The year 2021 saw explosive growth of a new crypto asset that has been in development for years. It all started with a $6.6 million bid for a 10-second video clip by artist Beeple.
And what did the buyer get for those millions? A non-fungible token verified ownership of the video.
That’s what NFTs are about, and they’ve always existed in the form of collectibles like art, music or games. With blockchain, it is now possible to tokenize digital assets by creating a proprietary signature.
The recent surge in popularity of NFTs has been driven by the general hype surrounding the future of metaverse and blockchain gaming. Speaking of which, Axie Infinity has become one of the most popular games in the NFT space. With 1.5 million daily active users, it has seen dramatic growth in its player base.
The play-to-earn model is a gateway for new users to buy digital assets and earn rewards by winning battles. The community-owned NFT Marketplace not only raises awareness of the usefulness of NFTs, but also accelerates the game’s usage rate. Axie Infinity is a trendsetter in space and may continue to attract global attention.
The use cases of NFTs go beyond the world of digital art as they can also be used to generate passive income through a proof-of-stake mechanism. Similar to yield farming in DeFi, NFTs can be locked to earn rewards without losing ownership.
However, the high volatility and illiquidity of the NFT market has kept investors on the sidelines. An upcoming decentralized protocol, gnox, tries to solve this problem by investing on behalf of the community so that users do not risk losing money. The main objective of the platform is to allocate a majority of treasury funds to liquidity pools and diversified NFTs. This, in turn, will come back as a reward for GNOX token holders.
It is an innovative concept to draw attention to an asset that is not popularly known for generating passive rewards. Gnox also has future plans to introduce NFT staking, which users can leverage to earn rewards in stablecoins.
With many more developments in the pipeline, it is worth noting what this project aims to achieve in the NFT space.
Learn more here:
Participate in advance sales: https://presale.gnox.io/register
Website: https://gnox.io
Telegram: https://t.me/gnoxfinancial
Discord: https://discord.com/invite/mnWbweQRJB
Twitter: https://twitter.com/gnox_io
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