Token Minting ~

A discussion highlighting pain points and use cases in the creation of NFTs

May 29, 2024 @ 1400 UTC via Zoom

The Cardano NFT Guides — NFT GuildNFT Guild

Pain Points

• Knowledge Gaps in NFT Projects: It is challenging to know what's possible in terms of NFT functionality and the complexities involved to create and (sometimes) maintain. Artists and creators often lack guidance on blending available elements in NFT creation​​.

• Ecosystem Interoperability: NFTs are difficult to move between ecosystems, and this lack of interoperability limits their liquidity and broader adoption. Selling NFTs is constrained to the community within the same ecosystem​​.

• Perception and Acceptance of NFTs: There is a general negative perception of NFTs among the public, especially gamers, who associate NFTs with scams or unnecessary complexities. This resistance hinders broader adoption and integration of NFTs into gaming and other mainstream applications​​.

• User Interface and Experience (UI/UX): Current wallet solutions for managing NFTs and attendance credentials are not user-friendly, leading to poor adoption​​.

• Proof of Attendance Issues: Cardano has struggled with implementing proof of attendance systems efficiently. Despite efforts, there have been hurdles in consistently managing and issuing proof of attendance NFTs for events and workshops​​.

• Middlemen and Decentralization: The need for middlemen or intermediaries in certain processes, even in decentralized systems, poses a challenge in terms of building consensus and ensuring smooth operations​​. Specifically in issuing identity credentials.

• Inconsistencies in Platform Utilities: While some platforms support art NFTs, the utility provided by the NFTs often depends on the creator, leading to inconsistencies in what users can expect from different collections and projects​​.

• Mediocre Collaboration: There is a lack of deep collaboration between different projects and marketplaces within ecosystems like Polkadot & Cardano, resulting in a fragmented experience for buyers and artists​​.

• Market Saturation and Liquidity Issues: The over-influx of projects without sufficient liquidity or participants to support them leads to a saturation of the market, affecting the viability of new projects and reducing overall interest​​.

Use Cases

• Biometric Authentication for Wallets: Implementing biometric authentication for NFT wallets to enhance security and ease of use​​.

• Non-Custodial Wallets for Multiple Chains: Developing wallets that can securely and easily view NFTs across different blockchain networks​​.

• Cross-Ecosystem Token Standards: Developing solutions to make NFTs more flexible and liquid, enabling easier trade and exchange between different blockchain ecosystems​​.

• Dynamic and Evolving NFTs: Creating NFTs that can change and update over time, reflecting a history or evolution. This showcases advanced capabilities of blockchain technologies like Cardano’s CIP 68​​.

• Proof of Attendance Tokens: Using NFTs to verify attendance at events, which can also be used as tickets for future events or to build an OG squad for recurring participants​​.

• Event Tickets and Memberships: Using NFTs as event tickets or membership passes that can offer various benefits and serve as proof of participation or loyalty rewards​​.

• Real World Assets [RWAs]: Tokenizing real-world assets such as diamonds and real estate on the blockchain, allowing for ownership, trading, and proof of authenticity through NFTs​​.

• Industry Specific Marketplaces for Tokenized Assets: Creating marketplaces specifically for tokenized assets like real estate, cars, or luxury items, where transactions are facilitated through NFTs​​.

• Supply Chain Management: NFTs to track the provenance and authenticity of goods within supply chains, ensuring transparency and trust in the origin and handling of products​​.

• Fractional Ownership: Fractionalizing high-value assets like real estate and art into NFTs, allowing multiple people to own a share of the asset and facilitating easier investment​​.

• Hidden Content and Merch Integration: Linking NFTs with physical products or hidden content that can only be accessed by the owner, creating additional value and engagement for NFT holders​​.

• Healthcare and Legal Documents: Using NFTs for healthcare records and legal documents to ensure secure and verifiable storage and transfer of sensitive information​​.

• Evolving Digital Identity: Developing NFTs that evolve with the user's digital identity, updating to reflect new achievements, memberships, or status changes over time​​.

• Education and Credentialing: Using NFTs to issue educational certificates or credentials that can be verified on the blockchain, ensuring their authenticity and providing a permanent record of achievements​​.

• Environmental and Social Impact: NFTs to represent carbon credits or social impact contributions, enabling transparent tracking and trading of environmental and social impact efforts​​.

• Identity and Voting Systems: NFTs as digital identities or voting mechanisms, providing secure and transparent methods for identification and democratic processes​​.