The non-fungible token (NFT) niche’s popularity has been growing rather fast over the last year and top projects, such as CryptoPunks and Bored Ape Yacht Club, are attracting huge interest. In the coming years, NFTs are expected to also start impacting other sectors.
Below are some of the next frontiers in the NFT technology development and how they will help change people’s lives.
Medical Records and Identification
Medical records and identification documents are critical pieces of information that can easily be misplaced but challenging to replace. NFT technology can provide wide-ranging practical use cases that people and companies can use.
Instead of leaving the task of recording, managing and tracking personal medical records to data providers, unique NFT ledgers assigned to every person can help store the details while optimizing confidentiality and privacy. This would also help each person to follow and control the information held by data providers.
It is possible that this process will start at birth with the issuance of an NFT certificate to newborn babies by the government or healthcare provider. This could also be the starting point for the development of a digital record of identification that can easily be tracked using an NFT form.
The digital forms will come in handy to help individuals limit who can have access to information on their data. It will also be possible to verify a person without giving other information, such as home address and ID.
Properties and Asset Tokenization
The tokenization of properties / real estate as well as other assets is, maybe, one of the paradigm-shifting applications for NFT technologies in a wide range of sectors. Apart from the simplicity of tracking and ownership verification, tokenized assets make it possible for them to be used in applications like decentralized finance (DeFi).
Any person will be able to employ NFT to act as a deed and use it as collateral on DeFi protocol for loans. Larger items, such as luxury hotels and yachts, will also make it possible to fractionalize ownership, providing people who are unable to own such facilities a good channel to gain exposure.
Other industries that are taking advantage of NFTs include intellectual property rights and patents, which could use blockchain technology to track ownership of specific products/ services. Ticketing & rewarding systems and exclusive memberships are also expected to employ NTFs for easy verification and providing access to specific services.
When it comes to tokenization, there is no limit on what you can do and then track them on blockchain networks. Indeed, the chances are that all types of assets, including stocks, bonds, luxury items, rare collectibles, and artwork will all be represented in NFT forms.