Non-fungible tokens, or NFTs, are the most recent popular cryptocurrency phenomena. It seems to have arrived on the scene with a vengeance this year. If you’re intrigued by what we are talking about, continue reading.
Here is all you need to know about NFTs, including what they are, their use cases, and how they may benefit you as an aviation professional.
What Exactly Is an NFT?
NFT means Non-Fungible Token. It is a digital asset that reflects physical objects in the real world, such as artwork, music, in-game items, and videos. They are widely purchased and sold online, typically in exchange for cryptocurrency like AERO token, and are generally encoded using the same underlying software as many other cryptos. These “one-of-a-kind” digital assets have a unique set of characteristics that may be purchased and sold like any other property, but they have no physical form of their own. Digital tokens like the AERO token are used as certificates of ownership for these virtual assets.
A fungible asset, on the other hand, is anything that may be readily exchanged, such as money. A ten-dollar bill is equal to two five-dollar bills. But if you give a one-of-a-kind piece of art to someone, you expect to get the same exact work in return, which is referred to as non-fungibility. Therefore, if something is non-fungible, it is impossible to exchange since it has unique characteristics that prevent it from being interchanged with another.
An NFT enables the buyer to keep the original item since it has built-in authentication, which is evidence of ownership and most collectors prefer those digital bragging rights over the thing itself.
What are the Use Cases of NFT?
Over time, numerous theories have emerged on the blockchain-based uses of non-fungible tokens. However, NFTs are evidence of ownership of particular assets on the blockchain. NFTs can only allow people to claim assets that they control exclusively. NFTs have a long future ahead of them, and they will be used more in the future.
NFTs are also useful in a number of business blockchain use cases, too. Make certain you don’t underestimate their skills for verifying originality and information scarcity on internet platforms. In light of that, let us move on to the various non-fungible token use cases as follows.
When it comes to sports, piracy and fake goods are major problems. To solve problems without complexity, blockchain is an excellent option. The immutability of blockchain technology helps to avoid counterfeit items and tickets.
In other words, this particular instance demonstrates how NFTs are important for the sports business. Each ticket has data that is unique to the tickets registered owner on the blockchain. Many successful athletes are using tokens to tokenize themselves. Token success is dependent on their performance.
Collectibles also constitute a prominent use of non-fungible tokens. Cryptokitties was one of the first ways people heard about NFTs. As a matter of fact, cryptokitties gained popularity in 2017 because of its Ethereum network congestion.
They are digital kittens that users may breed and make unique kittens. They are more attractive because of their different fur patterns and eye colors. To breed two cats of the same kind, the two options are a Sire and a Dame. The new kitten has its own identity and Genetic Algorithm. the limited genetic composition dictates the worth of CryptoKitties.
Furthermore, the number of times the Sire is used to breed additional kittens impacts the value of crypto cats.
- Digital Art
Art may be programmed for any use case in which creativity and technology intersect. Blockchain may enable artists to make paintings that adapt to the price of blockchain-based digital assets.
NFT lend itself to tokenizing legacy art forms, including real-world objects and artwork. Using blockchain and the Internet, people may scan a code on a tag on an artwork and register ownership of the artwork on a blockchain. As a result, the customers could see their previous artwork purchases and ownership.
- Certifications and Licenses
Additionally, NFT use cases may provide significant advantages for licensing and certification verification. Successful applicants are often awarded course completion certificates, as well as any other degree or license, in either digital or physical format. Before offering a job in a business or institution, universities and companies need copies of the course completion certificate as references.
Admins may save significant time by using such licenses with NFT functionality. NFT-based certificates and licenses alleviate the burden of record checking and verification. Additionally, the method simplifies the process of maintaining proof of course completion or license.
So as you can see, the non-fungible token is proving to be very significant in a wide range of sectors. Crypto cats have had a significant effect on the rising popularity of NFTs. In the gaming business, NFTs are used to implement various solutions.
Blockchain and tokenization of assets are used in other sectors as well. NFT tokens allow for the industry-specific implementation of blockchain, which furthers NFT token adoption. Blockchain will drive the usage of NFTs as a supplementary measure for storing personal data or for choosing a crypto address. NFTs represent a future where individuals may utilize blockchain and cryptocurrencies in everyday activities without knowing.
NFT Pilot Certifications, the First in the Aviation Industry
For one-of-a-kind assets, such as certificates, which by definition include valuable data, blockchain-based management is the best option. The technology enables greater data management, dependability, and broad access to publicly available data. Blockchain technology that enables unique imprints on tokenized certificates enables transparent asset tracking and provenance verification.
Additionally, blockchain-based certification transcends the stamps and signatures seen on traditional paper certificates. It enables the absolute verification of the existence, validity, and ownership of digital assets at any time and in any location. Due to the chain dependence between new and older blocks, it is difficult to change (or tamper with) issued certificates anonymously. The issuer or certification provider, on the other hand, retains the ability to make changes through a new data block.
This method will not prevent non-accredited certifiers from entering the blockchain-based certification market. The provenance of dubious or suspicious papers may be tracked back to the issuer and compared with the industry for their status and references.
As to the aviation industry, Aerovek, a Social Marketplace, will launch its pilot certification as an NFT, making it the first in the industry.
Professional users can request verification for specific certificates they own, and the Aerovek team will personally verify the certificate. This provides users looking to hire professionals with the assurance that they are doing business with a reputable individual. Once verified, the professional receives their own NFT displaying their certificate on the public blockchain, which anyone at any time can search and verify. The “Check Icon” badge will be shown next to every verified users name.