The Role of Non — Fungible Tokens In CircleSpace Ecosystem
Adoption and uses of NFTs in real world will come true only in few years.NFT (Non-Fungible Token) offers unique characters that make them digitally different and rare. Many tokens, and even cryptocurrencies, can be counted. If you send Bitcoin and get Bitcoin back, you won’t notice the difference.
In many ways, countable tokens are constructed using a standard called ERC-20. Let’s imagine each token a $ 10 bill. If you send a token to someone and get it back one week later, the token will be similar (although there will be price fluctuation). This all changes with NFT tokens, most of which are ERC-721 based. NFT tokens can be compared to baseball cards, each of which has unique information and a different rarity level. If you accidentally send one of these tokens, and then get a different ERC-721 token, you will be very disappointed.
There is another, more important difference. Countable tokens are divisible, meaning you can send a fraction of an ERC-20 token.It’s like cash, where you can take a $ 10 bill and get change. On the other hand, NFT tokens with ERC-721 cannot be divided and must be purchased or sold as a whole. Like a baseball card, no one is interested in buying a half card.
As the world begins to change from paper, proponents believe that there are many examples of uses for NFT tokens apart from being collectibles. For example, these tokens can be a safe and lasting way to guarantee, copyright — even artwork and proof of property ownership. These real assets can be digitized and stored precisely in a wallet, keeping them safe and ensuring they cannot be altered or faked by third parties.
Today, NFT tokens are expensive and complex to implement. Sometimes it can take months to develop a DApp, and in the fast-paced world of blockchain, the costs compete with the benefits.
But with the recent DeFi trends, we saw a great opportunity that the adoption and uses of NFTs in real world will come true only in few years, might 2–3 years to go.
The Role of Non — Fungible Tokens In CircleSpace Ecosystem
The early pioneer of NFT tokens was CryptoKitties, a blockchain platform where players have the opportunity to collect and breed digital cats. If you have a cat, you will find that they are not easy to replace because of their unique appearance and personality. In this sense, CrytoKitties is replicating this concept in the crypto world, with each cat’s digital genetic material stored on the blockchain.
This will not be much different from what we did, we made a Non-Fungible Token as proof of ownership of a property asset or proof of involvement in a property project. Today, business in the property sector is controlled and handled by a corporate agency or people with big capital. This triggers the creation of an Oligopoly market and is increasingly closed for small investors to enter the business and property market. On that basis, we created NTFs which are back-up by property assets so that everyone can enter into this business without any constraints on capital and geographic location.
Advantage Of The NFTs That Created By CircleSpace
There are several advantages offered by the NFTs that we will create, but we will highlight 2 main ones.
- The first is Snapshoot Profit Sharing. By utilizing the NFT as proof of ownership of a property asset, the profit sharing process from the profit obtained by the property asset becomes very easy and transparent. We just need to snapshoot of NTFs holder via the blockchain network.
- The second one, by using NFT as proof of ownership of a property asset, the process of buying and selling property assets is easier, not limited by geographical position. All NFTs we create will be registered and can be traded very easily on our own platform.
