NFT has been regarded as the next area of ​​DeFi to develop. NFT is derived from the ERC721 protocol. Although NFTs are digital assets, they can be combined with physical and real objects. Its greatest achievement is to prove that most things can be tokenized.

Although, in the first half of 2020, the total amount of NFT US dollar transactions reached US$230 million, a year-on-year increase of nearly 300%, but it is still relatively small. Some people say that as intellectual property rights are transferred to the blockchain in the form of NFT in the future, trillions of digital content units will be put into the market, which will release huge illiquid value.

From the current layout, NFT has expanded from the initial game circle to the fields of artworks, collectibles, real asset tokenization and virtual assets. So far, Nike has filed a patent for tokenized shoes on ethereum, and F1 is hosting auctions for car brand NFTs. Even public chains such as BTC, EOS, NEO, and IOST have gradually introduced the concept of NFT and created application products representing their own platforms.

The game industry and the art industry have their own trading scenarios. The scale of recharge and exchange equipment and equipment transactions in the game industry is a direction that can be worked hard. However, the scale of works of art or other collectibles is still in the stage of laying out step by step. Relying on market education and the development of trading platforms, NFT can still be used as digital assets or even physical assets to become the entrance of value resources.

The hot future development fields of NFT include: prediction market, insurance, IP field and AR intelligence.