NFT is getting a lot of Hype recently. But what does it really mean for a layman? NFT means non-fungible token, which is normally built using ERC721 or ERC1155 of Ethereum. Unlike the normal Bitcoin, your 1 Bitcoin and my 1 Bitcoin are basically the same in terms of value. For non-fungible token, every token is unique, means your token and my token despite carrying the same quantity 1, but it is different. Basically we can buy/sell digital art and also tokenize an asset into a NFT.
There are the following advantages for NFT:
– It is fairer to the creator: i. The creator can earn a percentage for every transaction, say A creates the art, and sell to B, B sell to C. A can still get a cut during the transaction between B and C ii. The creator suffers less commission due to current intermediaries, such as marketplace
– The collectible follows you, such as a digital game asset, it follows your Ethereum address, instead of following the game. Hence you own the asset, not the game creator
– The ownership can be proven with immutable Blockchain audit trail.
As a Malaysian, you can start investing in NFT by following steps below:
– Buy some Ethereum from Malaysia approved Digital Asset Exchange (DAX), such as Luno, Tokenize and Sinergy
– Visit the NFT market place
i. Digital art – such as Niftygateway, Superrare
ii. Digital art – such as Cryptopunk and Opensea
NFT sometimes provides great capital appreciation. You can even use NFT as a collateral to secure a loan in decentralized marketplace!
We in Agmo Studio are now building a NFT marketplace for Malaysian market using Metamask, Web3 and Ethereum technology for a public listed company.
Interested to use NFT for your software? Write to us today at [email protected]