What Are the Big 5 NFT Use Cases?

What Is NFT?

NFT refers to Non Fungible Token, Non Fungible Token is a unique digital asset. Compared with Bitcoin, each Non Fungible Token is unique and cannot be exchanged equally. NFT can be collectibles, art, gaming, virtual assets, and real-world assets.

What Are the Big 5 NFT Use Cases?

Collectibles

When it comes to NFT use cases, collectibles are one of the most popular applications. NFTs are simply converting collectibles into digital format. CryptoKitties is one of the most notorious examples of collectibles. Developed by Canadian studio Dapper Labs in 2017, CryptoKitties is a blockchain game on Ethereum, the most expensive NFT collectible. it sold in 2017 is 600 ETH.

Art

NFT perfectly solves the problems of artwork forgery and copyright infringement. NFTs can prove authenticity and ownership pretty easily for arts, it means the creators can validate the arts and earn money from it.

according to Sotheby, NFT also allows collectors to evaluate digital art in a manner similar to physical art.

Gaming

Here we come to the other use case of NFT, NFT enable users to exchange the in-game item easily and record all users’ stats and achievement in games. NFT allows game creators to better enhance the user experience and create additional value for players in the game

Virtual assets

It’s possible to tokenize Virtual assets like digital real estate and other in-game NFT items, such as digital real estate in Decentraland, a virtual reality platform powered by the Ethereum blockchain, it's fully controlled by the users and permanently owned by the community.

Real-world assets

Another use case for NFT is to tokenize real-world assets like licenses, qualifications, birth and death certificates, real estate rights, and more. NFT enables people to exchange directly with each other or convert the real-work assets to digital assets without any intermediaries.