An Integration of NFT with Physical Assets via NFC Technologymonruedee
Over the past few months, NFT (Non-fungible Token) has been one of the most trending topics. NFT has presented in various fields, and the most familiar field is Digital Artwork Trading via Cryptocurrency, which deal with a very high value of transaction, and some leads to big financial rewards for both buyers and sellers. NFT is an innovative concept based on Blockchain Technology, which contains an ownership history of a digital asset as well as its method of transactions. For this reason, NFT is used in trading not only the digital assets, but also the ownership of the assets. In addition to the digital artworks, many other digital assets such as music, fashion products, and games are also involved in NFT. With a broad range of use cases, NFT’s popularity has skyrocketed recently.
How to apply NFT to Physical Assets?
While NFT is popular for trading the digital assets, the use in physical assets is rarely seen. An integration between NFT platform and off-chain assets such as high-end products, garments, collectibles, antiques, and even consumer goods is one of the challenges to develop the robust NFT platform for future trends.
NFC (Near Field Communication) technology can be used as a link between NFT and physical assets via unique NFC data that are embedded in the NFC chip of each asset. In this way, the link is enabled via the communication between NFT and physical assets. NFC is a short-range wireless communication technology, which is suitable for exchanging digital information and connecting devices. NFC technology can securely prevent all unauthorized communications by both designated physical communication range and encryption. Moreover, NFC can be easily installed into any physical asset due to its small size.
Although the NFC technology can identify physical assets, without a proper encryption of the data there is a security weakness as the data embedded in the basic NFC chip can be imitated and modified. Therefore, it is always necessary to use the NFC chips with high security via an encryption technology. This allows the data to be encrypted, verified consistently, and transferred securely.
How to Use SIC43S1 in NFT?
Silicon Craft Technology PLC offers one of the most suitable secured NFC products, SIC43S1, for this NFT application. SIC43S1 is an NFC chip crafted with an advanced encryption technology to prevent data spoofing. A rolling code will be generated each time that the chip operates. This process enables non-repeated code to be used to identify the genuineness of a physical asset through the platform of the asset provider. The combination of SIC43S1 and NFT can verify the ownership and the origin of the physical assets. Using SIC43S1 allows a connection between the physical assets and the digital world in a simple and secured way for both online and offline trades.
As NFT has a wide range of applications for both digital assets and physical assets. SIC43S1 can play an important role in expanding NFT adoption into the real-life world stably and securely. In the expansion of future use of NFT, SIC43S1 will become one of the best methods for connecting NFT and Blockchain Technology.