Why web3

Blockchain technology and NFTS have created new opportunities and models for transacting online. The idea of ownership is evolving as quickly as the technology itself and many of us are not content to consume blindly without a stake in what we are purchasing. It sounds more complicated than it is- and maybe too good to be true- but read on if you want to learn how all this is possible.

// NFTS, BLOCKCHAIN AND
CRYPTOCURRENCY EXPLAINED //


WHY FINE JEWELRY, FASHION, AND ART IS A PERFECT MARRIAGE

Although this new landscape can be confusing and scary to navigate, there are numerous benefits to being an early adopter. Metagolden anchors luxury investments to NFTs providing provenance, authentication and longterm value through blockchain technology. Your physical piece represents your digital investment that appreciates while you wear it or enjoy it. And Metagolden manages the entire process for you.

WHAT EXACTLY IS AN NFT?



An NFT, or ‘non-fungible token,’ is a unique, digital certificate stored on a blockchain and provides certain ownership rights in an asset, typically a digital one, such as a digital work of art. NFTs provide a powerful tool to establish and demonstrate ownership rights in the digital asset space. It is often hard to demonstrate such rights given how quickly and easily digital works can be replicated. NFTs are described as ‘non-fungible’ because each one is unique and of different value. This contrasts with ‘fungible’ assets such as dollars or Bitcoin, which are identical and interchangeable.

An NFT is generated (or ‘minted’) using a ‘smart contract’, which is computer code stored on a blockchain. The NFT includes a few different fields such as the NFT’s unique identifier (typically referred to as a ‘TokenID’); the blockchain wallet address of the current owner; and an identifier of where the digital work of art associated with the NFT may be found. Since blockchain transactions are fully transparent, anyone can view an NFT and its underlying information, including the blockchain address of the current owner and the blockchain address of each owner since the creation, or ‘minting’ of the NFT.

When a buyer purchases an NFT, they must have a digital wallet to receive, access, and transfer an NFT. An NFT can be bought and sold like other pieces of property. These purchases and sales are effectuated by transferring the NFT through a blockchain transaction from the seller to the purchaser. Download the app Metamask if you want to set up your digital wallet. Make Sure you put your password and seed phrase in a very safe place and do not share your seed phrase with anyone. If you forget your password, your seed phrase is the only way to get into your account.

WHAT ARE SOME OF THE BENEFITS OF AN NFT?




NFTs are used for authentication of appreciable assets (digital OR physical). Because they provide a failsafe digital record, they also allow artists and designers to register their work and retain royalty rights when it is sold or transferred. This capability has transformational power when it comes to retail- thus the term "creator economy".

In addition, a digital asset (unlike a physical one) does not depreciate upon first use, but rather the opposite in many cases. Owning a digital asset is a fantastic investment- especially when coupled with the right physical asset.

SCARCITY


Since NFTs are non-fungible and stored on a blockchain, the owner of an NFT associated with an asset, typically a digital one, such as a digital work of art, knows that they alone hold that specific NFT.

In some cases, an artist or rights holder may elect to have a smart contract generate a limited number of NFTs for the same work, similar to how an artist might release a limited edition of physical work. A buyer of an NFT, looking at the NFT code, would see the number of NFTs that could be generated as part of a limited edition.

AUTHENTICITY


Once an NFT is minted on the blockchain, it is a unique token that anyone can view and access to confirm the metadata, ownership history, TokenID, blockchain address, and other underlying information. In addition, since transactions on a blockchain are publicly viewable, buyers can see the address from which the NFT was first minted.

HISTORY OF OWNERSHIP


As noted, every transfer or purchase of an NFT is recorded on a blockchain, along with the blockchain address of every digital wallet that has held that NFT. As a result, there is a publicly accessible record documenting the ownership history for each NFT that cannot be altered or erased. Provenance is therefore automated, accurate, and verifiable.

WHAT IS A BLOCKCHAIN?

A blockchain is a distributed database shared among the nodes of a computer network. As a database, a blockchain stores information electronically in digital format. Blockchains are best known for their crucial role in cryptocurrency systems, such as Bitcoin, for maintaining a secure and decentralized record of transactions. The innovation with a blockchain guarantees the fidelity and security of a record of data and generates trust without the need for a trusted third party.


IS BLOCKCHAIN SECURE?

Blockchain technology achieves decentralized security and trust in several ways. To begin with, new blocks are always stored linearly and chronologically. They are always added to the “end” of the blockchain. After a block has been added to the end of the blockchain, it is extremely difficult to go back and alter the contents of the block unless a majority of the network has reached a consensus to do so. That’s because each block contains its own hash, along with the hash of the block before it, as well as the previously mentioned time stamp. Hash codes are created by a mathematical function that turns digital information into a string of numbers and letters. If that information is edited in any way, then the hash code changes as well.



HOW ARE NFTS DIFFERENT FROM CRYPTOCURRENCY?

NFTs are not the same as cryptocurrency. An NFT uses cryptocurrency to conduct the transaction. It uses the same blockchain technology that cryptocurrency uses, but the asset is set up differently. Whereas a cryptocurrency coin can be traded or exchanged equivalently, the NFT cannot. Each cryptographic asset is set up with a unique identification code and metadata that distinguishes one NFT from another. In other words, you can trade one Bitcoin for another Bitcoin—they are equal—but NFTs don’t trade equally. ​

HOW DO I CLAIM MY NFT?

When you purchase a piece of jewelry from Metagolden, it comes with a version of digital art that you will also own.

You will receive a confirmation email at time of purchase with instructions on how to claim your digital asset. If you do not have a crypto wallet, we can help set one up and/or store your art in our NOVEL virtual vault so that you can access it at any time.

Digital art can be displayed in many ways including via QR code and/or special NFT display screens. If you decide to sell your digital art you will need a crypto wallet. Crypto wallets allow you to sell or purchase digital art on various NFT marketplaces (virtual galleries) with crypto currency.

SET UP A CRYPTO WALLET

The easiest way to set up your crypto wallet is with MetaMask, a software cryptocurrency wallet used to interact with the Ethereum blockchain. It allows users to access their Ethereum wallet through a browser extension or mobile app, which can then be used to interact with decentralized applications.

EMAIL SPAM WARNING:
DO NOT respond to ANY emails from Metamask asking to verify your account! It’s a hacker! NEVER GIVE YOUR SEE PHRASE TO ANYONE who is asking for it EVER!