If so far NFTs have seduced many people, their popularity rating could literally explode with dynamic NFTs. Unlike the classic non-fungible tokens that everyone knows, the new version of these assets is a real revolution for followers of the digital universe.
Dynamic NFTs, a new vision of digital assets
Digital has been on everyone’s lips for a few years. With the exponential growth of cryptocurrencies, digital is becoming more and more important and we do not really know what to expect. After giving grace to their more or less quirky designs, NFTs have become an emblem of wealth.
Indeed, the personalities do not do without it and the collections are linked. However, if you were seduced by the old version of non-fungible tokens called static, dynamic NFTs will make you see things in a whole different way. Unlike static NFTs, dynamic NFTs change based on events that occur in real life.
How ? Through inherent properties recorded and added to the token’s metadata. Thus, the non-fungible token can radically change and evolve according to the criteria predefined by its creator. They are therefore very different from Bored Ape Yacht Club or some Crypto Punks and promise a new evolution of a sector which has regained color after a relatively dark period.
How it works ?
The term dynamic NFT can mislead many investors. But make no mistake, dNFTs as they are called, are basically static NFTs. Then the smart contracts take over by unlocking hidden characteristics or traits. They can even change the design of a token.
But to do this, they need Ethereum’s ERC1155 token. So, dynamic non-fungible tokens work thanks to Oracles. These enable the triggering of smart contracts through web API and IoT data. The collection LaMelo Ball is a concrete example of dynamic NFTs.
The latter uses the Chainlink oracle and records the various player statistics. From his “Red Mars” which represents his points scored to his “Blue Neptune” reflecting his rebounds, the shapes and metadata will change depending on the player’s performance IRL.
Because of this, if LaMelo Ball won a major NBA competition or title, the NFT would also change to reflect a new avatar image. One can then understand why dNFTs are so important. In addition to being the next generation of innovation in the NFT space, they are also present in many sectors. Among others, health, sport, gaming and many others.
Dynamic NFTs are unique since they connect non-fungible tokens even more to the real world. However, if they allow to change the characteristics of the token, they need the triggering of the smart contracts. However, they retain many advantages. Indeed, dNFTs will increase the authenticity of NFTs. At the same time, they will put a stop to scams and fraud related to non-fungible tokens since the dynamic NFT code is secure.
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