What is hidden behind the bubble of “NFT” technology … the economy of the future or a strange transitional fashion ?!

What are the signs of NFT? And why do people spend so much money to get it? Could this be a brief overview of what the future will look like or can we witness the creation of one of the greatest bubbles of all time?

  • World-famous people spend thousands, hundreds of thousands and millions of dollars to buy digital monkeys.

New digital investments worth hundreds of thousands of dollars, and possibly more, are emerging at a time when everyone is looking for ample opportunities to amass large fortunes in record time and without much effort. The Corona virus and its successive mutants were able to create the right environment to embrace and crystallize this kind of speculation in the digital money market, in light of deteriorating economic conditions, lack of real employment opportunities and the bankruptcy of many companies. as a result of repeated worldwide closures and other reasons.

NFT investments (non-exchangeable tokens) tend to catch the headlines these days, due to the high figures associated with their sales, possibly related to the boredom that strikes world famous personalities and pushing them to spend thousands upon hundreds of thousands of millions of dollars on digital monkeys, so we find that global artist Justin Bieber buys boredom monkey with code # 3001 for $ 1.3 million and rapper Eminem, who spent $ 462,000 to buy monkey code # 9055 , accepted it, as well as famous football. player Neymar, who spent $ 1 million to buy two boredom monkeys who have the codes # 6633 and # 5269.

What are the signs of NFT? And why do people spend so much money to get it? Could this be a brief overview of what the future will look like or can we witness the creation of one of the greatest bubbles of all time?

strange technology

“NFT” is a trademark that can be traded but is not interchangeable. These lands have existed since 2012 and exploded during 2020, as the market grew by 229%, reaching a value of $ 250 million. In February 2021, more NFTs were traded in 24 hours than throughout 2020.

These tokens are a unique digital certificate registered in Blockchain, used to record ownership of an asset, such as a work of art or a collection, and no one can counterfeit, confuse or alter it, regardless of its details . This means that it can be used as a theoretically deceptive proof tool to create the rarity (and consequently the value) of a piece of unique digital information, and the information it represents can be a piece of digital art, music, a piece. of clothing, an item in a game or the keys to a truly hypothetical home. It could be something a person would like to be unique.

The concept of this technology dates back to 2012, when the CEO of eToro Uni Asia proposed the color “Bitcoin”, a currency combined with a sign that connects it to real world assets. So colored Bitcoin was considered the forerunner of NFTs. In 2014, the same company came up with the idea of ​​‘METACO’ to provide infrastructure that would facilitate coding. It was then that the company became one of the first to promote colored “Bitcoin”.

Unfortunately, since Bitcoin was intended to be used only as an alternative currency, colored Bitcoin had many limitations. For example, valid arguments can be revoked at a later stage, as in the case of a split.

In 2018, NFTs became technically feasible when William Entrekin, Dieter Shirley, Jacob Evans and Nastassia Sachs created the ERC-721 protocol for the Ethereum blockchain, thus solving many of the inherent problems in Bitcoin in color, given that Ethereum is a multi. -purpose platform.

In particular, the Blockchain protocol enables the identification of individual NFTs, movement tracking, and ownership tracking, and NFTs can be contracted intelligently so that ownership can be automatically transferred when a commitment is fulfilled.

untapped potential

The king of the cryptocurrency “Bitcoin” had a rough start to the year, falling by about 6.9% since the beginning of 2022, but the market for non-exchangeable digital currency or “NFT”, unlike the case of “Bitcoin”, has flourished with investors, institutions, companies and celebrities starting by piling up digital arguments, such as those whose value is constantly growing.

So far, most NFT coverage has focused on things that some find ridiculous, like buying boring monkeys, but unlike memes, selfies or live art videos, NFTs have practical uses with broad implications.

The “metaverse” project announced by Mark Zuckerberg, CEO of “Meta” (formerly Facebook), is still the latest studies and analysis to reveal its obscure details. NFTs will probably play a number of important roles in the virtual worlds that will make up the metavers. First, digital articles enable them to be unique and we all know that people in the real world want to collect and display rare and unique things, and there is no reason to believe that the virtual world will be any different. Nike recently sold 600 pairs of shoes online They are “NFT”. Think of it as the ability to dress your video game character in unique outfits that no one else can have.

It is estimated that by 2030, there may be more than 125 billion connected devices worldwide. This vast network of computers, hardware, industrial machinery, and many other items is what we mean when we talk about the Internet of Things (IoT).

Many believe that NFTs have an important role to play and are potentially useful, as they allow devices to authenticate data from other devices. Basically, this is the digital equivalent of a warehouse manager checking documents when a container load of inventory is delivered.

WISeKey cybersecurity professionals use semiconductors implanted in the physical infrastructure of the network, which automatically create “NFTs” in order to verify that a device is reliable. Another initiative is looking at connecting NFTs to the city’s infrastructure assets, such as street lamps, bus shelters and traffic lights. Here, tokens will enable accurate data from these devices to be made available for marketing by companies looking to develop new services, such as telecom companies.

important relationship

Experts advocate NFT technology and show its role in healthcare, as one day it will enable individuals to take control of their health records and possibly make money from it, as personal healthcare records are bought and sold all the time.

Today, it is easier than ever to create and collect health data, thanks to wearable devices, screens and sensors. Even genomic information can be obtained cheaply, thanks to services that allow individuals to analyze their DNA information.

Many of us have no idea where the information generated ends up every time we use a device or interact with a service. In fact, most of this information is likely to eventually reach the black market, with an individual healthcare record reported to be around $ 250.

NFTs allow information to be recorded with data, which means that it can be traced until it is passed. Not only does this mean better monitoring of where our information ends up, but one day, we can take advantage of the smart technology capabilities of NFT and blockchain contracts to ensure that our rights are paid whenever data is transmitted ours.

The future of NFT

Going back to the wild NFT trading, it is clear that it is still early. So far, trade in NFTs is largely speculative, which means that there are many unknowns as of now. Let’s say you want to resell your NFT from the meme, will you find a buyer who will pay you enough to at least get your money back?

Despite all the rumors that this technology is simply a fad that will soon disappear, it is estimated that there are currently about $ 78 trillion in non-bank active assets globally and the “NFT” is a remarkable revolution that can replace many laws and practice in a simpler and more transparent way to unlock these assets and interact with them. So the real question is not whether NFTs are here to stay, but whether banks will take steps to adapt or continue to believe that the world can not move forward without them?

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