NFTs - THE COMMODITIES COLLECTION

NFT's in Commodities

E1vis.Eth

1/11/20231 min read

If we put as much effort into building and maintaining our in-house ETRMS as taking the Commodities sector into the WEB3 space, we might be independent of ETRMS.

One potential use case for NFTS in the commodities market is the creation of digital certificates of ownership for physical commodities.

Traditionally, a physical certificate or document represents the ownership of physical commodities such as gold or oil. This system is prone to errors, fraud, and loss, as the physical documents can be easily misplaced or tampered with.Using NFTS, it is possible to create digital certificates of ownership that are securely stored on the blockchain. These digital certificates can represent ownership of a specific amount of a commodity and can be easily transferred and tracked using a decentralized network.

One advantage of using NFTS for commodities is the increased security and immutability of the ownership records. Since the certificates are stored on the blockchain, they cannot be altered or deleted without a consensus among the network participants. This makes it much harder for fraudsters to tamper with the records and steal ownership of commodities.

Another advantage is the ability to quickly and securely transfer ownership of the commodities. With physical certificates, the transfer of ownership often involves a time-consuming and costly process of moving the physical documents from one party to another. With digital certificates on the blockchain, ownership can be transferred with a simple and secure transaction, reducing the time and cost associated with the transfer.

In addition, the use of NFTS for commodities can also provide increased liquidity and accessibility. With digital certificates, it is much easier for buyers and sellers to find and trade with each other, as the ownership records are easily accessible on the blockchain. This can help increase the market's overall liquidity and make it easier for people to invest in and trade commodities.

Overall, the use of NFTS in the commodities market has the potential to provide increased security, accessibility, and liquidity. By representing ownership of physical commodities with digital certificates on the blockchain, NFTS can help to modernize and improve the efficiency of the commodities market.