Most Convincing DeFi NFT Use Cases: Here to Stay?

What Are NFTs?

How Do NFTs and DeFi relate?

Examples of NFT Use Cases in the Real World

Digital Asset Tokenization

NFTs For Lending

NFT Marketplaces

NFT Yield Farming

  • The NFT project also has a complementary ERC-20 token. You stake the NFT to ERC-20 rewards.
  • The NFT is an upgrade or event ticket to qualify for the better NFT airdrop. For example, BAYC owners had to buy Serum NFTs to convert their apes into (rarer) mutant apes
  • Utility NFTs that allows you to re-roll picture properties or guarantee a rarer accessory
  • NFTs that create other NFTs (AKA breeding). e.g., Own two NFTs and lock them for 60 days to get the 3rd one.
  • Virtual land NFTs that you can rent to users or advertisers
  • NFTs that give you a competitive edge on video games with tradable assets

Play-to-Earn (P2E) Games

Examples of Real World Applications for NFTs

  • Asset tokenization: Unstoppable Domains offers domain NFTs that replace yearly fees with a one-time payment. By trading the NFT, you can transfer domain admin rights.
  • NFT lending: The Sandbox is a game and virtual space with a virtual-land marketplace (called LAND NFTs). Users can buy LAND and rent it to others.
  • NFT marketplaces: The Opensea marketplace supports collections in Ethereum, Polygon, and Solana. There are also marketplace aggregators like NFTrade that show NFTs across 10+ networks.
  • NFT yield farming: DeRace is a horse-race betting platform. You can breed two horses for a fee to get a new one with mixed and randomized stats. You can also rent your horses and someone else’s.
  • P2E games: Gods Unchained is a free-to-play magic card game based on strategy. You can build your deck with free NFT cards or bought ones, and you win by tactically outsmarting your rivals. That way you gain ranks, increase XP rewards and get new cards faster.

Industries Affected by NFTs

  • NFT use cases in art can help creators protect ownership and monetize media
  • NFTs might associate with existing collectibles/antiques to increase their value
  • Pro athletes might use NFTs for fan clubs, VIP tickets, card collectibles, and betting prizes
  • Music bands can sell concert tickets as NFTs that after the event turn into collectibles
  • Local businesses can create loyalty programs where NFT owners gain lifetime perks
  • Gaming studios can add NFTs so that players can monetize their skills
  • Virtual land NFTs might one day interact with real estate with augmented-reality (AR)

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A truly decentralized borrowing protocol that allows you to draw 0% interest-free loans against your Pulse coins. Non-custodial, immutable and no admin keys.