In the framework of the “DeFi and NFT Summit 2021”, Tejas Chopra, who is a senior software engineer at Netflix, tells us about what he believes is the future and prospects of NFTs. The non-fungible token industry is on the rise. But why? What potential does it have? Let’s see.
Chopra is one of those in charge of creating the architecture of storage systems within Netflix. “My work experience has to do with distributed data storage systems in companies. That is why I am very interested in the between artificial science and technology ». It also highlighted everything you know about NFTs.
Software engineer Tejas Chopra tells us at the DeFi and NFT Summit 2021 his overviews of the future of NFTs, and why they are so relevant today. Source: DeFi and NFT Summit 2021
What are NFTs?
Non-fungible or NFT tokens can be basically anything, and they have value, but that is based on their unique properties. By having an NFT you are having ownership over unique objects and that ownership is secured in the blockchain. Some examples of NFTs are digital, collectible works of art, but could turn out to be houses or cars.
Each token has a unique identifier, and is not interchangeable with other 1 to 1 tokens. Each NFT has an owner and is easily verifiable. Likewise, the creator of an NFT defines the scarcity of that token.
What are the advantages it represents?
During his speech at the DeFi and NFT Summit 2021, Chopra highlighted some opportunities and advantages that NFTs provide. «The world becomes a digital world appears the need to create digital copies of physical objects, giving them the rarity that corresponds to offline assets. But digital assets are available today only under the framework of a certain platform, he said.
With this he gave an example that in today’s world, digital usually belongs in some way to the platform on which you upload content, but with blockchain-based NFTs this would not be the predominant case.
With the NFT «artists can create their work on any platform and are not limited by that platform. If someone today wants to create something and upload it to Instagram, they upload it, but there are many countries where Instagram does not work. In the case of those countries, how can they access this content and those works of art? And that, that possibility, is given to them through the NFT system, “he said.
He also commented that with NFTs we always know who the original author is, because that is written in the blockchain. Therefore, in a way, problems related to intellectual property are avoided. No matter how many times content is copied, you will always know where it originally came from.
He also highlighted that with NFTs the creators determine the level of rarity or accessibility of this or that thing. You can always create a unique NFT identifier. Ownership rights never pass to the platform, they always belong to the creatorChopra added.
The video game industry benefits the most from NFTs
One of the industries in which the engineer considers that non-fungible tokens have the most opportunity is in video games. He mentioned that NFTs can provide ownership records for items within a game, and boost internal game economies. You can sell items purchased in the game, but the items can also exceed the time of the same game. That is, it does not matter if a game is no longer maintained by its developers, if you have an NFT of that game on the blockchain, this already transcends it.
With the NFT there are unique items that go beyond the world of collectibles, or art. «You can buy a virtual land, that there is a space for a digital conference. Then you can charge people to be able to visit this digital conference with limited space. ” Interesting, right?
Do non-fungible tokens have a carbon footprint?
“As a developer engineer, I am always thinking about the carbon footprint of the technologies used in the code that I am writing. Let’s see what happens to the ecology of NFTs. There are many people who think that NFTs are harmful to the ecology and I would like to tell them that this is not the case, “said Chopra.
In that sense, I talk about Ethereum and said that with the update that goes from mining through proof of work (PoW) to proof of staking (PoS) the reduction in energy consumption is considerable. And this is important to many NFTs, because they are based on the Ethereum blockchain.
Future of NFTs
For the expert, the future of NFTs is one that holds many opportunities that could be exploited by a multiplicity of industries. One of the most interesting visions is in which he relates NFTs to DeFi, or decentralized finance. DeFi allows you to borrow money using cryptocurrency collateral, and instead of cryptocurrency, NFTs could act as collateral. And considering that both DeFi and NFT have a common infrastructure on Ethereum, the process could be made easier.
Additionally, he mentioned the opportunity this world provides for fractional ownership of NFTs. “We have applications that allow you to buy a part of the stock, for example Robin Hood. But we would like it to be possible with NFT as well, so that you can also buy a part or a fraction of NFT; so that investors can own a small part of the entire object. For example, you may be the owner of a part of Picasso’s work.
Also, the idea of the NFT can be applied to other assets, because today for example they use social networks, where you upload your photos, your videos and you can also convert them into NFT. Here’s how, for example, the CEO of Twitter managed to sell his first tweet for $ 2.9 million. Apparently we have a fairly unknown future, but exciting when it comes to the possible uses of NFTs.