The NFT industry has been popping off globally, which is remarkable considering some of its flaws and shortcomings. Overcoming the current market challenges is a lot more complex than one may think, and an infrastructure overhaul is imminent. NFT Tech is one of the projects aiming to provide the tools for the broader usage and adoption of non-fungible tokens.
The current state of NFTs
After a somewhat rocky start, it would appear that non-fungible tokens are staking their claim in the cryptocurrency and blockchain industry. Several successful mainstream auctions have granted more legitimacy to this industry. Furthermore, many NFTs are being created in collaboration with renowned individuals, athletes, and other celebrities to make this technology seem more appealing to mainstream users.
Although the sales and sales volume may not necessarily represent the overall interest in non-fungible tokens, it is a healthy metric to determine overall market activity. Per the data by NonFungible, it is safe to say the NFT industry is growing slowly but surely. Noting nearly 27,000 sales in seven days is impressive and a sign of continual growth. The sales volume has decreased slightly in recent days, but that is native to nearly anything related to cryptocurrencies lately.
One also has to consider the fact numerous projects have a more than respectable overall weekly trading volume. Generating over $1 million in sales remains a crucial milestone in the early stages of the NFT industry. So far, four projects can achieve that goal, all of which have a different approach and price for their assets. Projects can be successful for many reasons, whether targeting collectors, speculative investors, or gaining mainstream traction.
Current issues to overcome
Despite these promising statistics, there are certain aspects one cannot ignore in this industry either. More specifically, the NFT segment has a few shortcomings that can prove rather difficult to address without the right tools. It is compelling to anyone to leverage their real-world assets and tokenize them on a blockchain, yet that is also one of the most significant pain points. The process itself is very straightforward, but everything in this industry comes at a cost.
Depending on which blockchain one decides to mint the NFT on, the fees are usually considered as ‘gas’. However, not all blockchains are as efficient in this regard. The cost will be a few dollars for some minters, whereas others may pay $70 or more. Finding the right ecosystem for this purpose is crucial yet not necessarily straightforward for those who aren’t familiar with the cryptocurrency industry in its current state.
Furthermore, those who want to mint or trade NFTs will have another concern to consider. Although there are many different marketplaces for this specific purpose, they are not always multi-chain compatible. The chain on which one’s NFT resides is essential in determining which marketplace to use. The lack of an all-in-one solution is somewhat problematic and holds back the industry as a whole.
Furthermore, it can be rather complicated to sell an NFT after purchasing it. That may seem strange given the use of blockchain technology, yet finding a buyer is not an easy task either. NFT owners need to find a buyer personally to complete transactions, although the marketplaces can make this process slightly more accessible. Even so, there are still many ways to improve upon this situation moving forward.
NFT Tech is changing the narrative for the better
If the NFT industry wants to achieve the next level of mainstream adoption, something will need to change for the better. Addressing the inefficiencies and shortcomings is an important first step. NFT Tech throws its hat in the mix by providing the world’s first NFT matching engine and oracle solution. Furthermore, there is a new generation of infrastructure for all current and future NFT marketplaces.
One can go as far as claiming how NFT Tech is the ‘Amazon’ of non-fungible tokens, since the project provides trading functionality akin to using Uniswap for ease of use and liquidity, as well as an opportunity-filled marketplace. Additionally, everyone can create NFTs for free without paying any fees and through the native one-click solution. Migrating non-fungible tokens cross-chain between Ethereum and the Binance Smart Chain through a dedicated bridge is possible.
To make the NFT industry more appealing, anyone can pay for these tokens with Ethereum and other cryptocurrencies, making users worry less about which crypto asset they need. The acquisition of NFTs is similar to eBay auctions, placing bids and the most significant offer wins. When combining this approach with its Matching Engine, NFT Tech can make these tokens liquid assets with a bid-order book, enhancing the overall trading experience. Opting for this method solves the need for sellers to find buyers manually.
The matching engine can be incorporated into any NFT marketplace, enhancing the overall accessibility and liquidity in the industry. Liquidity providers for NFT Tech can fill order books on other marketplaces and acquire assets at the lowest prices. In addition, this trading engine creates historical data of NFT sales and resellers NFTs acquired at minimum, with profits being paid out to liquidity providers.
Elevating the NFT industry to a new level would not be possible without using innovative technology and building strong partnerships. NFT Tech has that aspect nailed down thanks to several partnerships and veteran backers, known in the industry.
The time has come for the NFT industry to mature and reach its next level of adoption. However, doing so will be impossible without the use of newer technologies and infrastructure. Providers like NFT Tech offer the necessary tools to make a meaningful impact on the industry.
Achieving mainstream adoption will require a more streamlined, accessible, affordable, and usable solution. Slowly but surely, the necessary building blocks come together to get more people interested in non-fungible tokens and their full potential.