The use of Ethereum NFT tokens may reach a new level in the near future. They may replace passports as digital proof of identity.
NFTs are non-exchangeable tokens, or virtual digital assets on a blockchain. They are not interchangeable. Currently, they are mostly used to acquire digital objects. Once a transaction is completed, this digital certificate is stored on a blockchain and conveys exclusive rights over photos, videos, audio, and any digital goods.
This technology may now become indispensable for transit, international transportation, tourism, and other areas. NFTs are ideal for the identification of physical objects: for example, they may serve as a digital proof of identity or confirm the authenticity of legal documents and personal data. Notably, the digital tokens are mainly created on the Ethereum network. Moreover, analysts believe that the cryptocurrency is set to develop a rapid rally. By the end of this year, NFT sales could total $5 billion.
Prices of non-exchangeable tokens depend on the crypto market. In May, the volume of trade plunged due to a significant drop in digital currencies. Nevertheless, crypto assets regained bullish momentum.
