dNFT a new asset class among non-fungible tokens
NFTs as a class of cryptoassets, despite the waves of hype and local recessions, occupy a significant place in the system of financial relationships in the cryptocurrency market.
The original paradigm of non-fungible tokens created to confirm the right to a digital object undergoes changes and gives rise to a new type of NFTs, so-called dNFTs or dynamically changeable NFTs. Tokens that were originally created unique have been given the flexibility to change according to the needs of the external environment. What this means.
In dynamic NFTs, changes in metadata that are triggered by a smart contract became available. A simple instruction that sets the criteria for NFTs to change based on external conditions. Initially, NFTs are minted based on certain conditions that may manifest themselves during user interaction. This applies to game NFT characters and generative art collections, where identical NFTs that have differences in a number of traits depending on the frequency of acquisition and the degree to which they are combined with other NFTs can reveal new characteristics.
All this leads to value-adding in dNFTs and allows, along with proving the originality and provenance of an image, to increase its value.
Imagine that as the owner of an NFT avatar you can gain additional attributes by using or buying premium products from a particular manufacturer, such as Nike. NFTs are a story about affluence and your income level and using dynamic NFTs allows you to get extra incentive to adopt them.
dNFTs are supported by Chainlink and a number of projects have already been launched where a dNFT can be programmed to change or transform depending on the user's actions or inactions, to change automatically depending on external events or conditions, or it can unlock new traits. For example, if an NFT is activated either by an online game or a score during a sports match or an NFT can be encoded with special VIP privileges, e.g. at concerts or sporting events.
The creation of a dNFT allows the metadata associated with a particular NFT to be influenced. These capabilities not only apply to art, games and utilitarian NFTs, but can also be actively used for more complex projects involving dynamic changes and degrees of rarity of digital objects.