Why 2022 Will Be The Year Of Non-Fungible Tokens (NFTs)?

Since the invention of Bitcoin in 2008, cryptocurrency has become more and more popular. But what is a non-fungible token? And how does it differ from other types of tokens? This article will explore the benefits of Non-Fungible Tokens (NFTs), and why 2022 will be their year. Throughout this article, we’ll explore the benefits of NFTs, and answer key questions. What is a NFT? What’s the history of NFTs? Why 2022? How can developers use them in their projects? Let’s get to it!

What are non-fungible tokens (NFTs)?

Non-fungible tokens can be considered to be “special” digital tokens that are distinguishable from the other tokens on the network. Unlike common or fungible tokens (which all hold equal value), these specialized tokens can represent something that is unique and/or scarce.

What’s the history of NFTs?

Non-fungible token debuted at a low level in 2012 when CryptoKitties became addictive to players around the world. They eventually launched an Initial Coin Offering (ICO) in December 2017, where they sold $12 million worth of non-fungible tokens. They showed the world that non-fungible tokens had potential to be used in games, thus starting a new era for NFTs.

Non-fungible tokens (NFTs) will start becoming more mainstream due to the ERC721 standard, which was launched on October 29th, 2017, by Ethereum’s co-founder; Vitalik Buterin. This Standard allows developers to create decentralized apps (dApps) that can utilize NFTs with ease. An example of dApp is CryptoKitties — they use this very ERC721 standard to work smoothly with their dApp. Over time, more and more people will understand the benefits of NFTs, and more developers will want to use them for their apps. ICO’s are also starting to see the benefits of this new token standard — ERC20 is getting old, clunky, and hard to develop with. This means that the future of NFTs looks very promising in 2022!

How can developers integrate non-fungible tokens into their projects?

Non-fungible tokens (NFT) allow developers to create decentralized applications (dApps), where one user can own a certain item that holds value on the blockchain. For example, if you were playing a game or using an app that has NFT integration — you would own your warriors/items/creatures which have their own personal value & history. This is one of the main reasons why developers should look into non-fungible tokens, as it adds an extra layer of value for users and makes them more engaged in the platform/game/app!

Why 2022 will be the year of non-fungible tokens?

Non-fungible tokens, also known as NFTs, are unique digital representations of physical assets. Much like their collectable counterparts — trading cards, football stickers, baseball cards, etc. — they are distinguishable from one another. That means that no two non-fungible tokens are the same or behave in the same way. These digital representations can be used to represent real world objects on the blockchain.

NFTs have been around for a relatively short period of time — about three years or so — with ICOs being massively popularized in 2017. Due to this increased popularity, the year 2022 will be an exciting one for NFTs. This is because of how many more people will have familiarity with the concept of NFTs, and how many more apps could be built to utilize them.

When we look at the history of NFTs, we see that it’s not such a long one. It was around 2014 that non-fungible tokens were first introduced to the world of blockchain via CryptoKitties (a game where you collect and breed digital cats on the Ethereum network) . This system took advantage of ERC-721, an Ethereum protocol for NFTs. It wasn’t until late 2017 and early 2018 that people started seeing potential in using non-fungible tokens more than just as a part of games or collectables.

Since this new technology has only been around for three years, there’s still some time before 2022 for everyone to become acquainted with their existence and implications. That said, given how quickly the ICO market has grown, there’s no doubt that NFTs will be more than just a passing fad of 2022.

One of the main reasons for this is due to how adaptable they are to applications beyond games and collectables. For instance, in America, when you buy a house you have to pay transfer taxes on it — every time you sell your house. These taxes are usually not very high but still represent transaction costs that can add up over time. With digital real estate companies looking into using NFTs in these transactions, these companies could reduce fees associated with buying and selling houses. A lot of people around the world also invest in collectible items like art for their future value appreciation rather than what they have to gain from the physical item itself. In India, for instance, there’s a large number of people who buy expensive cars as an investment just so they can drive them around and look good doing it. With NFTs being so adaptable, these types of investments could be made more efficient by allowing you to invest in a non-fungible token that represents your high value collectable.

As you can see, 2022 will be a very exciting year for both NFTs and what they represent! With how relatively new they are tethered to an emerging market with which most people are still unfamiliar. This makes the entire field ripe for exploration with many potential benefits up for grabs!

I hope you’ll join me on my Discord server https://discord.gg/SEK7FfudgW where we can chat about art, crypto, and everything in between. You can also find links to my OpenSea collections there. Thanks for reading!