How the NFT Hype Makes the Internet More Valuable
The NFT (non-fungible token), with its peculiar nature (scarcity), permanence (storage) and singularity, has drawn numerous institutions and celebrities (attribution). The NFT sector is leading to a blow-off. As in the first year, the NFT industry has entered a barren period of growth
For their equality, Blockchain implementations are known for cryptocurrency investment. Bitcoin and Ethereum has achieved wealthness for many investors. Bitcoin is available for all investors from over the countries, and developer can build on Ethereum for altcoins, as well as the NFT of your own.
The ease of creating or minting NFT caused the market booms, the NFT products in the whole market surpass the fungible tokens in just a few months. One Ethereum based token is one group, and NFT can only represent one piece, which means that when confronted with NFT-work at unequal amounts, the public would find itself in the difficult dilemma of choosing the values.
At the same time, as a non-fungible token, NFT cannot be divided, and they can only queue up for transactions during trades one bye one, which inherently have liquidity defects. When the market meets a high demand of transactions, gas fees on Ethereum chain are super high, which further restricts the flow of NFT.
The NFT platform must then understand how each trade can be made more valuable in an inadequate liquidity market. The value of the goal must be taken into account in order to make the sale more valuable. The way the NFT platform chooses meaning is a crucial test for sustainability growth in many NFT initiatives.
NFT platforms tend to use the centralised processing methods for trading NFTs. Websites or platfrom like these forces the elimination of forged NFTs and NFTs with no liquidity. Of instance, the main market for NFT trade in Ethereum is the deletion of plagiarism works from Opena. Incident, this is clearly not a long-term security election, nor does it correspond to the open spirit of the blockchain, since the rapidly-developing NFT industry has lost its position in this solution.
However, DNFTfomo’s value screening method has provided a certain feasibility for filtering great value in the NFT industry. DNFTfomo realizes the gradual convergence of value NFT from the cost of malicious through the mechanism of tax + recycle NFT, and eliminates redundant valueless NFT.
In other words, DNFTfomo has two types of integration, one of which is a maintenance tax on NFT assets and the other is recycling of NFT assets in a simple and realistic way.
DNFT protocol adopts a lifetime NFT data scheme(comes with tax), which is that the owners of the NFT(s) shall annually charge with taxes for retention of NFTs, contrary to most of the current storage strategies, which charge a one-time fee for storage. When NFT holders do not pay their Tax on time, their holding NFT, DNFTfomo platform will take ownership of the NFT and resell NFTs that were force to by taken back. Whoever wins the a bid of a NDT will also incur taxes.
If no owner/seller of the NFT is willing to bear the corresponding taxes and fees, the DNFT network will take back the NFT assets and destroy them.
The tax and recycle mechanism ensures that the DNFTfomo network deposits more practical assets, thereby making the network more valuable.
