The term non-fungible means something that is unique or one of its kind. The main difference between a cryptocurrency and NFT is that NFT has its own unique value. For example an artist may create three separate NFTs of the same piece of art and all the pieces could vary in price.
This authenticity for each NFT is possible because each token has a verifiable transaction log and metadata that can help prove the history of ownership. Blockchain provides the security for these tokens, keeping all this data safe and almost unfeasible to replicate. This authentication provides endless possibilities for the business world.
NFTs are generally being used to authenticate works of art and other types of collectibles also. To elaborate, Twitter co-founder Jack Dorsey sold his first tweet as an NFT in a charity auction. Hence, the buyer of an NFT will not necessarily acquire the copyright, although this is quite possible.
Thus, the main features include:
- NFTs are not interoperable, in simple terms one NFT cannot be exchanged for another one.
- It is not possible to replicate ownership of these tokens which simply means that the buyer owns the NFT and not the companies that create them.
- They are indivisible, they cannot be split into further smaller denominations and they exist exclusively as one whole item.
- NFTs are completely verifiable because they store historical ownership data, so they can be easily traced back to the original creator.
- The technology is indestructible because all NFT data is stored on the Blockchain with the help of smart contracts. Each token cannot be removed or destroyed.
Is the Value of the NFT sustainable?
From the moment the NFT craze caught fire, the discussion that started was, will screenshots of tweets or other digital media which are easily accessible by anybody continue to be sold for millions of dollars of an NFT? Maybe not, as ultimately the value of an NFT is determined by the buyer and so those values will fluctuate. Looking at a broader aspect, the authentication factor NFTs showcase could one day provide value for venues, travel and certain forms of documentation.
At RubiX NFT is built on Future Proof Blockchain. RubiX offers the world's most powerful NFT platform including tokenization of physical assets.s.
RubiX is upending the NFT landscape with a unique irreplaceable solution that’s built on the RubiX blockchain as compared to most that are built on the Ethereum blockchain, which is susceptible to security risks and problems like theft or loss of withdrawal keys.
At RubiX, NFT is incorporating proprietary HiDE Technology by Hi Density Image Embedding to make forgery of the digital asset impossible, so buyers can be sure that their digital asset can’t be copied.
The digital assets used for a RubiX NFT are stored on-chain, on the RubiX blockchain, not on a centralized server. This means ownership of the digital asset can’t be accessed by other parties and satisfies the condition of true ownership of the asset. In off-chain NFTs, the owner simply has a certificate of the digital asset.
NFT ownership is backed by RubiX’s proprietary patented technology and is associated with the user’s Passwordless Digital Identity (DID) allowing NFT access using biometric authentication and preventing the loss of keys.
Every NFT on the RubiX blockchain is enabled with the DRM (Digital Rights Management Keys), meaning the owner of the NFT is able to sell, rent or license the NFT for monetization.
Rubix NFT keeps the quality of digital assets intact since our proprietary technology does not require compression of creating NFTs
RubiX offers the only NFT technology available at this time for tying physical assets to digital ones. With RubiX, when you buy a twin NFT, you own the full digital and physical asset, not just the NFT. Rubix provides real immutability.
At the moment, the art industry is far ahead when it comes to NFT adoption but any use case that requires a property like verifiable authenticity is a possible candidate for NFT-ification. However, adoption is still slow among more traditional industries.
We see quick adoption among industries that encountered significant issues like the ticketing industry and academic credentials. These are good examples of industries that will benefit from using NFT technology in the foreseeable future.
“Right now, there is an estimated 78 trillion dollars of non-bankable properties in the world, inclusive of fine wine, rare stamps, real estate, and other such collectibles. NFTs might be able to provide the answer for untying this liquidity by getting these assets on-chain and authorizing for an easier and verifiable transfer of ownership.” Blockchain Council https://www.blockchain-council.org/blockchain/real-world-used-cases-of-nft/