In November 2019, the NFT laboratory jointly established by the NFTT Foundation and the founding team member of CryptoKitties Bryce Bladon, after months of discussion and exploration, announced the development plan for the latest phase, focusing on the research related to the circulation of NFT assets.
NFT (abbreviation of Non-Fungible Token) is a non-homogeneous token. Each NFT has a unique and unique identity, which is not interchangeable and indivisible. This uniqueness is uniqueness. NFT can represent many unique species no matter in the digital world or in the real world. This feature can meet the deep spiritual needs of human beings for scarce products, which makes NFT become Carriers and vouchers for the digitization of scarce assets and transactions of digitized scarce assets.
The greatest potential of NFT is to reshape liquidity and value estimation. The actual circulation of artworks has the following limitations:
1) Artwork must first be verified for authenticity, and blockchain technology guarantees the authenticity of digital artwork;
2) The price requirements for artworks are high, and a large number of artworks of medium value are submerged;
3) The audience of traditional artworks is very small, and they are sold through auction houses, and the coverage of users is limited;
4) Many works are difficult to sell separately, such as a gallery, it is difficult for traditional auctions to price each picture. Therefore, NFT reduces the transaction cost of digital art and greatly improves its liquidity.
Through the advantages of blockchain technology, such as information on the chain, non-tamperable content, traceable records, etc., NFT-based digital artwork solves the confirmation of the copyright of its work (the copyright information is recorded in the NFT), and the control of the number of works issuance and circulation (Set up circulation rules to restrict its trading and transfer) and piracy prevention (tracing transaction records to prevent random copying) and other issues. Moreover, NFT strengthens the liquidity of digital copyright and IP value, provides better interaction and commercialization methods, provides richer display methods for IP, and strengthens the vitality of IP. In addition, NFT can also put digital copyright and related works on the chain to realize the liquidity of IP value. At the same time, the sharing agreement can be written into the smart contract to realize the sharing income during the resale of digital art, providing a new kind of business And stimulate the creative ecology in the field of digital art.
In the capital market, we often encounter a phenomenon-book value and fair value. For example, a company purchased a real estate for 1 million 10 years ago and included fixed assets by cost method, depreciating 50,000 per year. After 10 years, the fair value of the real estate is 2 million, but the book value is only 500,000. We found a difference of 1.5 million between its fair value and book value. In the capital market, many fixed assets and intangible assets are included in their book value, and their fair value is difficult to measure in traditional transactions (usually asset securitization, transactions, etc. can be revalued). NFT helps digital Revaluation of intangible assets.
At present, most of the right confirmation process uses a centralized registration method for user confirmation, which often involves complicated procedures in the transfer and enforcement of rights. NFT Lab provides a digital “key” that can be easily transferred and exercised, and a series of corresponding permissions can exist outside the centralized service or centralized database, which enhances the efficiency of data asset transactions and circulation .
I believe that with the continuous improvement and optimization of the NFT laboratory, the NFT technology developed by the NFT laboratory will bring changes in related fields such as digital art. I also believe that the advancement of technology and mechanism can better carry the artistic value of NFT.