Non-fungible tokens are rapidly gaining traction in the crypto world. The first generation of NFTs focused on essential properties such as ownership representation, transfer, and automation and the development of the core building blocks of the NFT market infrastructure.
As the space matures, the value proposition of NFTs should transition away from static images or text and toward more dynamic and intelligent collections. AI is likely to play a role in the next generation of NFTs.
The emergence of artificial intelligence in NFT
We are already witnessing hints of NFT-AI convergence in the form of generative art. Injecting AI capabilities into the NFT lifecycle enables previously unimagined forms of intellectual ownership.
With intelligent digital ownership, the possibilities are limitless.
An NFT file is a digital media file that contains an image, text, or video. NFTs debuted in 2014 and saw a mini-boom in 2017 when “crypto kitties,” or collectible photos of digital cats, were selling for thousands of dollars.
The value of NFT is reaching an all-time high
According to DappRadar, the overall value of Ethereum-based NFTs has risen to $14.3 billion, up from around $340 million last year.
Experts at Jefferies said the value of NFTs will triple next year, hitting $80 billion by 2025. Additionally, the tokens are utilized for purposes other than pets and treasures.
NFTs were invented by an entrepreneur named Anil Dash and a digital artist named Kevin McCoy to help communicate that an item was a digital original.
Even if the holder does not possess copyright or exclusive use of the work, they prove ownership for that particular token.
Dash himself remarked that he would not pay a premium for an artwork solely because its name was on the list. However, he continued, putting paintings on the blockchain is analogous to presenting them in an auction catalog.
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