Is There a Future for NFT?

NFT or non-fungible token is a technology that allows you to use digital coins that cannot be counterfeited. In other words, NFT is something like a certificate of uniqueness in the digital world, confirming the right of ownership of a digital asset. It is worth noting that the technology was created in 2013 but gained fame only closer to 2020. But despite the beautiful postulates and principles of uniqueness, the future of NFT looks vague. Does this technology make practical sense, and who will use the tokens for transactions or proof of ownership?

Intellectual Property Sales

One of the advantages of this technology is the ability to sell any song, digital image, or program code online. The creators of NFT claim that this method is ideal for proving ownership. But the problem is that no country has yet recognized the NFT as a tool for verifying ownership and equated it to digital currency.

This state of affairs means that technology is nothing more than a good idea that cannot yet compete with official contracts and invoices. So this is why beginners should know all the potential risks. If you are a student and decide to learn all the pitfalls of NFT technology, you will need a lot of time. Type a request, “http://writeanessayfor.me/” to find a reliable academic assistant to cope with the enormous workload. Then you will have time to learn new digital technology.

The Digital Token Does Not Provide Any Guarantees

Imagine that you are a collector of paintings and want to buy a masterpiece created by Rembrandt. If we are talking about a real picture, you can put it in your safe, and no one can see it or use it for personal purposes. Now imagine that you bought a digital image for $300K. What is the point of such an investment if you cannot resell your digital asset? The fact is that anyone can download your image on the Internet. For now, physical art looks more attractive as a source of investment.

NFT Network Can Be Disconnected at Any Time

On the one hand, NFT technology is quite secure and can use tokens as certificates of authenticity. But it would help if you didn’t forget that such a network can be turned off. All you need is some glitches or a rolling blackout on the servers. Just one click and your tokens will become nothing more than memories. In this case, all NFT traders are air owners. Unfortunately, this is a problem with any digital coins and technologies that are not backed by anything other than hype.

By Buying NFT Tokens, You Do Not Receive Ownership of Any Digital Object

Imagine that you bought a digital image from the NFT network. You most likely think that you own the full right to rent, resell, or some other action. Unfortunately, all you can do is resell your token. Forget that you can manage songs, videos, pictures, or lyrics in any way. In this regard, NFT technology is in a gray area and is not regulated by the laws of any country. 

Are you ready to spend hundreds or even thousands of dollars without any guarantees? If you are a student, then take your time to read all about the new technology. Then, hire a knowledgeable writer and delegate your papers. In this case, you will have more time to study all aspects of digital investments in more detail and find an alternative to the above technology.

The Value of Tokens Can Fall to Zero

NFT tokens are like any other digital currency, which is increased by the general hype. Any online coin is worth what people are willing to pay for it. So this is why you should understand that your investment may not be worthwhile. The peak of the hype has already passed, and now investors are more cautious about new financial transactions. Are you ready to buy an NFT image for a thousand dollars and then sell it for $10? 

Unfortunately, this is the problem of digital assets. You need to analyze the market situation very quickly and sell your digital assets on time. Otherwise, you run the risk of failing. That is why tokens are nothing more than an interesting toy in the hands of people who have no idea what investment activity is.

The Future of NFT Is Very Cloudy

The problem is that no country in the world has yet legalized tokens as certificates of ownership. In general, the entire digital project is like a startup of enthusiasts with no prospects. However, modern legislation in the United States and many other countries offer a clear procedure for transferring ownership of paintings, songs, books, etc. 

Why come up with something new if states already legalize a clear algorithm? In this regard, NFT technology looks like an attempt by a separate group to obtain the state’s rights. In general, the technology is interesting only in the case of full legalization and cooperation with countries. Otherwise, the NFT is doomed to oblivion.


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