(Iconic image – Gerd Altmann/Pixabay)
The non-fungible token space started booming in 2020. At that time, the creators of digital objects could make a lot of money by selling them. Individual NFTs were worth millions of dollars. Over time, the hype around the non-fungible tokens faded and competition increased.
In 2022, creators will have to work harder to attract investors. Real Value Lots must offer real value by providing access to exclusive content, services, digital or physical goods.
What are Utilitarian NFTs?
An author can extend a regular, non-fungible token by adding useful features. Such NFTs are called utility tokens. They can be used in real life. Technically, they do not differ from other unique tokens, but their holders receive exclusive rights or valuable items:
- Community membership
- Access to services or digital goods
- Tickets for real events (a concert or a conference)
- Physical objects
How to add value to an NFT project
The technologyn do it’s possible not only by means of bit index ai also rich webut also to tokenize any object, but the greatest value comes from NFTs that provide value to holders. The value of such artifacts often increases. For example, when an author allows users to communicate, vote or have unique rights in the community.
NFT objects are mostly represented as images, but each asset can be tokenized. This includes music, social media posts and software code. Developers can create multiple NFTs with different values depending on how useful they are. Non-fungible tokens are successfully used anywhere you want to prove rights to an object.
A promising sector is the property sector. When you buy or rent a home, there are many papers that need to be filled out. NFT Utility will do that help to reduce the bureaucratic effort and increase the transparency of transactions.
Instead of creating documents to prove ownership, you can just use NFT. A digital certificate provides access to a complete database and ownership.
connection to the real world
Non-fungible tokens can change your reality forever. They could, for example, be used to sell tickets for concerts, games and sports halls. This would make club cards cheaper to produce and prevent fraud. The cardholder’s data is stored in the NFT code. This record cannot be deleted or corrected.
Adaptation to the meta-universe
In recent years, a new trend has gained popularity – the creation of NFT objects that can be used in blockchain games of the P2E (play-to-earn) genre. Developers issue digital characters, weapons and items in the form of non-tradable tokens. Users can even create virtual properties (castles, landsone and entire planets).
The value of these NFTs directly depends on the role in the project. Initially, e.gin object usually 100-500 USD. Due to high demand, the price increases tens or hundreds of times.
Include the DAO
Developers can delegate project management rights to the community. Usually, you have to be a token holder to be able to vote on important topics (the more cryptocurrency, the stronger the vote). However, creators can issue a number of NFTs and delegate management rights to a decentralized autonomous organization (DAO) composed of trusted individuals. The community decides how the project should be updated and promotes partners and investors.
MetaBrewSociety chose this form of administration in February 2022. The company has issued 6,000 NFTs of varying rarity and voting strength. The owners run a real brewery and can count on 100 mugs of free beer a year (for 500 years).