Why digital ownership is an improvement

Some people say the web is already too capitalistic. And to be fair, there is a lot of truth in this. So how can digital ownership be an improvement here? The actual question should be: Who is the owner? You probably know the answer already: It’s very likely not you.

The status quo: Thank you for the value! People spent years and countless resources creating high class content on instagram, youtube, tiktok (add your fav social media here) in order to make more people follow their profiles. Companies spend days and nights improving their websites to be listed on top of google’s search index, to acquire new leads and customers. People improve and polish their linkedin profiles, to have their digital reputation set up accurately. Musicians are forced to use every existing technique to reach new audiences on spotify. Every single moment web2 users generate an insane amount of digital value. But end up owning
none of it.

It’s a truism and nothing really new if we tell you that big tech companies own your data. So let’s keep focus on the created value and get back to the question of digital ownership. Because the answer is as simple as a browser or app login: If it’s not your server, you don’t own it. We lock you out in seconds and there you go. Thank you for the value! It’s that simple.

So: When it comes to digital ownership in web2, it’s mostly the big tech companies (you know their names) who have ownership on pretty much everything you see in your browser and everything you as a user create. And if it’s not the website you are interacting with, chances are high that your created value is stored on one of the big tech players’ centralized servers.

How blockchain technology can empower users by
owning digital assets (NFTs).

If you’re new into the web3 space you must first understand the difference between centralized and decentralized stored data (aka value).

Instead of having one centralized server controlled by one authority which then has full ownership of your data (aka value), you will now store your data (aka value) on hundreds (better thousands) of equal servers (we call them nodes on a blockchain). The only authority to access this data (aka value) is the person who has access to a so-called “wallet” where the data (aka value) is located.

If you own this wallet by knowing your seed phrase you are the true owner of this data (aka value). In that case your data (aka value) has turned into an NFT. Congratulations.

This may sound a bit techie, but if you’re taking away that data (aka value) stored on a blockchain can give you true ownership on that data (aka value) then we are ready to continue.

NFTs will give you different types of digital ownership

Just like in the physical world you’re living in, we are facing different types of value and ownership in web3 as well. Take a car for example: It has usage value (you can drive it and brings you from place A to B) and it has financial value (depending on your cars condition, its brand and other reasons). The same works in web3: Your digital asset/NFT has value in usage (it can give you access to special events, exclusive products or services and more) and it has financial value (depending on availability and demand, its brand/creator and other reasons).

What about Brands aka NFT creators?

I’m glad you asked. If you’re planning to release your own NFT collection (we recommend doing so) your brand will enjoy full ownership of the data (aka value) created just like your customers. Make sure to add usage value to your NFT drop (seriously, that’s important), the financial value will then come by itself. Thanks to web3/blockchain technology, you can now directly benefit long term from your web3 customers, because of these two magical words: creator fees. The shortest version we can give is: Everytime your NFT changes its owner (remember digital ownership) you will benefit with x% on the agreed price between the old and the new NFT owner.

Or in other words: Imagine you’re a car brand. Everytime your customers resell one of your cars your brand will benefit with x% on the agreed price between the old and new car owner, while the new owner will directly become your new customer. In this case you as a car/NFT creator will never run out of customers, because you own the data (aka value). It is then up to you how you treat your new/old customers and keep data aka value up.

Digital ownership: Where do we go from here?

This goes out to NFT creators and brands: We recommend reading this cool story about the metaverse first. Because getting a vague understanding of what the metaverse currently is and where it will go from here, will help you understand the bigger picture of web3 and NFTs.

Now that we know that digital ownership is a serious thing, it’s important to understand that growth in the metaverse will only be successful by building partnerships with other NFT creators/brands. This will give access (ownership) to your digital assets (aka your NFT collection) to new potential web3/NFT customers. This is the time when NFT/metaverse value turns into real life ownership:

And it all started with a simple NFT drop, that gave its holders digital ownership.

You got here just in time.