What is fungibility?
Fungibility means that the individual units of an asset are interchangeable and indistinguishable from each other.
A currency is a classic example of a fungible asset. Ten euros will remain ten euros no matter the bill’s series number.
On the other hand, an artwork is a non-fungible asset as a masterpiece painted by Picasso is not the same as one painted by Van Gogh. They are two completely different “chef d’oeuvre”, distinguishable and not interchangeable.
So what is an NFT or Non Fungible Token?
NFTs are unique tokens that exist in limited quantity.
Meaning, that if you have 2 NFTs, these 2 digital objects will be inherently different and that blockchain technology will be able to prove and certify their unicity.
What is nft in dbd
Thanks to a partnership with boss protocol and park avenue entertainment, you can own something utterly useless and confusing that may or may not give you a code for the game’s hellraiser dlc.
1:43 actually, as far as i’m aware, everyone understood this as behavior denying being willingly involved with this whole nft thing. Earlier today the dead by daylight twitter account. It has zero legal standing.
And then everyone got mad when they confirmed that they actually were willingly working with boss protocol, which means they straight up. Nft meaning (fungibility meaning) the key idea in this term is, non fungible.
What are nfts in dbd
Cascadia Blockchain Council and managing director of Yellow Umbrella Ventures.
This stands in stark contrast to most digital creations, which are almost always infinite in supply. Hypothetically, cutting off the supply should raise the value of a given asset, assuming it’s in demand.
But many NFTs, at least in these early days, have been digital creations that already exist in some form elsewhere, like iconic video clips from NBA games or securitized versions of digital art that’s already floating around on Instagram.
Famous digital artist Mike Winklemann, better known as “Beeple,” crafted a composite of 5,000 daily drawings to create perhaps the most famous NFT of 2021, “EVERYDAYS: The First 5000 Days,” which sold at Christie’s for a record-breaking $69.3 million.
Anyone can view the individual images—or even the entire collage of images online for free.
So why are people willing to spend millions on something they could easily screenshot or download?
Because an NFT allows the buyer to own the original item. Not only that, it contains built-in authentication, which serves as proof of ownership. Collectors value those “digital bragging rights” almost more than the item itself.
How Is an NFT Different from Cryptocurrency?
NFT stands for non-fungible token.
It’s generally built using the same kind of programming as cryptocurrency, like Bitcoin or Ethereum, but that’s where the similarity ends.
Physical money and cryptocurrencies are “fungible,” meaning they can be traded or exchanged for one another. They’re also equal in value—one dollar is always worth another dollar; one Bitcoin is always equal to another Bitcoin.
NFTs, you for sure have heard about them. They have been the hot topic of 2021 whether it is in the arts market, gaming or collection wise. The NFT hype is far from being over as it re-invents the whole concept of digital ownership.
But so, what is an NFT? How to best understand and leverage this intriguing technology? Is this hype solely based on the speculative bubble surrounding cryptocurrencies? Stick with us, to learn more.
I — What is an NFT?
NFT stands for “Non Fungible Token”.
First things first, what is a token?
In the blockchain ecosystem a token is any asset which has the capacity of being digitally transferred between two people.
For some fans purchasing the digital token, the NFT will also come with a copy of the Hellraiser DLC for Dead by Daylight too – though it’s not quite clear as to who exactly will receive this.
Within its FAQ page, Boss Protocol confirmed that the purchase of the Pinhead NFT would not unlock additional exclusive content within Dead by Daylight. However, the company did say that “certain Pinhead NFTs will unlock access to Hellraiser collectibles and all of them will entitle their owners (on a future date) to additional NFTs (like the Lament Configuration Box) at no cost.” The FAQ page also states: “The Pinhead NFT will also grant access to new content (unrelated to Dead by Daylight) in the future.
Source : Sorare.com
A digital unique artwork (Available on Rarible, we will also detail this at a later stage) by the artist CryptoFallenSource : Rarible.com
A GIF as an art-work in the form of an NFT (also available on Rarible) by the artist NashiCard
Source : rarible.com
NFTs can be of various types, in order to better understand them, let’s go through their characteristics together.
II — What are the characteristics of an NFT ?
As detailed previously, each NFT is unique. This unicity is defined by 4 main characteristics :
- A unique creator
- An unforgeable identifier
- Its content
- Its current owner
The unique creator
At the creation of the NFT, the creator will “sign” it.
Twitter user @vetrix_tron summed up this argument by stating: “Honestly today has left me feeling very conflicted. I really enjoy playing Pinhead, he’s slowly become one of my favorite killers, but knowing I was tricked into funding some NFT scam makes me feel shitty.”
this is something they really should have disclosed prior to release. i love pinhead but had i known his model would be used as an NFT that BHVR worked with and approved of, i wouldn’t have bought him
— 🎃halloweenclowns🎃 saw halloween kills (@carouselshotgun) October 18, 2021
Honestly today has left me feeling very conflicted.
But, according to the FAQ, no Dead By Daylight content will be locked behind the purchase.
In other words, purchasing the Pinhead NFT means you just get to say you own a digital item based on the Dead By Daylight character model, with no real in-game tie-in to Dead By Daylight’s gameplay. There is a nebulous promise by the NFT-maker, Boss Protocol, that the Pinhead NFT will “allow owners to unlock the character in other games that are now in development.” It’s a vague statement, and we’ll have to see how that manifests in the future. Pinhead NFT owners will also get another NFT, the Lament Configuration Box, as a bonus.
In other NFT news related to games, Valve just recently banned blockchain games from Steam.
An official statement hasn’t been released yet, but a NFT game developer gave their perspective.
Therefore, demand will drive the price rather than fundamental, technical or economic indicators, which typically influence stock prices and at least generally form the basis for investor demand.
All this means, an NFT may resale for less than you paid for it. Or you may not be able to resell it at all if no one wants it.
NFTs are also subject to capital gains taxes—just like when you sell stocks at a profit. Since they’re considered collectibles, however, they may not receive the preferential long-term capital gains rates stocks do and may even be taxed at a higher collectibles tax rate, though the IRS has not yet ruled what NFTs are considered for tax purposes.
The subreddit has since turned into a messy back-and-forth full of people who can’t decide if Behaviour should or shouldnot catch some of the heat for what’s ultimately become of its models. There’s also a lot of anger over on Twitter arguing Behaviour should have warned its players earlier, so they could have chosen to pass on the collaboration.
As for that actual NFT, it does sound like you don’t have to worry about it locking exclusive Dead by Daylight items or skins. It’s useless, but you may have already guessed that after upset nerds got really mad over Steam’s NFT ban.
Even in Behaviour’s Twitter comments, you can find a handful of defenders, but I’m not quite sure what they’re defending. From the official description, you may not even be guaranteed a copy of Hellraiser DLC.