The evolution of NFTs in a multi-chain future

by James · March 9, 2023

The non-fungible token boom of 2021 was marked by an increase in interest and investment in digital art and collectibles that showed a clear break from the way art had been made, perceived, bought and sold up to that point. Fueled by high-profile sales of NFTs, including the sale of a digital artwork by artist Beeple for $69 million in March 2021, this boom was also marked by controversy and criticism, particularly around the environmental impact of the energy-intensive blockchain technology used to create and trade NFTs.

Since this boom, NFTs have evolved from being merely digital collectibles to being used in a variety of applications such as gaming, music and sports – representing ownership in almost anything.

However, the rapidly evolving world of NFTs has brought its own set of challenges, one of which is scalability. The current blockchain infrastructure is unable to handle the growing demand for NFTs, leading to network congestion and exorbitant transaction fees. Another roadblock is interoperability, as NFTs are limited to a single blockchain, limiting their availability to users on other networks.

A multi-chain solution

Enter multi-chain networks. These networks offer a viable solution to the challenges plaguing the NFT market by facilitating cross-chain transactions and uniting multiple communities in a neutral and decentralized environment. A company leading the charge in this area is Cudos.

Cudos is a decentralized cloud computing platform that enables cross-chain transactions and provides a scalable infrastructure to run decentralized applications (DApps), addressing the scalability issue. Cudos offers a solution to the challenges in the NFT space by enabling cross-chain transactions, creators and buyers can access a wider market, and the issue of interoperability is resolved.

While many are familiar with Cudos as a pioneering blockchain platform for cloud computing, few may realize that it is built on the Cosmos SDK, a powerful tool for blockchain development.

The Cosmos SDK is a modular framework that enables developers to easily create their own blockchain applications. With pre-built modules for staking, governance and token issuance, as well as the flexibility to customize and add new modules as needed, the SDK is an ideal platform for building specialized blockchains tailored to meet the unique needs of different industries.

For Cudos, the Cosmos SDK has been an indispensable ingredient in constructing a blockchain platform that can handle the intricate calculations essential to cloud computing. Thanks to the SDK’s modular design, Cudos has been able to create a custom blockchain that can securely and efficiently process massive amounts of data.

Beyond its technical capabilities, the Cosmos SDK has a vibrant community of developers and enthusiasts, which has provided Cudos with a network of like-minded individuals who share a passion for blockchain technology and its potential to revolutionize industries.

Envisioning a new horizon for NFTs

AuraPool is a first-of-its-kind marketplace built by the team behind Cudos – experts in creating infrastructure marketplaces and backed by well-known VCs including Animoca Brands and Outlier Ventures. AuraPool democratizes the process of mining Bitcoin (BTC), offering ordinary investors the opportunity to own a piece of the action by tokenizing the hash rate. The sustainable marketplace creates a seamless bridge between NFT collectors and Bitcoin miners, providing the ability to access unique NFT hash rate collections that hold the key to untold utility – without any of the hardware costs.

The latest venture from Cudos aims to level the playing field and provide new opportunities for NFTs. Essentially, AuraPool enables users to mine Bitcoin without the need for a physical mining setup, expensive power consumption, or the risk of legal complications. By simply having hash rate NFTs in the Cudos wallet, individuals can benefit from the mining activities of AuraPool’s issuer mining farm. This groundbreaking approach has the potential to expand the pool of individuals who can participate in Bitcoin mining via hash rate collectibles, ultimately contributing to a more diverse and robust network.

The future of NFT’s success is dependent on the development of more robust and scalable multi-chain networks like Cudos. As the NFT market continues to expand, it is important to have infrastructure that can support the growing demand for NFTs and allow creators and buyers to access a wider market. Cudos and AuraPool provide a glimpse into the future of NFTs, where they can be used in multiple applications and accessed by users on multiple blockchains.

The multichain future of NFTs is an exciting prospect. As we move closer to a more interconnected and decentralized world, the role of multi-chain networks in enabling cross-chain transactions and addressing the challenges facing the NFT space cannot be overstated. The long-term success of NFTs will depend on the development of more robust and scalable multi-chain networks like Cudos. As the NFT space continues to evolve, it is important to have infrastructure that can support the growing demand for NFTs and enable creators and buyers to access a wider market with countless potential.