Hive is lapping the field.
This might sound like some Hive maximalism stuff. Nevertheless, when we stray outside our little corner of the world, we see how many are still asking for what Hive already produces.
It is not something novel to many. Travel around crypto X and you see many talking about what we already developed here.
After listening to a Spaces on Non-Fungible Tokens (NFT), it became clear the difference between what we are doing and the rest of the industry.
That does not mean, however, that development is not taking place. The problem is there is no evident path to it.
In this article we will explore what Hive is doing differently and how it is on the right track.
California Dreamin'
This was a hit song in the 1960s by the Mamas and the Papas. It is also what many have within the NFT sector.
To be blunt, these people are dreaming. They dropped a lot of money on NFTs that are basically worthless. Of course, they talk about the bear market, which is applicable, yet still hold the notion that these assets will have value.
There was someone who railed against this idea and the consensus was against him.
Why do I say these people are dreaming?
As with anything, it comes down to utility. The NFT bubble was basically people who sold digital assets that are basically links to jpegs. While this does, conceptually, have the ability to create value, it really was nothing more than a con.
It also created the reputation that NFTs have no value.
This is not the case. The difference is what is built versus just a money grab.
These people are still speculating. We know this is a part of markets but their foundation is hope. We have nothing to tie these NFTs to value. They are floating out there in the ether.
Earn Not Buy
One of the major differences with Hive is that if gives people the ability to earn coins and tokens. This is a stark contrast to most of what is out there.
For the majority of cryptocurrency, it is buy your way in. This is true for NFTs, bitcoin, or ethereum. Other than airdrops, which are basically marketing campaigns, that is the normal mode of entry.
Hive is different. It gives people the ability to get rewarded based upon one's actions. This applies to all tokens, including NFTs.
The fact that token distribution is based upon what one does, this means that we are creating a link to the asset. It is no longer just floating out there.
We are also creating a new system.
Within the present system, those with resources can purchase assets. Yet, how many opportunities are out there for people to earn them. We get paid in currency and then can buy what we want. Unfortunately, for most, we have the situation where most can only buy some of the necessities and there is little left over after that.
Hive offers something completely different. This applies to both fungible and non-fungible tokens.
Access Tokens
I believe one of the main forces missed within cryptocurrency is the design of access. The number priority should be to develop access tokens.
This means that the token (or coin) is required to do something. It is why I am optimistic about HIVE. The coin is needed to engage with the database. If one wants to do that, staked coins are required.
NFTs are no different. In fact, these present an ideal opportunity for the development of this concept.
We see the changes that Elon Musk made with X and the $8 a month service. His task is rather straightforward: to keep building value into the subscription so more people sign on.
Now let us transition to Web 3.0. With blockchain, we have options. If X was a Web 3.0 application perhaps we have something like this.
There could be a NFT developed that is provided to anyone with 1,000 tweets. That is a lifetime total. For this, one would receive the ability to write long from tweets on there.
A market could be set up to trade this. If someone is interested in using that feature, he or she could go onto the open market and buy the NFT. Naturally, this wouldn't be worth a ton but there would be a return if the one holding the token has no interest in long form.
This could be scaled up based upon desired activity.
Ad revenue could also be tied, at least in part, to this. Again, a lifetime level could be established that gamified the activity. By doling out different NFTs, the holders are entitles to certain rewards. If one doesn't have the token but wants to participate, then it could be sold on the open market.
In this example, I am using lifetime totals. This could be for any time period. The point is that we are dealing with the ability to tie access to features or revenues based upon the NFTs that are held.
The value of the system, or at least part of it, is transferred to the NFT. This is a result of the network effect and the ongoing expansion of the services offered.
Hive Smart Contracts
With NFTs, Hive will have another opportunity to stand out.
Right now, it is evident we are looking at an island. The tentacles of Hive are short, mostly due to the lack of a robust smart contract platform.
We know this is being worked upon with one in testnet. Eventually, this is going provide bridges outside of Hive.
One of the keys is, as always, the fast and feeless nature of Hive. Settlement of the NFTs is not going to require the $20 transaction fee per NFT like Ethereum often runs into. It is also not going to be required to create each one. It takes the minting of NFTs to another level.
This is just one example of how Hive is on the right track and the technology is being built to offer different options.
Here is where we see value created. HIVE itself is an access token and is needed for any engagement with the base layer.
NFTs add another facet to this concept.
