Non-fungible tokens (NFTs) have been a major part of the crypto space for years. The first consumer NFT project was created in June 2017 by Larva Labs. Called CryptoPunks, the project represents what NFTs have been for a long time – unique digital images that function primarily as collectibles.
However, a new project seems poised to transform what we mean by NFT. It is HedgeUp (HDUP). It is currently being developed on the Ethereum blockchain and many crypto experts consider it one of the best decentralized finance (DeFi) projects of the year. Read on to find out how HedgeUp is changing the game.
CryptoPunks was the first mainstream NFT project. It consists of a collection of 10,000 unique digital characters known as “punks”. Every punk has their own unique combination of traits like hair color, hairstyle, and accessories. The background also differs from character to character.
Some time after its launch, CryptoPunks became very popular among collectors and enthusiasts. This set the standard for what NFT projects would be for the next few years – unique digital art collections.
NFTs would explode in 2021 and early 2022. However, the 2022 bear market would highlight perhaps the biggest problem with these tokens – the lack of any real utility. Most NFT projects were just single digital images. The best anyone could do with one was use it as a social media PFP.
This meant that much of the value of NFTs came from pure speculation. So when things started to turn sour in the crypto market, the NFT market also crashed. This realization caused many people to lose faith in NFTs as a viable investment instrument.
HedgeUp (HDUP) brings new utility to NFTs
Since early last year, projects have found ways to inject real utility into NFTs. This largely involves giving NFT holders exclusive perks and perks. For example, the Bored Ape Yacht Club (BAYC) NFT Collection offers holders private online spaces, members-only live events, exclusive merchandise, and more.
The utility approach of HedgeUp (HDUP) is very different. Where most NFT projects turned to exclusive member-only benefits, HedgeUp turned to tokenization to create a one-of-a-kind product in the DeFi space.
It builds an investment platform that uses NFTs to give investors exposure to alternative assets like gold, diamonds, jewelry, artwork, and more. The project team says it will turn these assets into non-fungible tokens that people can then trade on its investment marketplace.
This means that HedgeUp’s (HDUP) NFTs are backed by real-world assets. The value of each NFT will change depending on the value of its underlying alternative asset. For example, a gold-backed NFT will track the value of gold. Investors who buy the NFT will essentially invest in the underlying gold and can speculate on it to make a profit.
This is the first project to use NFTs to allow people to invest in alternative assets. As such, it is seen by many experts as a project that will revolutionize NFTs and the alternative asset market.
The project is currently on presale. The project sells its in-house currency HDUP to investors at a discounted price of $0.036.
For more information on the HedgeUp Presale (HDUP), use the links below: