Cenit Finance has announced its integration into the Space and Time product suite and is rebranding as “Space and Tokens.”
This move aims to enhance tokenomics for developers by offering advanced tools to optimize token utilities, create robust vesting schedules, and better anticipate market risks, according to an Aug. 20 press release shared with crypto.news.
Space and Time, a Microsoft M12-backed company, will provide verified on-chain data to Space and Tokens through its verifiable computing layer. This integration will enable developers to leverage SxT’s decentralized database and AI capabilities to build data-driven smart contracts and sophisticated token economies.
AI and on-chain activity
The platform also benefits from SxT’s no-code AI Studio, which allows users to generate insights and dashboards about on-chain activity.
Carlos Bort, Co-Founder of Cenit Finance and now Head of Web3 Data Solutions at SxT, emphasized the potential for continuous monitoring and improvement of tokenomics using real-time, verified data.
We envision a future where tokenomics can be continuously monitored, adjusted, and improved using realtime, verified onchain data. From our team’s perspective, as passionate data nerds, we’re thrilled to join one of the leading players in the blockchain data space. We’re eager to apply our AI capabilities and data expertise to SxT’s stack.
Carlos Bort
The partnership represents a significant step in combining AI and blockchain to create more efficient and secure token economies.
Earlier this year, Karak integrated Space and Time’s zero-knowledge coprocessor solution to enhance security and trustless rewards for its Distributed Secure services.
Singaporean financial giant DBS has launched a treasury token pilot with Ant International to improve cross-border treasury and liquidity management.
DBS Group has initiated a blockchain-based pilot in collaboration with Ant International in a bid to streamline cross-border treasury and liquidity management.
In an Aug. 13 press release, DBS said that the so-called DBS Treasury Tokens project will leverage its permissioned blockchain — which is compatible with Ethereum‘s EVM — to facilitate multi-currency treasury operations for Ant International, which operates mobile payment service Alipay+.
“This new capability comes at a time when the treasury needs of businesses are evolving to meet the rise of e-commerce and on-demand services on a 24/7 basis.”
Lim Soon Chong, DBS Bank’s group head of global transaction services
Kelvin Li, Ant International’s head of platform technology, noted that the partnership with DBS addresses key challenges, including cost reduction and mitigation of transaction risks in cross-border payments.
The treasury token is expected to enable Ant International, which is an affiliate of Alibaba Group, to optimize its liquidity management across various global markets as DBS says the pilot can reduce the settlement of intra-group transactions “from potentially days to seconds.”
In addition to its tokenization initiatives, DBS is also making strides in the crypto space. In July, the bank became a custodial partner for Paxos, a New York-based stablecoin issuer, while in February, DBS also expanded its services to include crypto offerings for clients in Hong Kong.
Agriculture, the bedrock of human civilization, faces unprecedented challenges in the 21st century. With climate change threatening traditional farming practices and the global population expected to reach 9.7 billion by 2050, driving a 51% increase in food demand, the development of new and innovative solutions to help improve the industry is imperative.
The tokenization of agricultural trade has emerged as a promising solution to many of its most modern challenges. Many tokenization projects have focused on fractionalizing illiquid assets, also known as real-world assets (RWAs), enabling buyers and sellers to transfer ownership faster.
However, there is a common misunderstanding that tokenization is synonymous with fractionalization. Tokenization refers to the process of converting something of value into a digital token usable on a blockchain. For instance, we could tokenize the Mona Lisa as an NFT, representing the entire artwork as a single digital token. Alternatively, we could tokenize and fractionalize the piece of art and allow multiple people to own a part of it in the form of NFTs.
These two approaches address different issues. The former, tokenizing the art as a single NFT, deals with the ownership of the asset and enables easier transferability. You don’t need to put it in an auction house and pay exorbitant fees to lawyers to transfer ownership—you simply need to transfer the NFT to transfer the legal ownership.
The fractionalizing of the Mona Lisa addresses liquidity issues associated with the painting’s price. Since the Mona Lisa costs hundreds of millions, fractionalizing it allows multiple people to purchase shares of it and be bound to its future success. This also provides them with the opportunity to easily buy into and sell out of the asset.
We don’t need to tokenize the underlying assets in agriculture as they’re already divisible; the holy grail is to tokenize the contractual agreements themselves. The benefits of tokenization for farmers are clear—instant settlements of contracts, the removal of unnecessary documentation, and a unified legal structure to the underlying trade process. A great deal of the current cost and friction in traditional agricultural systems is in transacting between jurisdictions—blockchain-based transactions will simplify this.
In the coming years, more marketplaces will leverage blockchain technology to tokenize agricultural trade. This shift is driven by the complexity of legal contracts, which can be simplified through smart contracts. These contracts will unify and automate underlying processes, removing friction and resolving issues efficiently—this will enable farmers to focus on what they do best.
The challenges facing agriculture
The agricultural sector is fraught with challenges that make it insufficient and unfair for stakeholders within the supply chain.
According to a study, a 350g four-pack of supermarket beefburgers priced at £3.50 sees the beef farmer incurring high costs of 90p but receiving a profit of only 0.03% (0.1p). In contrast, with similar costs, the processor earns ten times the profit (1p), and the retailer earns 70 times the profit (7p). This pattern is seen across the sector: for a pack of mild cheddar, the farmer receives 0.02p, for bread, 0.01p, and for apples, just 1% of the retail price.
One major reason for profit disparity is the fragmented nature of the supply chains requiring multiple intermediaries. Blockchain applications are streamlining these processes by automating transactions and reducing friction for and with intermediaries, thus lowering costs and increasing transparency. Furthermore, inefficiencies and a lack of transparency in the supply chain can lead to disproportionate profit distribution, with farmers often at the beginning of the supply chain bearing a disproportionate amount of risk for the reward they receive. This disparity highlights the need for improved market platforms and better support systems for farmers to ensure fairer profit distribution.
Solution through innovation
The tokenization of agricultural trade will play a crucial role in creating more transparency and efficiency in the supply chain. This will ultimately provide farmers with a fairer share of the profits and end users with cheaper products.
The agricultural industry needs a blockchain-based real-world assets marketplace to bring the $2.7 trillion agricultural trade on-chain. Immutable ledger technology brings a layer of verified trust to a system that has used papers and pens for too long. Settlement has relied for too long on archaic banking channels, and finally, access to markets has been riven by unnecessary additional hands.
A new blockchain-based system would enable instant settlement of transactions, with fees of only 0.15% for each side of the trade. This is in stark contrast to traditional systems, where fees can be several percentage points per trade.
For example, Oldenburg Vineyards, one of the biggest wine producers in South Africa has recently settled one of the first agricultural trades on Solana. Adrian Vanderspuy, owner and CEO of Oldenburg Vineyards, stated:
“We settled the first-ever trade on a public blockchain, and it is now on its way from South Africa to London. The funds came into our account in seconds rather than days, and the fees were £5. We look forward to continuing our partnership and bringing more of our stock on-chain. This will help us to reduce transaction and remittance costs, as well as the time it takes to receive payments.”
Stories like the above are just the beginning of the agricultural trade revolution.
The road ahead
As we face the challenges of feeding a growing population, reducing food waste, and ensuring sustainability, tokenizing RWA trades offers a compelling solution. By leveraging blockchain technology and its ability to provide decentralized transparency and lower the cost of transacting, we can address the inefficiencies of traditional supply chain systems. This approach promises a new era of efficiency and accountability in agriculture, ultimately helping to secure a sustainable future for global food production.
Additionally, enhancing transparency is a key benefit of the tokenization of agricultural trade. Blockchain technology ensures that all transactions are recorded on an immutable ledger, providing transparency across the supply chain.
This can help reduce fraud and ensure that farmers and end-users receive fairer prices. Blockchain’s primary attributes—traceability, immutability, and provenance—promote transparency in supply chains. Farmers urgently need these blockchain properties to secure fair remuneration for their work and sustain their efforts to feed the growing global population.
Citigroup’s head of digital assets Shobhit Maini is leaving the bank to pursue an “entrepreneurial opportunity” in the crypto space.
Shobhit Maini, global head of digital assets in Citigroup’s market unit, has reportedly left the bank to focus on a career in the crypto industry, Reuters reports, citing an internal memo.
Maini, who joined the international banking giant, joined Citigroup in 2010, and led the bank’s digital assets efforts since 2021. Per Lee Smallwood, head of markets innovation and investments at the bank, Maini will “pursue an entrepreneurial opportunity in the digital asset space,” though the exact firm was not revealed.
Following Maini’s departure, Deepak Mehra, currently the international lead for Citi markets’ strategic investments, will assume leadership of the digital assets division within the markets unit, according to the memo.
Citigroup explores blockchain and tokenization
While Citigroup has not engaged directly in the cryptocurrency market, the bank has focused on exploring tokenization solutions and blockchain technology. For example, in 2023, Citigroup became the first digital custodian participant in the BondbloX Bond Exchange, a blockchain-based bond trading platform. The bank stored the underlying bonds issued and traded on the exchange as fractionalized assets.
Earlier, Citigroup collaborated with Wellington Management and WisdomTree to demonstrate the feasibility of issuing and managing tokenized private equity funds within a regulated framework, ensuring these digital assets are compatible with the bank’s existing systems.
Franklin Templeton, a $1.66 trillion asset manager, has announced the launch of its money market fund on Arbitrum.
The Wall Street giant said in a press release that the Franklin OnChain U.S. Government Money Fund FOBXX is now available to investors on Arbitrum (ARB), an Ethereum (ETH) Layer 2 blockchain. With this launch, FOBXX expanded to three blockchain platforms, after already available on Stellar (XLM) and Polygon (MATIC).
Expansion a key step for Franklin Templeton
Franklin Templeton and the Arbitrum Foundation are collaborating to bring the tokenized fund to investors via Benji Investments, a blockchain-integrated platform run by Franklin Templeton. Notably, this will be available through digital wallets on Benji, with eligible investors also able to access the fund on the Arbitrum network.
“Franklin Templeton’s commitment to innovation aligns with our mission to provide scalable and efficient solutions for the financial sector. We are excited to see Franklin Templeton join the Arbitrum ecosystem and look forward to the transformative impact their participation will bring to our community,” Steven Goldfeder, co-founder and chief executive officer of Offchain Labs, said in a statement.
“Expanding into the Arbitrum ecosystem is an important step on our journey to empower our asset management capabilities with blockchain technology,” Roger Bayston, head of digital assets at Franklin Templeton, added.
BlackRock and Ondo Finance
FOBXX launched in 2021 and is a U.S.-registered fund that leverages public blockchains for transaction processing and ownership records.
According to data from rwa.xyz, FOBXX has a market cap of $412 million as of Aug. 8, behind BlackRock’s USD Institutional Digital Liquidity Fund. BUIDL tops the Treasury products ranking with over $510 million, while Ondo Finance’s Ondo U.S. Dollar Yield, or USDY, is the third largest with $299 million.
Franklin Templeton continues to take significant steps in the adoption of blockchain technology since launching its digital assets unit in 2018. Currently, the company has node validators and has launched multiple crypto products, including a spot Bitcoin ETF with over $363 million in net assets.
“Party Like It’s 1999,” sang Prince Rogers Nelson, because on June 1, 1999, a new computer software service would forever change how music was distributed, consumed, and even written. Napster was a peer-to-peer file-sharing service that quickly gained popularity among music fans—since its launch in May 1999, it had gathered over 20 million users by March 2000—looking for a way to share and download music online for free. The cataloging software, created by Shawn Fanning and Sean Parker, searched your computer’s hard drive, listed all the MP3 music files contained in it, and allowed anyone else using the service to share and play those files.
Napster’s popularity was short-lived as its ultimate demise resulted from its legal troubles stemming from cybercrime: file sharing and piracy. According to the Recording Industry Association of America (RIAA), the company’s computer software facilitated copyright infringement and filed a lawsuit against Napster. Napster was ultimately shut down in 2001. Nevertheless, Napster’s technology had a profound impact on the music industry by paving the way for other P2P file-sharing services, which helped to popularize the idea of downloading music online, which gave rise to the concept of the first virtual currency for peer-to-peer systems: Karma. Karma was introduced in 2003 as a way to pay for P2P file-sharing services.
Magic internet money—Karma
The co-founder of the first internet money—way ahead of Bitcoin (BTC)—was a virtual currency called Karma, designed by Dr. Emin Gun Sirer, who is also the founder and CEO of Ava Labs. Dr. Sirer explained that the emergence of the internet and, subsequently, the World Wide Web marked a pivotal shift from isolated, local computing to global-scale computing:
“Architecturally, we transitioned from standalone computers to a ‘client-server architecture,’ which enabled us to connect to remote services operated by others to leverage their programs and capabilities. This new paradigm gave rise to digital services that catered to the entire world, created millions of jobs, and solidified the U.S.’s position as a global economic leader.”
Dr. Sirer added, “I built a system called Karma for ensuring that people who participate in peer-to-peer file sharing networks don’t just leech. They don’t just take resources from the network, but they also donate resources. So everybody was downloading files, nobody was putting up files for upload. And so my solution to this was, what if there was some magic Internet money that nobody controlled that you needed to use to download files? And if you ran out of it, then that would put an end to your leeching ways and you would now put up some files to get your Karma back.”
Ava Labs is a software company founded in 2018 that is headquartered in Brooklyn, New York, whose mission is to tokenize the world’s assets on the Avalanche public blockchain and other blockchain ecosystems. This includes tokenizing the music industry with music NFTs.
Music NFTs
Dr. Sirer explains that blockchains represent the next phase in the evolution of networked computer systems by facilitating many-to-many communication over a shared ledger. This allows multiple computers to collaborate, achieve consensus, act in unison, and build shared services in the network. In turn, this enables the development of unique, secure tokenized assets, such as music NFTs, among many other innovative applications.
By harnessing the power of blockchain technology, which records the copyrights to ownership of the music that cannot be changed, the Avaissance program music NFTs give musicians a new universe of creative and financial options. They expand the range of music they can make by allowing them to sell music NFTs directly to fans via an NFT marketplace. Dr. Sirer points out that there are different types of tokens.
A real-world asset
A token can be the direct or indirect representation of a traditional asset. For example, numerous musicians are currently publishing complete songs and albums as music NFTs or selling their fans NFT concert tickets. While music NFTs offer exciting opportunities for artists, they raise copyright and intellectual property concerns. When artists tokenize their music, they must ensure they have the right to do so. Smart contracts, a key component of music NFTs, automate the payment of royalties to creators each time their tokenized music is resold. This feature is a game-changer in an industry where musicians often lose out on resale profits. Smart contracts simplify the process of compensating musicians, but it also raises questions about how different types of music royalties should be calculated and distributed fairly.
A virtual item
A token can represent a piece of digital art, including a musician’s album cover, poster, and show photographs; a collectible in the form of a musician’s autograph; a gaming skin; videos of virtual concerts or tracks; virtual artist meet and greet experiences; and more. These digital assets can be tokenized into music NFTs to be traded for a profit. These can be varied in function and form as well. They can range from simple non-programmable pictures of the musician, a common use of NFTs, to complex assets, some used in virtual concerts, that can encode all sorts of functions and features of the asset directly inside the asset itself.
Pay-for-use
Public blockchains constitute shared computing resources that must be allocated efficiently. A token is the perfect mechanism to meter resource consumption and prioritize important activities. Such tokens are sometimes known as “gas tokens.” For example, BTC is the gas token of the Bitcoin blockchain, ETH for Ethereum, AVAX for Avalanche, and so on. Without gas or transaction costs, a single user or small group of users could potentially overwhelm the blockchain, similar to a denial of service attack, making the blockchain unusable.
Musical entertainment in the metaverse
Sebastien Borget, COO and co-founder of The Sandbox, a culture and entertainment platform based on the Ethereum network, explained that he established a new web3 arena for musical entertainment in the metaverse called ShowCity that is home to The Voice and other TV shows. ShowCity is also home to music industry heavyweights such as Snoop Dog, Steve Aoki, Chainsmokers, and Warner Music Group—the first major music firm to enter into the metaverse with its top recording artists like Bruno Mars, Twenty-One Pilots, Ed Sheeran, Madonna, Metallica to hold virtual concerts and other musical experiences.
ShowCity offers musicians exclusive digital and physical perks—such as tickets to live tapings of The Voice—if they purchase a LAND in ShowCity in exchange for The Sandbox (SAND), which was deemed a security by the US Securities and Exchange Commission last year.
Snoop Dogg, tweeting about Sandbox Land Sale Prices: “That’s a bargain.”
Musicians create avatars, digital versions of themselves, to hold virtual concerts, selling millions of dollars in tickets and NFT merchandise. All items acquired in The Sandbox are 100% owned by the musicians themselves, creating revenue opportunities.
Sebastien Borget indicated that ShowCity brings the open metaverse one step forward in the direction of sustainable fan-owned and community-driven musical entertainment initiatives with its partnerships with non-profit foundations supporting social, environmental, and climate causes.
Potential legal challenges to the tokenization of music
As musicians are turning to tokenization of their music, holding metaverse concerts, issuing collectible NFTs, and collectors are investing in music NFTs, they should bear in mind that the tokenization of the music industry comes with potential legal challenges and financial quagmires. These include issues concerning copyright, taxation, security classification of gas tokens, AML concerns for metaverse land sales, sanctions compliance, artist royalty, environmental footprint challenges to music NFT and metaverse platforms, and other matters that could complicate the music NFT landscape.
Jonathan Cutler, senior manager at Washington National Tax, Deloitte Tax LLP, said that,
“The final digital asset reporting regulations, published at the end of June, keep NFTs in scope for Form 1099-DA reporting. The rules include a reporting threshold of $600 for sales of ‘specified’ NFTs—NFTs that are indivisible, unique, and do not reference certain excluded property. Where sales exceed $600, a digital asset broker may report the NFT sales on a single Form 1099-DA for the year rather than separate forms for each sale. These regulations make no comment on treatment of certain NFTs as collectibles for tax purposes. The April draft Form 1099-DA, which is pending redraft for the final rules, also included no reference to collectibles.”
Mantra token price rose slightly on Friday as its staking reward neared its all-time high and as traders prepared for the next altcoin rally.
The Mantra (OM) token was trading at $1.2, up by 8% from its lowest level this week and 1,700% above the year-to-date low. This rally happened as investors predicted that Real World Asset (RWA) tokenization would be the next big thing in the blockchain industry. Mantra has positioned itself as the biggest infrastructure project for RWA.
Mantra has already made some wins in the past few months. For example, the developers inked a deal with a large Dubai-based real estate company to tokenize some of its projects.
The OM token has also done well because of its recently announced Genesis Drop, which will see qualifying users receive 50 million tokens. Some of the qualifying members are Mantra’s NFT holders, early ecosystem contributors, and active community members.
Mantra has also risen because of its higher-than-average staking rewards. Data by StakingRewards shows that almost 50% of all OM tokens in circulation have been staked while the number of Mantra wallets has risen.
Mantra price and staking rewards | Source: StakingRewards
Recently, Mantra’s staking reward has been growing and is now sitting at a record high of 21.21%. This reward means that, all factors constant, $100,000 invested in OM will make $21,200 annually.
Mantra has the highest staking reward among the top cryptocurrencies. Toncoin (TON) yields just 2.56% and has a staking ratio of 25.23% while Tron (TRX) yields 4.15% and Avalanche has a 7.95% yield.
Unlike most cryptocurrencies, Mantra will not see substantial dilution since the current circulating supply of 837.5 million tokens is near its maximum supply of 888 million tokens.
Meanwhile, some analysts believe that the crypto industry could see another altcoin breakout in the coming months. In an X post, Ki Young Ju, the founder of CryptoQuant, noted that limit order volume for altcoins, excluding Bitcoin (BTC) and Ethereum (ETH) was rising.
A potential catalyst for cryptocurrencies and stocks is the Federal Reserve, which is scheduled to start cutting interest rates in September. Odds of a cut rose after the US published weak jobs numbers, with the unemployment rate rising to 4.3%, its highest point since 2021.
Ripple will allocate $10 million into tokenized U.S. Treasury bills that Asia’s largest tokenization platform OpenEden plans to issue on the XRP Ledger.
According to a Thursday press release, this will be the first time the short-term U.S. government debt, backed by U.S. Treasuries and collateralized reserve repurchases, will be available on the XRP Ledger to XRP (XRP) holders.
Ripple to unveil fund to invest in tokenized assets
Ripple stated in the press release that its investment in OpenEden’s tokenized assets will be through a newly created fund. Although the company has not disclosed specific details about the fund, it did note that $10 million from this fund will be invested in OpenEden’s TBILL tokens.
This investment is part of a larger strategy Ripple is pursuing related to tokenized T-bills and the broader Real-World Assets (RWA) market.
“OpenEden’s tokenized US Treasury bills represent another exciting example of how all types of real-world assets are being tokenized to drive utility and new opportunities,” Markus Infanger, senior vice president at RippleX, said.
The introduction of T-bills on the XRP Ledger strengthens the growing RWA tokenization market, the RippleX senior VP noted.
Mint TBILL with stablecoins
OpenEden, which holds over $75 million in total value locked for its U.S. T-bills, announced that users will be able to mint TBILLs using stablecoins. This will include Ripple USD, a U.S. dollar-pegged stablecoin that Ripple plans to launch later this year.
Currently, the top stablecoins in the market are Tether’s USDT and Circle’s USDC.
Real-world assets market
Tokenization is an expanding market as more financial securities and other real-world assets are brought on-chain. The benefits of blockchain technology have attracted significant players, including BlackRock, who have brought millions of dollars’ worth of traditional assets on-chain.
While Ripple is poised to welcome its first tokenized U.S T-bills, the company has seen traction in the RWA space with recent developments.
According to Team Ripple, XRP Ledger’s support for automated market makers, lending protocols, native oracles, and decentralized identifiers are some of the features that make the open-source blockchain crucial to the RWA and DeFi markets.
This year’s NFT.NYC was different. Since its launch in 2019, NFT enthusiasts and industry players have come together here to learn more about the latest trends and innovations in the space. The event is all about celebrating the impacts and potential of NFTs with a clear mission to drive mainstream adoption. As such, the level of excitement and investment around the event can be seen as a barometer for the state of the NFT landscape—and this year’s event was quiet.
Far less capital was spent on activations and booths, and the show floor felt muted—even more so than the 2023 event, which itself was markedly quieter than 2022. There were still some interesting projects there, but the energy was lacking and it felt very different to the excitement and conversations I’ve had at recent events like Token2049 Dubai and GDC.
Are NFTs dead?
Back in 2021, NFT.NYC was a remarkable spectacle that was dubbed the “Crypto Coachella” and “Super Bowl” of the NFT world. Steered by immense excitement and anticipation, it drew attention from all corners of the globe with its dazzling celebrity endorsements, extravagant marketing campaigns, and eye-popping multi-million dollar art sales that illuminated billboards across Times Square. The event reflected the thriving market when trading volumes surged to $17.6 billion. That said, that era was also reflective of speculation and blind following of profits that led to many users being burned by the greed of bad actors and projects that lacked substance.
So, does this shift mean NFTs are dying? Not at all. This year’s event reflects a shift within the crypto industry for the better. NFTs have matured: no longer a speculative fad, they have been subsumed into the wider verticals of the crypto industry, negating the need for an NFT-focused event; people have moved on to discuss tokenization in gaming, finance, property, and more. NFTs no longer have to boot-strap their own infrastructure; instead, they can tap into the robust systems and scalability offered by established crypto ecosystems.
Shifting tides
What’s changed? The NFT market crashed during the crypto winter of 2022. Digital collectibles, as a use case, claimed the term ‘NFT’ and became the sole application in everyone’s mind when they think of ‘NFTs.’ Their association with “expensive digital images of monkeys” and overpriced JPEGs gave the industry a bad name. Without the aggressive speculation driving them, digital collectibles are no longer as popular; the feverish buzz around collectible NFTs has fizzled away.
Total number of sales involving NFTs in the art segment worldwide | Source: Statista
According to Statista, NFT sales volume in the art segment decreased by over 30% from April 2021 to April 2024. The downturn in October 2023 saw the NFT market experience a significant decline, causing floor prices to plummet, marking an 83% decline from its peak.
NFT market maturation
The purpose of NFTs has shifted, and we need to reclaim the term away from collectibles and move the conversation toward practical use cases.
One of the most exciting is the tokenization of financial and real-world assets. As of December 2023, the Total Value Locked (TVL) in tokenized RWAs exceeded $6.5 billion. The financial industry is leading the way in RWA adoption with the tokenization of financial instruments. This year, we’ve seen players such as Blackrock and Franklin Templeton flicking the switch.
People are also excited by the prospect of asset tokenization to represent ownership assets, including real estate, art, stocks, and more. Think about the division of a real estate asset into tokens. Fractional ownership of the property is now feasible. For instance, if 1,000 tokens signify 1% ownership each, investors can engage in trading these tokens on blockchain platforms, thereby improving liquidity and streamlining ownership transfer processes.
In gaming, NFTs have redefined digital ownership, allowing players to truly own virtual assets such as characters and weapons. These NFTs can be bought, sold, and traded in vibrant marketplaces, generating real value—particularly when ‘dynamic’ NFTs are used, allowing the gamer to upgrade their items as they are used in-game. Cross-platform compatibility adds to the appeal, enabling seamless transfers between games (though there are other challenges to be solved in this area before it goes mainstream).
The shift from hype and speculation to integration within the wider crypto space serves as clear evidence of the maturation of NFTs. This transformation brings tremendous advantages, such as leveraging existing infrastructure, and scalability, and fostering collaboration and innovation. As NFTs continue to diversify and find new applications, their role within the crypto space will solidify. The future of NFTs is filled with promise, as their sustained growth and integration pave the way for a thriving ecosystem.
