Top 5 Use Cases For An NFT Domain
An NFT domain is a unique domain that combines two concepts: crypto wallet addresses that function as website domains.
The blockchain technology that powers NFT domains gives users a safer way to browse the Internet and more control over their user data.
NFT domains can be seen as the revival of the dot.com era, except with more use cases and functionality.
NFT domains are here to change your perception of the Internet. So hold on tight because we’re going on a deep dive.
Domains have historically been some of the Internet’s most valuable pieces of digital real estate. But as we can see, Web 2.0 domains haven’t evolved beyond displaying websites. Luckily for us, the blockchain technology that powers NFT domains opens up endless possibilities on the web. Keep on reading to find out what makes NFT domains special, their use cases, and how you can get one of your own.
What Is An NFT Domain?
An NFT domain is a crypto wallet address connected to a non-fungible token. This means that instead of an entity like Facebook controlling your data online, the power is transferred back to the user. And since NFT domains are on the blockchain, anyone can look up the data stored there, creating a sense of openness and transparency that Web 2.0 doesn’t have.
There is also the benefit of enhanced security. Only you can make updates to your NFT domain, minimizing the potential risks of getting hacked or your domain stolen.
Unlike the annual renewal fee-based traditional Web 2.0 domain business models, NFT domains are usually one-time purchases. They are also 100% user-owned, which means centralized corporations can’t censor or repossess your domain.
How Do NFT Domains Work?
Compared to Web 2.0 domain business models, NFT domains offer users a variety of unique advantages. But before you get all excited and start looking for your very own NFT domain, here is a simple breakdown of how NFT domains actually work:
It is something that is uniquely yours: You can buy, sell, or HODL them just like an NFT.
They function as wallet addresses: NFT domains allow you to send or receive other compatible cryptocurrencies and tokens. Instead of the standard wallet address, which is a random string of letters and numbers, you get something more readable like firstname.bnb. Claim your NFT domain on Binance’s Trust Wallet, which supports several types of NFT domain extensions.
They double up as domain names: Just like your regular domains, you can type it in your browser and see a website’s intended content.
5 Use Cases For An NFT Domain
An NFT domain can help content creators reclaim control and ownership of their digital identity. Instead of relying on social media platforms to host their content, they can use blockchain technology to host their digital content on the decentralized web.
What this means for content creators is that they are the only ones who can alter or remove their content, and centralized platforms like Facebook, Instagram or Twitter won't be able to remove their content or shut down their accounts.
Furthermore, creators hosting their content on an NFT domain can own their data and analytics. They could eventually charge tech companies to see their user data instead of being a product to benefit from.
Like content creators, companies might start hosting their websites on NFT domains instead of traditional ones. NFT domains could mitigate many problems an online business can face, such as the domain company reclaiming the website, being bound to a platform’s terms and conditions, or paying recurring hosting fees.
Since the early days of the Internet, musicians have struggled with intellectual property (IP) ownership. They were often short-changed by third parties who take a cut out of their earnings as a form of payment for “marketing” their music.
NFT domains offer an independent platform for musicians to publish without third-party interference. They can reclaim ownership of their music by leveraging NFT domains to promote their music, mint audio NFTs, and communicate with fans directly.
Artists can gain more exposure and differentiate themselves from other artists through digitizing their art. Through the use of an NFT domain, artists can display, auction, and sell their work in one space. Moreover, artists can receive payment linked to their NFT domain, making it a seamless experience for both the artist and the buyer.
In the future, viewing art in virtual museums and galleries with the help of VR integration may be a common occurrence. Interested in learning more about AR and VR NFTs? Check out our article on Are AR And VR NFTs The Future Of NFT?
Communities and forums
NFT domains can help redefine how users interact with each other in digital communities and forums.
Communities and forums could benefit from having free and inclusive discussions on a decentralized site without relying on a centralized service or worrying about censorship.
How To Buy An NFT Domain?
Now that you understand how NFT domains work, we’ve listed three simple steps of how you can purchase one for yourself.
Step 1: Go to an NFT domain marketplace
Similar to purchasing a traditional domain, you’ll have to go to a website. In this case, an NFT domain marketplace like Unstoppable Domains or Trust Domains.
Step 2: Pick your preferred extension
The NFT domain marketplace will pull up a variety of extensions, like .crypto, .dao, or .nft. On Trust Domains, you can pick from options such as .defi or .bnb.
Step 3: Make your payment
After selecting your desired extension, all you need to do is make your payment to finalize the purchase.
NFT domains can potentially be a big deal. They offer a taste of what could happen when it comes to the possibilities of Web 3.0.
As we continue to move towards a decentralized web, users and content creators could reclaim ownership of the Internet from the current massive and centralized corporations.
Ready to immerse yourself in all things NFT?
Browse a variety of NFT collections in our secondary marketplace. Want to keep up to date on our weekly IGO drops and exclusive Mystery Box releases? Follow Binance NFT on Twitter and Telegram!
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DISCLAIMER: NFTs are an emerging asset class that is still evolving. The information in this article should not be construed as investment or financial advice. Always do your own research before making any decision to buy, sell or trade NFTs.