What can NFTs be used for
Last updated
Last updated
Here we illustrate some typical use cases for NFTs.
The ownership of a certain NFT (generally one NFT from an NFT Collection) can be set as an entry requirement for a group in Daoing. Only those who are verified owners can join this group, which provides a handy way to create exclusive communities.
Some NFT collections were launched with a certain price, and if the sale went well, the creators of those collections might get sizable proceeds.
For many people on the internet, these PFPs actually become their online identity. Not only do they identify with the group, they strongly identify with their avatar. PFP projects are also centered around holder benefits (like BAYC’s famous yacht party) and community (like WoW, which donates a portion of their creator earnings to women-centric charities). So they also act as a VIP or premium pass.
Gaming NFTs are revolutionary because players become the true owners of in-game assets. For example, the game utilizes NFT-based heroes which can be collected, played, and traded by the players.
As opposed to paper tickets or traditional QR tickets, NFT tickets bring transparency to the ticketing platform and assure the secondary buyer that they are getting a valid ticket to the event they are excited about. And since NFTs are stored on the blockchain permanently, ticket buyers can store tickets safely to keep memories alive.
NFTs can be used by artists to represent their artworks, either digital or physical. For example Damien Hirst used NFTs in his collection “The Currency”, in which he created digital versions of 10,000 unique physical paintings. Collectors had one year to decide if they wanted the digital or the physical version of the painting — whichever version they did not choose would be destroyed.