Practical uses of NFT in the near future
The past year has seen a significant increase in public interest in non-fungible tokens, or NFTs. Artists were selling digital art, and investors were getting bigger returns on their investments (return on investment). While the auction began with a starting bid of $100, The Artist Beeple (Mike Winkelmann) sold his piece “Everydays: the First 5000 Days” at Christie’s for 69.3 million dollars. NFTs have existed since the summer of 2015, while only coming to the attention of the public in 2021. The creation of virtual art is the sole widespread application of NFTs at the moment. However, the technology has a wide range of applications and will quickly disrupt a wide range of sectors.
Here you can see some practical uses of NFTs in the near future:
Digitalization of the real estate industry
The bureaucratic tasks associated with real estate transactions typically require the buyer, the seller, and a number of governmental organizations to put in a lot of physical labor over an extended period of time. Working hours and transaction costs will be cut by the real estate industry’s transition to digital.
In the upcoming years, it may be anticipated that non-fungible tokens would simplify a number of laborious tasks. Digital proof of ownership will be offered thanks to NFTs. To enable the transfer of properties from one legal individual to another, NFTs rely on smart contracts. Smart contracts could be used to transfer properties without the need for a notary. NFTs also frequently include automatic payments, allowing the seller to retain possession of the property until full automatic receipt of the full payment amount. The public ledger of the Ethereum blockchain would make it easier for government officials to update the land registration with a change in ownership (Grundbuch).
The public ledger would also make it possible to securely store previous information about the property. The data would then be unchangeable and accessible to the general public. As a result, prospective tenants and buyers would have access to as much information as possible before deciding whether to rent or buy a piece of property.
Tokenization of medical records
According to the law, doctors and medical facilities must save personal information and medical records for 10 years, while x-ray images and records of specific treatments must be kept for thirty years. The movement of medical records from one treatment center to another frequently necessitates time delays and physical labor on the part of administrative clinic staff.
NFTs could be utilized to securely retain patient personal information and medical data much over the authorized ten-year retention term without endangering the patients’ privacy. Additionally, birth certificates might be kept as NFTs, ensuring the document’s permanence (also enables government officials to identify homeless people more easily). Similar use cases might be used for the secure storage of academic credentials, as well as patents and intellectual property, to prevent fraud and tampering with the papers and certificates.
Tracing of goods in the supply chain and post-sales
High levels of supply chain transparency are required in many different industries, particularly for luxury items. NFTs have the necessary characteristics to give producers the ability to follow their shipped items along the entire supply chain.
The NFT will function essentially as an immortal tracking number. The business will develop a digital representation of the item on the Blockchain, which will then be used to securely record all data relating to the product, including its origin, transport details, as well as prior owner and sales information (the NFT can also include information on sales prices for transactions).
Additionally, the programmer can add a built-in kickback or royalty to the creator or initial seller of the products, which could result in recurring sales of actual goods. The NFT can record data on repairs, refurbishments, and restorations in addition to acting as a way of product authentication. Companies in the food industry will be able to pinpoint the precise location of their products thanks to the tracking of commodities across the supply chain.
Revolutionizing the event and ticketing industry
The Ethereum Blockchain might be used to represent real tickets by minting and tokenizing them. Numerous clearly visible benefits, including the maintenance of ticket authenticity and a decrease in the number of tickets sold and traded on the black market, would result from this. Nowadays, the majority of tickets are not transferable, necessitating the distribution of resale tickets on the underground market. As a result, the host or organizer won’t be aware of some people’s personal information, which creates a serious security risk.
Additionally, the code may incorporate a kickback and royalty function for any additional transfers, allowing the organizer to profit from ticket holders’ resale activity. The tokenized tickets can also be used to monitor attendees’ shopping habits while they are at the event. This will give the organizer the ability to customize digital marketing and retargeting efforts to the specific ticket holders, which will ultimately result in increased permanent income and further growth. People frequently collect event tickets, either because they are exceptionally uncommon (Michael Jordan’s final game as a professional), because of the design (artwork on the tickets), or because they serve as souvenirs. Old tickets can be stored and sold again indefinitely when using NFTs as a ticket replacement. Also explore how musicians can use NFT.