Chair.Finance Pioneers the Tokenization of Rights and Benefits
As we progress into 2021, the drumbeat of cryptocurrency and the broader digital asset industry continues. It all started in 2008 when the pseudonymous Satoshi Nakamoto published a white paper outlining a digital currency, Bitcoin, underpinned by a new technology called blockchain. Now with over a decade’s development, blockchain technology seems to be near the dawn of widespread acceptance and adoption. Deloitte’s 2020 Global Blockchain Survey showed that people’s attitudes toward blockchain have measurably shifted in a positive way. Real-world blockchain solutions have been adopted and implemented across a variety of businesses and sectors. The hottest blockchain application scenario in recent months is the art auction sector with numerous record-breaking artworks and collectibles NFTs (Non-Fungible Token) sales. For all we know, NFT might be the key to blockchain’s mass adoption.
NFTs are an example of the types of digital asset that exists on the blockchain. The blockchain serves as a public ledger, allowing anyone to verify the asset’s authenticity and ownership. Much of the hype around NFTs centers around the creation of a digital certificate of ownership for unique pieces of art. The founder of Chair.Finance, Adriel, has been engaged in the blockchain industry for over six years. He is also an avid art collector in his personal life. He sees potential in NFTs to bring unimaginable transformation to the entire world of art. Moreover, Adriel believes that the potential for NFTs is by no means limited to art only. Any digital asset that the creators want to make unique can be tokenized into an NFT. At their core, NFTs act as a non-replicable, one-of-a-kind, digital certificate of ownership for any assigned digital asset. Uniqueness is the core feature of NFT.
Thomas Jefferson penned the famous quote from the U.S. Declaration of Independence in 1776, ‘all men are created equal’. Chair.Finance believes that each of us is unique, each one of us has our own qualities, instincts, creations, and desire for recognition. Therefore, Chair.Finance is determined to help every individual achieve their unique value. Everyone can create personalized NFTs on Chair.Finance and enjoy the rights and benefits generated by a NFT’s future popularity. The possibility is limitless. With Chair platform, more people can enjoy the benefit of NFTs.
Chair.Finance is constructed with a strong team of blockchain technologists. The transfer or sale of NFTs is governed by smart contracts which are built to automatically execute transactions without human interference if certain conditions are met. The smart contract will also define what an NFT can do. Unlike with traditional one-off sales, the original owner of an NFT can choose to program certain limitations into the NFTs code. These limitations could dictate how the digital asset is used, and how often. With artworks for an example, the original author of an artwork NFT can choose to program in royalties, meaning every time the artwork NFT is resold, the original author gets paid a royalty. All these processes would not require a third party, making the process completely decentralized and completely transparent. These smart contracts could revolutionize the way we complete transactions, share data, and trade assets. A massive intersection between the world of art and blockchain is redefining the concept of ownership in the digital age.
The concept of ownership is attached with ownership rights and benefits. The Stanford Encyclopedia of Philosophy defines rights as the entitlements to perform certain actions. Rights are often considered fundamental to any civilization, for they are regarded as established pillars of society and culture. To transfer a set of rights is to approve a distribution of freedom and authority. The Oxford English dictionary delineates benefits as an advantage or a profit gained from something. Therefore, benefit sharing is the action of distributing a portion of advantages or profits to others. The Property Rights Theory from the New Institutional Economics attempts to answer in which way rights should be distributed to maximize efficiency. Three key criteria are identified. The first principle is universality. All scarce resources should belong to someone. This right must be clarified unambiguously and guaranteed by a tamper-proof system. The second principle is exclusivity. All property rights should be allocated exclusively, increasing the interest for sustainability. The third principle is transferability. Property rights should be transferable. Thereby the rights could go to those who need it the most, all owners will have a stronger incentive for the efficient use of their resources.
An NFT’s unique qualities make it an ideal candidate to enforce the maximum efficiency principles of the Property Rights Theory from New Institutional Economics. Chair.Finance is one of the first decentralized platforms built for the creation and transaction of utility NFTs. On Chair, use cases of NFT are not limited to artwork and collectibles anymore. Instead, the category of NFT application on Chair will be significantly diversified as rights and benefits are involved in multiple industries in the real world. NFTs can be applied to real estate, identification, internet influence, a piece of music, a picture, or a car, which provides lots of use cases for rights and benefits NFT.
With the Chair platform, anyone can easily tokenize their personal rights and benefits into NFTs and sell or auction them, boosting the circulation of various rights and benefits represented in the form of NFT assets Chair provides a unique means for people to migrate their rights and benefits to the broad digital world.
Chair. Finance is designed to promote the exchange of rights and benefits, encourage high-quality original content creation, and facilitate the promulgation of valuable ideas, products, or services. With the help of NFTs, assets will be protected by enforced property rights. Users will become less likely to exploit resources unsustainably or inefficiently as the property is protected. The price mechanism will become more effective at finding the true market equilibrium and protect the owners of the good from opportunism and pirating. Efficient circulation of property rights will also lower transaction costs by providing an efficient resolution for conflicts over scarce resources. One case in point is the KOL fan economy. Though with considerable influence, promotion ability, and a large number of loyal fans, KOLs have difficulty currently monetizing their rights and benefits, not to mention the risk of copyright infringement. These issues can be solved on Chair as it provides rigorous intellectual property rights protection, rapid circulation, and equal participation for KOLs. Many KOLs wiil be attracted to Chair with the platform’s profitable business model and the founding team’s high quality personal resources. After joining the platform, KOLs will be able to monetize their internet influence and utilize their own resources to attract more fans to spread the word about CHAIR, such that a positive feedback loop will bring more attention to both the KOLs and the Chair platform. The platform, KOLs, and fans will work together to make the cake bigger and achieve a win-win situation, facilitating an NFT’s viral marketing and attracting traffic and incremental capital from fields outside the blockchain industry. A liquid market that unites the buyers and sellers is thus formed, making the KOL fan economy more prosperous. With the NFT service provided by Chair.Finance, we endeavor to revitalize the digital ownership system. Just like the way the printing press once facilitated the European Renaissance and permanently altered the structure of human society.
NFT is also revolutionizing the financial landscape. Ever since the first debit card hit the market back in the 1960s, with more and more digital payment options over the decades, we have been slowly moving towards a cashless society. The future of money will be paperless and coinless. Central banks all around the world are experimenting with ‘central bank digital currencies’, or CBDC. The blockchain technology and its byproducts, cryptocurrency and NFT, could form a sweeping change in the international financial system. This is exactly what Chair.Finance is committed to achieving. The way we trade with each other is about to embrace a major update with the arrival of tokenization.
Chair’s focus on rights and benefits NFT is very likely to change the current cryptocurrency market landscape by reaching out to more industries apart from art and collectibles. Different from the NFT 1.0 era flooded with artwork, NFT 2.0 will expand to multiple industries including financial assets, data, and digital identification so as to achieve large-scale commercial use of NFTs. Decentralized NFT exchange might become the key infrastructure for the implementation of NFT 2.0. As the very first decentralized exchange for utility NFTs, Chair.Finance, as a true trailblazer in this blue ocean, is about to compose a brand new chapter for this grand overture of our time.
The blockchain technology removes the intermediaries in asset rights transfers, lowers asset transaction costs, and grants everyone equal rights to access the wider global markets. NFTs will play an increasingly important role in ushering in the next era of the digital economy. The NFT economy has the power to change the world in profound ways. The creative possibilities are endless. Cryptocurrency has allowed us to re-imagine payments in a paperless world. With the innovative utility NFT trading platform built by Chair, let us re-imagine rights and benefits in the digital world.