NFT Use Cases: Commoner and more useful than digital art
NFTs are the first to demonstrate verifiable uniqueness or scarcity of digital assets. They are commonly associated with profile pictures and digital art. However, NFTs are the first to demonstrate verifiable uniqueness and scarcity of digital assets. Music and streamingMusicians typically earn less than $0.01 per hour on Web2 streaming platforms like Spotify and Apple Music. However, Web3 music platforms such as Audius, Sound.xyz and Catalog allow musicians to monetize their work directly. They can convert audio content into NFTs, better interact with their followers, increase exposure, and all this without the need for middlemen. Music NFT platforms have not gained mainstream attention. Their weekly transaction volumes have been consistently below 100 ETH over the past six months. These platforms have 11,000 unique users, which is less that 1% of the NFT market user base. These platforms are similar to NFT marketplaces, but lack the ability to convert basic functions into streaming or sharing music. They have not been able to attract a large user-base due to these limitations. Music NFT platforms can encourage future adoption by launching new features, incentive programs or attracting major musicians. Many Web3 platforms have NFTs as the backbone. These include: Digital Profiles and Identity
To encourage participation
The Lens protocol is one of the most popular social graphs. It currently supports social media front-end apps such as Phaver and Lenster. Over the past three months, the protocol has had an average of 35,000 active members. Its engagement (including posts and comments) has increased since May. However, Lens’ number of accounts has fallen by more than 92% since September. This is due to the fact that permission was still required to create new accounts. Lens’ open social graph is widely utilized, partly because there are many front-end applications for it. Its popularity has increased due to the growing distrust in traditional Web2 social media. Decentralized social gives users full control over their data, and allows for portability between different hosted apps. Many of these apps are still in development and lack the necessary functionality or user experience to attract large numbers of users. Digital identityNFTs can be used to store and verify professional licenses, educational credentials, and other forms, as well as to verify identities and qualifications. Each NFT can have a unique set data and metadata that is used to verify the authenticity of the voucher’s ownership. This allows for a trustless, simple, and secure verification of an individual’s qualifications, skills or other information. Credentials on-chain can reduce the cost of trust services, reduce fraud and tampering, as well as restore users’ control over their personal data. Nearly 4 million people are now using these platforms. While Proof-of-Participation protocols like POAP currently hold the majority of the market share of this user base, aggregators have been rapidly cannibalizing their share. Like most crypto racetracks, authentication protocols are very siloed and do not allow for interoperability. Galxe, an aggregate, can help to alleviate this problem by allowing users the ability to transfer their credentials across platforms and chains. GameNFTs are used for unique in-game assets like characters, items, and virtual real property. NFTs create scarcity in the GameFi world and allow users to trade, buy, and sell in-game goods. On-chain games offer better earning opportunities and more asset transfers than traditional games. In gaming apps, monthly active users have fallen by 30% and new users are down by 34% since October. These projects are difficult to sustain because they don’t offer users engaging experiences and quick rewards. Perhaps, improving the traditional in-game assets so they can interoperate between apps might help improve the gaming experience.Tokenization of real assetsReal-world assets are assets that exist in the real world, and ownership can also be represented and proven through NFT. Tokenizing real assets can enable them to be used, stored and tracked on the chain. This allows for solutions to problems such as fraud, inefficiency, human error, or human error in the real world. The following areas are common places where tokenization of real assets is used:Real estate
Capital market assets
Tokenizing assets can save interested parties money and make them more easily verifyable. However, placing physical assets on-chain requires a stronger infrastructure, higher levels of human oversight, and a new regulatory pathway. Settlement collateral is not tested for financial assets. This is mainly because it can be used in the event that a settlement defaults. The lack of standardization or regulation in the entire process is a major obstacle to mass adoption. Voluntary carbon marketRegenerative finance (ReFi), has seen a significant increase in its popularity over the past year. It now includes a carbon credit marketplace, tokenization infrastructure, and MRV (measurement and reporting and verification). Most cases, carbon removal credits can be tokenized on-chain using NFTs. Unique tokens cannot be traded on secondary market after they are issued or redeemed in real life. Carbon credits can be added to the blockchain to help solve some of the problems in the current carbon credit market. This includes double spending, fake credits, and price discovery. It lowers barriers to entry for potential investors as well as credit providers seeking funding for their carbon removal projects. As with other real-world assets such as carbon markets, there is a greater risk of centralization due to the current oversight by carbon credit registryies like Verra. Non-fungible applicationsA non-fungible application (NFA), takes on-chain metadata that is relevant to running a decentralized app and stores it on top the ERC-721 NFT Standard. The code and data behind Web3 applications are stored in NFTs. This allows for decentralization of execution, operation, and ownership. NFA manages everything that is required to keep the application running. This includes relational databases, decentralized payment hosting, storage, and build history. They make applications portable by allowing creators to transfer the NFT. Web3 applications currently rely upon centralized front-end solutions for hosting and storage services. This makes them vulnerable to phishing attacks, and exploitation. NFA addresses these issues by decentralizing ownership, increasing resistance to censorship, and empowering community participation. Fleek is pioneering traditional NFTs’ capabilities and expects to release a platform that uses the technology in the early part of the year. It does not have the ability to automatically renew contracts or facilitate agreement payments. Therefore, it will continue to rely on the existing more centralized mechanism.
Alchemy Pay, an extension to the deposit and withdrawal channels will be able provide fiat currency payments for the purchase of cryptocurrencies for Visa cardholders from more than 173 countries.
Alchemy Pay is integrated into many DEXs, CEXs, wallets and is one the first partnerships with major financial institutions.
Integration of The402 and LensThe402, encrypted live streaming service, has been integrated with the decentralized social network Lens Protocol.
It is now possible for Lens followers to set token thresholds for video, chat, or live content.
Robinhood releases Crypto WalletRobinhood offers crypto wallet features to more than 1 million other users.
The app supports internal traded tokens and NFTs without transaction fees.
Robinhood has attracted many retail investors ever since its launch. This is largely due to its free trading. This segment of investors could be attracted to cryptocurrency by the release of non-custodial wallets.
Rally closes its sidechainSocial token platform Rally closed its sidechain because of poor market conditions.
Users were warned by the Rally team that their NFTs could not be transferred back to Ethereum’s mainnet.
Top MoversMask Network rallied more than 109% over the last month due to the possibility that Elon Musk might integrate it into Twitter in order to support payments. After the token was launched on Coinbase, the price of Audius rose by more than 120%.
Galxe, a certified aggregator, leads the decentralized space for social assets, up more than 152% in the past 30 days.
DISCLAIMER – The information on this website is intended to provide general market commentary but does not constitute investment advice. We encourage you to do your own research before investing.Join us to keep track of news: https://linktr.ee/coincuWebsite: coincu.comHaroldCoincu NewsTags: Digital ArtGameFiLens ProtocolNFTNon-fungible applicationsProof-of-ParticipationWeb3