In a recent Twitter AMA, Cardano founder Charles Hoskinson discussed NFTs and their potential future. He believes non-fungible tokens have a bright future and could eclipse fungible tokens such as Bitcoin. NFTs have come under a lot of scrutiny from investors after losing most of their value. However, despite the change in fortunes, Hoskinson believes they are here to stay for the long term.
Therefore, his project, Cardano, is working on strengthening its NFT ecosystem to capitalize on the many use cases. Hoskinson notes that NFTs are great for representing assets that are beyond standardization. Think of a title deed, water rights, mineral rights, or any other notion of property rights.
Additionally, they are excellent for representing players’ characters in the gaming world and in-game assets. This way, players get compensated accordingly. And the use cases don’t stop there. According to the founder, NFTs can be used to represent experiences, achievements, and credentials.
He gives the example of an individual who went to medical school and graduated. That is something that is specific to that person, and its certificate isn’t fungible. Such use cases are more widespread compared to those belonging to the fungible world.
Charles Hoskinson Plan For NFTs
For this reason, the Cardano founder is thrilled to be involved in the NFT space to see how things will shape up. For him, it’s not about the money. His concern is about governance, interoperability, and such things. On the other hand, he is willing to “let commercial people figure out different ways to make money.”
That said, he recognizes that non-fungible tokens can generate revenue streams as assets. For example, his team has already had discussions on how they can be used to represent intellectual property.
“A lot of what is at the end of the rainbow is going to be complex intellectual property negotiations—license deals. Like, we’ve had some discussions about how you represent a patent portfolio as an NFT. How you can sell the rights to the portfolio and then how that can turn into interest-earning future profits on that.”
