Crypto Academy Week 10 - Homework Post for Professor @levycore

This is Week 10 of Steemit Crypto Academy and I'm writing Homework Task for Professor @levycore

Homework Task:

- Describe one popular project that uses NFT

Image source (Picture Edited)

What is Non-Fungible Token (NFT)?

NFT is a type of token which not interchangeable and it has only one owner. They are used to sell items that are very exclusive, such as collectible. NFTS's are used to buy and sell items online, they are run on Ethereum and other blockchains. NFT'S are secure as each transaction on NFT is recorded on the blockchain and can be verified and authenticated that is the reason why they are preferred by both owners and the market.

To buy NFT's, you need to participate in an auction where you can purchase them by making payments in Bitcoins (BTC). The concept of NTF was launched in 2015 and the first project was started in 2017.

Popular Project that uses NFT?

Crypto kitties

The milestone project that brought the NFT to the forefront of the crypto world was Crypto kitties. It was launched in 2017 by the dapper labs, it’s a game in which players buy and sell kitties to gain profits on the Ethereum blockchain. These are crypto-collectibles something like digital baseball cards. This game works on the basic idea that a digital good can be rare one.

The way this works that the developer companies create or introduces a unique cat every 15 minutes in the game which can be bought by only a single person. This process was done till late 2018 till 50000 crypto kitties were introduced. But in reality, the crypto kitties are much more than 50K because you can breed your crypto kitties in the game.

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You can buy crypto kitties or breed them to create certain trade combinations. Each cat has 12 different attributes that make up her appearances.

Crypto kitties work on the idea of scarcity or uniqueness because only one person buys a certain kitty . People are inserted and hyped to buy what they want like this quote

“ A kitty is born, it’s a beautiful kitty and only I own it and no one else “ source.

This is the basic concept of scarcity but like a baseball card you can only buy or own the object. In this case, crypto kitty in its physicality but the image is owned by the developer company. They can change its graphics in any way they want and it is written in the terms of the contract as well.

Crypto kitties APP is Decentralized

The app containing this game is decentralized which works in decentralized finance popularly known as DEFI. It’s also a new concept in the financial world of tomorrow. It is a concept of open financing where the financial products are posted online on a blockchain that operates on a decentralized method. it is open and accessible to everyone.

Back to crypto kitties, the basic and main advantage of the app is that it is Decentralized. That means, there is no single person ,entity or group of persons own the app . It is one and the first of its kind, the game was bumming at a certain time which allowed the people playing the game and making good profits by buying and selling virtual kitties on Ethereum based Blockchain.

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How to play Crypto kitties?

Like all other games out there you start with nothing at first. In order to play the game, the first thing you need to do is to buy a cat from the market place with Ethereum Coins.

To use the breeding feature, you will need to attest two cats of different properties, you can either do this to start breeding or you can make deal with someone on the platform and breed mutually.

Once you breed the cats of your liking, an egg enters your inventory bag with hatches. Upon clicking on it you have another kitten in your collection.

Just like that in the game, there are two different genders namely dame and sire and by the looks of it the dame is a female as it gets pregnant by the other gender called the sire.

How to Earn on Crypto kitties?

You can earn on Crypto kitties based on the rarity and scarcity of your kitties. The scare the kitty the batter the earning, Earning also depends on the different traits that a kitten possess, such as the generation they come from. This depends on the breeding of kitties. If they are from the 2nd generation then their offspring will represent the third generation.

Conclusion

NFT is not a new concept by any stretch of the imagination but it grasped the hype with Crypto-Kitties in late 2017. Because of the new idea of virtual collectibles put forth by crypto kitties.