In other words, we have lots of tools, but not that many options to produce things, create things and share things on our own terms.
With cryptocurrencies, many old financial and economic models are being applied in their use. While this may benefit early adopters, it remains to be seen how they actually benefit average users apart from trading them on exchanges, or using them for purchases on corporate payment rails.
With NFTs, we run a similar risk: In the mad dash to find a new way to profit, there is a grand tendency to overlook necessary fundamentals.
Yes, NFTs are just serial numbers.
Yes, anyone can mint them.
Yes, some people peddle silly memes with them as “artwork” for ridiculous sums.
Meanwhile, the prospects are clear. Not all NFTs function the same. But they will be held to higher standards, simply because they have to.
In a landscape where economics is shifting from a coincidence of wants to a coincidence of needs, the case for cryptographic innovation is quite compelling.
Ethermint will proliferate on NFTs, along with other web3 protocols.
Sidechains will operate at greater efficiency using NFTs.
Interactive content will be fractionalized using NFTs.
Data will be autonomously managed and redistributed using NFTs.
NFTs, with underlying digital or physical assets attached to them, will become stable instruments.
The real economy will be attached to NFTs.
Don’t believe it?
Think about all the underserved markets out there — from writers who can’t get their books published in the ways they want, to independent journalists who are forced to beg for donations, to musicians who can’t get their music distributed without middlemen, to artists who are shunned from galleries for not playing political games, to gamers who don’t want to be tethered to crowded networks, to programmers who don’t want their code to be misdirected on open source repositories, to filmmakers who just want their creations to be seen by audiences with whom they can actually build real relationships.
The list goes on. And it extends well beyond the digital world, into areas such as alternative medicine, real estate, regenerative agriculture, and renewable energy.
Anything that can be valued by a producer of an asset, can be protected, shared and resold as originated by that producer with that underlying asset.
That is the real potential, and the real power, of an NFT.
We’ve designed our NFT as your cloud, your information, your asset, and your unit of account, all wrapped into one functioning utility.
DIGITAL RIGHTS AS HUMAN VALUE
To be clear, there’s really no intellectual property rights protection without digital rights management.
An NFT on its own is just a serial number. That serial number has to provide a layer of security not only for the underlying asset, but allow people to reshare that asset while the originator and the sharer are paid equitably.
Royalties, of course, are the first order of business. Then there’s the resale economics tied into what a token does or doesn’t do.
As the NFT markets proliferate, we’ll see a lot more active and passive revenue streams beyond royalties, such as licensing, preferred subscriptions and data redistribution through proper identity management.
This last element is key, given that over 60% of online identities are synthetic or fakes, which means that pseudo anonymous transactions don’t actually remove or mitigate counterparty risk, contrary to popular belief.
In this regard, biometric signatures are coming to the fore, and this is something we have to handle responsibly, namely with identity management. While we will be compatible with a range of devices that already have DRM components in place (such as two-factor authentication), we also have to improve these inherent functions so that creators or originators have full autonomy over their assets, as well as the data associated with them.
A smart contract is supposed to provide for this, with the required parameters in place. The challenge is, we’re not just talking about recording transactions on a ledger — we’re talking about the reputational attributes between counterparties, as well as what fair use means when an asset like a piece of art or music is fractionated.
We’re looking at a scenario, for example, where a publisher, an artist and a consumer have to align on mutually agreeable terms for a royalty that represents multiple ways to interact with an asset — think about what this means when you interact with a piece of art that has motion graphics, or embedded video, and music to accompany it. Or a collectible like an interactive sports card, or a game that has multiple interactivities.
This gets tricky when you’re dealing with content libraries. Publishers in particular will have to decide what they are willing to give away to consumers, and what they can put into market without alienating other consumers or cohorts.
A fractional copyright will be baked into proof of provenance, or that provably unique copy of artwork, music, or a book. Our NFT is a DRM solution, so we’re focused on the smart contract layer, and what the economics look like for someone who agrees to a royalty. The plan is to run these numbers for them so they can decide what the royalty projections look like per issuance before they mint the NFT, or before they decide to do multiple runs of an asset using the NFT.
An interesting challenge is with I.P. bottlenecks. The most basic issue is that many minting platforms don’t actually secure the underlying asset (like a piece of art or music) in that a potential purchaser can extract it on their own once it’s on a web page.
In other cases, the NFT itself redirects to a centralized server like AWS, which means you don’t actually own the asset, and therefore you can’t protect the I.P. rights.
No one has really thought through the DRM piece, which is why we structured our NFT solution in this way.
A lot of this has to do with the infrastructure behind NFTs and how they are tied to legacy systems. We’ve had to figure out a lot of this as we’ve developed our own solution, and it involves a lot more than just being blockchain agnostic — in many respects, we’re actually rewriting the web protocols themselves.
It’s also the case that NFT creators can’t manage gas fees effectively. This is an issue that Vitalik and various groups are working out through the Ethereum network. We’re involved in these discussions. We’re reverse engineering some of the smart contracts to help this along.
It’s an exciting challenge, and one that will pay big dividends for publishers and consumers in short order.
WHERE WE’RE HEADED
One of the major concerns decentralized web developers voice is how information itself is redistributed on an Internet and web infrastructure that is still very much centralized.
This a very legitimate concern.
Some have advocated for solutions that are completely independent from this infrastructure, and have been building hardware and software stacks to do this.
There are other groups working on entirely new Internet and web delivery systems. Some are using quantum methods, such as paramagnetism, wave oscillation and scalar technologies.
And not all quantum developers have the same intentions. Scalar wave technologies can be easily confused for 5G innovations that have seriously questionable effects on public health and safety.
Regardless of where and how this development goes, we see a scenario in which the transition to a truly decentralized web happens at the node level.
This means that regardless of how DNS entries occur, whether or not DDoS attacks occur, how SSL certificates are reorganized, or if “meet in the middle”, “sybil” or other attack surface operations are performed, we have grounded our development in node-level autonomy that will ultimately provide developers and creators alike with more choices to own and manage their work with increasing freedom.
We will do this by decreasing the amount of redundant dependencies on preexisting, open source software, and by increasing the efficacy of specific interdependencies between hardware without sacrificing security or privacy.
This also means we can forward integrate into any number of decentralized delivery systems, whether they are blockchains, other types of ledgers, or non-ledgering protocols.
Driving our own technology stack is a unique virtual machine-to-machine operating system that uses what was once called “kernels” to power these nodes through a process of componentization. Components can be created on-the-fly, while instances of each application are rendered using only what is necessary to make them.
This distributed architecture also ties into the math we are using to properly secure information and assets, using what we’ve developed as holomorphic hashing. This allows us to perform cryptographic functions that are at once quantum resonant and quantum resistant, by syncing one-bit binary representations of natural numbers.
As not all NFTs are created equal, and not all systems provide options to deliver information at securely managed scale, this is an exciting time to right the wrongs of our Internet past, reframe the ways we approach the digital economy, and forge new paths bridging the physical and digital worlds.
We look forward to partnering with more people who hold a similar vision.
In the meantime, perhaps you can think about your own future in a very different way now that the NFT represents a lot more than what is written about in the media, or what defi evangelists like to espouse as they might blindly push their tokens on the market.
More soonest.
Coinsmart. Beste Bitcoin-Börse in Europa
Source: https://goonth.medium.com/the-real-power-of-the-nft-19e313c01712?source=rss——-8—————–cryptocurrency
