•Porteage- Tokens •Non-Fungible IperDtokens
• •Fungibility is the property of a good or a commodity whose individual units are essentially interchangeable. •If a good, asset or token is fungible then it can be interchanged or replaced by another identical token. •Non-fungible means that a token is absolutely unique and is distinguishable from any other token. • •The USD is fungible in nature. $1 is exchangeable for any other $1. Individual dollars are indistinguishable from one another. Fungibility is a core characteristic of all fiat currencies. •Non-fungible tokens are unique. Collectibles are one implementation of non-fungible tokens. Non-fungible tokens are unique representations of an asset. •IperDtokens are public and will be verifiable on the blockchain network. IperDtokens are a form of digital scarcity that can be verified without the need for a centralised authority to confirm validity. Sharing in value generation gives the tokens their value.
In December of 2017, the Crypto Kitties game created a huge amount of congestion on the Ethereum network, causing it to reach all-time highs in transaction throughput and slow it down significantly. It is the perfect example of a non-fungible token.
“CryptoKitties is a game centered around breedable, collectible, and oh-so-adorable creatures we call CryptoKitties! Each cat is one-of-a-kind and 100% owned by you; it cannot be replicated, taken away, or destroyed.”
Non-fungible tokens can be created on the Ethereum network. Moat NFT’s utiliseEthereum’s ERC-721 protocol. The ERC-721 protocol sets out a standard set of criteria and functions in the form of a smart contract that must be met to be owned, managed, and traded.
Another project in the crypto space that utilizes non-fungible tokens is Decentraland. A play on words for decentralized land, Decentraland issues unique plots of virtual land on the blockchain. According to their website, it is a virtual world that runs on open standards:
“…you can purchase land through the Ethereum blockchain, creating an immutable record of ownership. No one can limit what you build. With full control over your land, you can create unique experiences unlike anything in existence. Your imagination is the limit: go to a casino, watch live music, attend a workshop, shop with friends, start a business, test drive a car, visit an underwater resort, and much, much more”
What’s more is that Decentraland is fully immersible through Virtual Reality (VR). You can use your own VR headset to become fully immersed in a 3D interactive world.
Again, you lay claim to your own unique plot of virtual
land. Utilizing non-fungible tokens for a virtual world is a very interesting
use of this technology. With the rising popularity of Virtual Reality, virtual
land on the blockchain may be a good
investment for years to come.
•There are a whole
host of other use cases of non-fungible tokens.
Ticketing — Plane tickets, concert tickets, tickets to go and see your favorite sports team. All of these are unique and can be represented on the blockchain with a non-fungible token.
Property Titles — Smart contracts and NFT’s can be used to uniquely express ownership of real estate as well as land on the blockchain.
Art — A lot of art that is created is digital in nature. Non Fungible Tokens can represent the original unique pieces of digital art and prevent the copy, distribution and sale of counterfeits. Projects like Po.et are vying to make this use case a reality for artists.
Identity — Our identity is intrinsically unique to each of us. NFT’s can help to create a digital representation of our unique identity on the blockchain. Over 16 million people were victims of identity fraud in 2016 in the USA alone. Projects like The Key are solving the problem of identity fraud on the blockchain. •
We are still in the early stages of not only blockchain, but the use of Non-Fungible Tokens. Some of the use cases mentioned above serve to solve real world problems by creating a more transparent and immutable way of tracking validity of assets • •There are a whole host of other use cases of non-fungible tokens. • •