has the potential to make an important aspect of social behavior Become more efficient and more valuable Finally i need to tell you My channel is for sharing about blockchain and cryptocurrency Knowledge news and investment opportunities If you are also interested in this content Then hurry up and subscribe to follow me If you are willing to share with the people you need I will thank you even more Also want to add wx friends You can follow our Princess Jinmei to talk about money There is my two-dimensional horse inside There is also a free group of friends to exchange questions and answer questions Investment has risks and needs to be cautious when entering the market Goodbye to everyone getting rich this year