The rise of the nonfungible token (NFT) has been a sight to behold, with the market seemingly garnering an increased amount of mainstream traction with each passing day. To put things into perspective as to how big this space has actually become, conservative estimates suggest that the amount of money that has entered into this fast-evolving sector currently totals above $500 million.
Another way to gauge the impact that NFTs have had on the global economy is by looking at the diverse range of artists, celebrities, musicians — basically just about anyone, at this point — that have adopted this technology. For example, thrash metal pioneers Megadeth recently became one of the latest adopters of NFTs, allowing supporters to purchase unique collectibles that are officially endorsed by the band. This just goes to show how widespread the reach of this technology has become almost overnight.
Additionally, what makes NFTs so unique is the fact that they cannot be swapped for other tokens in a mutually interchangeable fashion. This is contrary to both how most fiat assets work — i.e., a U.S. dollar can be swapped for a variety of goods — as well as how most cryptocurrencies, like Bitcoin (BTC) and Ether (ETH), function.
As a result of this unique ability of theirs, NFTs can serve as excellent mediums of ownership, allowing individuals to seamlessly purchase a wide array of things ranging from digital art to music to even real estate.
NFTs need a more decentralized environment to thrive
As the nonfungible token market continues to thrive, it stands to reason that more and more people will continue to move towards the use of highly decentralized blockchains that offer a high level of data transparency and flexibility to their users in terms of trading NFTs, especially when compared with centralized solutions such as Rarible, OpenSea, Binance NFT, etc.
Today there are Byzantine fault tolerant (BFT) cluster-based…