6 Reasons Why NFTs Suck (for now)

More people know about Non-Fungible Tokens than blockchains. That makes sense, they’re synonymous with digital art and getting rich quickly. But NFTs are capable of so much more.

Today, I’m going to show you how NFTs will be used in real life … like everyday real life, not some metaverse digital fantasy life.

Why do we pay an extra fee for refundable airline tickets?

Airline companies overbook flights and re-sell those tickets to other customers anyway.

Your boarding pass is just a QR code. If we turned this into an NFT, we could just sell our ticket to someone else if we need to cancel a trip.

Paying for a lawyer, real estate agent, insurance, etc. to buy a property made sense back in the 1980s. Now that we have the internet, there’s a better way (if the government gets on board).

Here’s how it would work: The government can convert all property deeds into NFTs.

An NFT version of the property deed has many benefits:

• You can use it as collateral for a loan (and get approved instantly) on an exchange. No more paperwork, no more calling the bank, it’s all automatic!

• You can fractionalize ownership of the property, making it easier to invest.

Once we have deeds converted into NFTs, they would seamlessly plug into the internet. For example, Redfin (or any platform) could list all their real estate for sale and execute the transaction instantly. Like how Tesla sells cars directly from their website instead of using a dealer network.

Record labels used to make sense when we listened to music on actual records. Those days are gone and all music is digital now. And if the music is digital, it can be turned into an NFT.

The 2 main benefits of signing up with a record label were distribution and royalty payments. NFTs have royalty payments built-in and social media gives you distribution. That means you can sell your art directly to your fans and turn them into investors.

Scooter Braun bought Taylor Swift’s Masters and flipped them for a cool $160m. Imagine if Taylor Swift released her first album as an NFT and you bought it. Not only would you have made passive income from all the royalties, but you would also have been able to sell it later at a much higher valuation. Kinda sounds like buying investment real estate property right?

The problem is that right now you have to be a music industry insider to be able to invest. NFTs will democratize that and let anyone buy music the way we buy real estate today.

Kylie Jenner launched her cosmetics company off her 365m Instagram followers and sold it for 600m.

But she doesn't even own her profile or following - Instagram does. Instagram could shut down Kylie’s account and there’s nothing she can do about it. You don’t have a bill of rights on their platform, it’s a terms of service.

Your social media account should be like an email address and your followers should be like your contact list. You should be able to switch email providers and move your contacts to any service you want. We can do that with NFT domains like the ones you can get from Ethereum Name Service (ENS).

This makes your network much more portable.

Imagine spending years building on Instagram and then switching over to TikTok but still keeping your followers. Owning your distribution is one of the most valuable assets you can have.

I played World of Warcraft for 8 years and invested thousands of hours getting the best gear. All that time was wasted because I couldn’t sell my items when I quit.

When I tried to sell my account, they banned me (they said it was against their terms of service). That’s because these in-game items don’t actually belong to the players, they belong to the company.

All digital items could be turned into NFTs, giving the users direct ownership of them.

But how?

It’s simple, let’s say you killed a dragon and got a legendary sword. That sword has an NFT attached to it (like a house has a deed that represents ownership). That NFT gets stored in your crypto wallet and now you can do whatever you want with it. You can sell it, rent it, or even use it in other games.

Similar to how iPhone and Android gave birth to the app store ecosystem, smart glasses will do the same for AR apps. Augmented reality brings digital items to the physical world. That means your NFTs can now live outside of just a screen.

NFTs will unlock a ton of value in the coming decades because of one simple reason - most digital assets can’t be owned by people, they’re owned by corporations and governments.

The internet has grown at an exponential rate for the past 30 years, and yet we didn’t have a way to own digital items … until now.

2030 is not going to look anything like today. I guarantee it.

If you liked this, do me a solid and forward it to someone who would be interested in learning about Web3. It’s the best way you can help grow The Crypto Bootcamp!

Thanks,
Kesh