Does NFT technology have a place in the future of society?

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Like many, I first heard about NFTs in late 2021. Looking past the monkey pictures and various pixelated animals, I found the technology attractive for digital authentication. I could see how it could be helpful as our world goes more digital and the benefits of digital tokens for real-world assets.

Of course, NFTs are much less popular lately, and most have accepted that they were a fad, but I still find the use cases appealing. I am going to provide some ways in which they would be useful beyond just art. Feel free to let me know if I am delusional lol. I also wonder which industries could potentially benefit most

Quick explanation of NFTs for those who don't know

NFTs, or non-fungible tokens, represent unique cryptographic assets built on blockchain technology. Their distinctiveness makes them non-fungible, setting them apart from interchangeable assets like a one-dollar bill, a piece of gold, or a bitcoin. Unlike traditional finance systems, NFTs operate on decentralized finance (DeFi), fostering peer-to-peer interactions without intermediaries. These digital tokens extend beyond their initial applications in digital art and collectibles, finding potential use in various industries such as fashion, sports, finance, and real estate. Despite facing growing pains, NFTs serve as a means to generate income by digitizing assets, capitalizing on intellectual property, and confirming the legitimacy of physical assets online. While acknowledging the technology's challenges, NFTs provide a practical tool for establishing the authenticity of unique, collectible, and valuable items in the digital realm.

Identification, certification and documentation

The identity or certification can be issued directly over the blockchain as an NFT that can be traced back to the owner. Employing NFTs to digitally store and protect medical histories, personal profiles, education and address details gives users better control of their data and can help prevent identity theft.For example, Romania's National Institute for Research and Development in Informatics set up an NFT marketplace for individuals to access, transfer and store government documents on a digital ledger.

Real Estate

Considering the applications of NFTs in real estate, I see a transformative potential in the way we perceive and manage property. Imagine a scenario where a physical real estate NFT acts as a secure and transparent record of ownership for a house, office, or business premise. By registering these assets on a blockchain, we create a traceable history of ownership and transactions that extends into the future. This not only facilitates faster and more secure asset transfers but also introduces the concept of fractional ownership. Breaking the deed into multiple NFTs allows for joint or shared ownership, resembling the structure of stock-based investments. Moreover, the introduction of NFT-based mortgages presents an intriguing shift towards traceability and transparency in comparison to traditional mortgages. Storing mortgage metadata, including information on liens, borrower data, and transactions, on a blockchain enhances security and reduces the risk of forgery or alteration by cyber criminals.

Supply Chain

Considering the immutability and transparency inherent in NFTs, I see a compelling use case for these digital tokens in revolutionizing supply chain management. The authenticity and reliability they bring to logistics applications could significantly enhance the tracking of goods along the supply chain, a crucial factor in industries such as food and perishables where knowing the journey of products is paramount. Beyond this, NFTs present a formidable solution to counterfeiting issues, ensuring the traceability of luxury fashion items and fostering uniqueness. In the automotive sector, the detailed information NFTs can provide about each material and component within a product could contribute to more effective cost control. Moreover, for industries committed to ethical sourcing and sustainability, NFTs offer a means to track the use of environmentally friendly materials transparently. Imagine a scenario where a luxury fashion brand, leveraging NFTs, assures customers of the authenticity of its products by providing an unforgeable digital certificate detailing the journey from raw materials to the finished piece.

Please let me know if I am ignorant about any key factors. Also let me know of any other potential use cases. I currently don't own any NFT and haven't for a while. Still just interested in seeing what others think