Usability and utility is the hottest trend in NFT

Maciej Zieliński

23 Aug 2022
Usability and utility is the hottest trend in NFT

NFT is gaining popularity not only in the new technology sector but also in the real business world. Currently, NFT can be divided into two groups: 

  • Collectible items - these are tokens intended to be collected and owned - such as artwork, celebrity merchandise, entertainment content, Twitter names/domains, and memorabilia
  • Consumables are things or rights that can be realistically used, e.g., the right to download limited edition music, the right to share products and content, etc. 

What this means in practice is that an NFT with a utility function realizes its value based on services provided, consumption, and cooperation between companies. How does NFT create value? When do products become helpful, and how can they be used - we write about this below!

How does NFT create value?

We should remember that quantitative and qualitative factors influence NFT value. In practice: 

  • utility, 
  • rarity,
  • liquidity is the main factor of value creation. 

The market is shaping to treat utility as the primary value, which determines the approximate range of benefits obtained from owning NFTs. In addition to utility, rarity also increases their value. Typically, NFTs are issued in limited quantities - sometimes unique - gaining additional cache among collectors, so even a small increase in demand can lead to a rise in their price. It's important to remember that NFT transactions rely on liquidity, just like existing cryptocurrencies. This is important because liquidity makes people willing to take the risk of holding NFTs at high prices, thus increasing their value.

Emotion, and value and utility in NFTs 

The primary factor affecting the value of NFTs in terms of utility is the emotional charge that accompanies a product or service. Emotions show people's broad interests and tastes. It should be noted that an emotional approach in NFT arises when it is backed by, for example, social status, finances, property rights, great experiences, etc. When the above factors combine, the emotional appeal of an item leads to increased demand.

Utility of NFT for business

The usefulness of NFTs lies in their use of blockchain technology. With it, all rights and ownership of NFTs are extraordinarily secure and guaranteed. Smart contracts, blockchain, and NFT are gaining popularity in everyday life. It's easy to imagine a world where all contracts, movables, and real estate are reflected in NFT—selling a house using NFT? Nothing more straightforward - once the amount is booked, the smart contract will automatically transfer the rights to the new buyer, skipping all the red tape and selling a car. NFT will transfer, register and transfer ownership of the vehicle to the buyer once the funds are booked. It's a completely secure, fast, and transparent solution. No one will break blockchain technology, forge the title deed, sales contract, etc. Instead of looking for documents to prove ownership, this NFT will give you an actual record of the entire ownership history of the item.

The utility of NFT, and documents 

Nowadays, most people know that paper transactions are inefficient, require more staff, and are easy to lose (fire, flood, lost documents). Nevertheless, the paper has an advantage over documents in the cloud - confirming the authenticity of classic documentation is easier. In addition, documents stored online can be hacked, copied, or altered, which happens very often and generates high costs for companies. NFT transactions can solve both of these problems. They provide another form of security to digital commerce while making the entire process more efficient. Everyone involved in the transaction can follow the path from the creation of the NFT to the final version in real-time and know who else is involved. Identity theft can be a thing of the past. The assets represented by the NFT are tracked and verified for existence, increasing the confidence of all parties that transactions are carefully planned.

Advantages of utility in NFTs 

NFTs themselves carry some advantages. The following are benefits that can be directly linked to utility:

utility
  • They can significantly reduce transaction processing costs for buyers and sellers of goods or services.
  • NFTs are easy to create, and a person can enter a few NFTs per hour - something they can't do with physical documents or even a large number of digital documents.
  • Enhanced security - no possibility of forged documents thanks to blockchain technology. 
  • No bureaucracy - the process is automatic using smart contracts. 
  • Interoperability - NFT helps keep all rights, settlements, and ownership between the consumer and the company in one place. 

Utility in NFT improves the brand-consumer relationship

Whether the NFT in question is musical, artistic, or collectible, it can be used to improve the relationship between artists and fans. Artists, in many cases, give preference to their art to fans who are in their clubs. NFT makes it easier to identify fans and even presents a history of their brand loyalty. Usability in NFT also allows communication between seller and buyer, which can be used to promote or pay for the artwork. 

Problems with utility in NFT 

We wrote earlier about the emotional charge associated with NFT. Like any solution, usability in NFT can carry some drawbacks. The first of these is undoubtedly the availability of the product. This is because blockchain technology and NFT (although constantly developing) are still known in a closed environment. The process, from creating a decentralized wallet to purchasing the final NFT, is complex. Having to double or triple fees along the way can be very inconvenient, especially for the general public. Additionally, many countries have legislative problems regarding NFTs. There are different criteria for interpreting NFTs as virtual assets, and many countries are having trouble regulating them. Although it appears to be a complicated sector, it can significantly facilitate many areas of the economy in practice.  

Examples of utility in NFT 

Some companies are implementing NFT usability into their businesses, moving with the times. Below are examples of sectors that are already using it: 

  • Art - Art Blocks is a leader in next-generation art. The listed platform supports the projects of the most innovative digital artists, combining creative coding with blockchain technology to establish a new paradigm of artistic creation and ownership. Through NFT's utility, collectors can participate in the realization of an artist's vision, resulting in unique algorithmic artworks. This symbiotic relationship and shared experience are the foundation of a vibrant community. 
  • Socks - is a sales project affiliated with Uniswap, where the purchase and sale of socks are made real by NFT. SOCKS are ERC-20 tokens and can be used like any other ERC-20 token on Ethereum. Uniswap created an initial liquidity pool of 500 SOCKS and 35 ETH to facilitate user trading. It's an exciting and humorous concept combining NFT with a real product. 
  • Jewelry - Tiffany & Co, a luxury jewelry company, intends to sell NFTs that give CryptoPunk holders the right to turn their NFTs into custom pendants containing gems and diamonds. It's a concept that works in reverse to SOCKS because here, you are really buying a charm that you can then wear in the CryptoPunk metaverse. 
  • GMI hoodie - Each hoodie contains an IYK chip that can be scanned upon receipt to obtain a combined NFT token and $1 GMI token. You don't need to download the application to make a claim. If you sell your hoodie, the new owner can pull the NFT from your wallet into theirs. This exciting project combines broad movable property rights - both classic and digital - in one place. 

Summary 

The utility of NFT is one of the most important features of this kind of technology. It allows the transfer of property rights, improves the relationship between consumers and creators, and minimizes bureaucracy. Some companies are already taking advantage of NFT's usability - others are just analyzing the possibility of implementing this system into their corporation. It is undoubtedly one of the most exciting topics in 2022, so it is worth learning about its advantages and disadvantages!

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AI in Real Estate: How Does It Support the Housing Market?

Miłosz Mach

18 Mar 2025
AI in Real Estate: How Does It Support the Housing Market?

The digital transformation is reshaping numerous sectors of the economy, and real estate is no exception. By 2025, AI will no longer be a mere gadget but a powerful tool that facilitates customer interactions, streamlines decision-making processes, and optimizes sales operations. Simultaneously, blockchain technology ensures security, transparency, and scalability in transactions. With this article, we launch a series of publications exploring AI in business, focusing today on the application of artificial intelligence within the real estate industry.

AI vs. Tradition: Key Implementations of AI in Real Estate

Designing, selling, and managing properties—traditional methods are increasingly giving way to data-driven decision-making.

Breakthroughs in Customer Service

AI-powered chatbots and virtual assistants are revolutionizing how companies interact with their customers. These tools handle hundreds of inquiries simultaneously, personalize offers, and guide clients through the purchasing process. Implementing AI agents can lead to higher-quality leads for developers and automate responses to most standard customer queries. However, technical challenges in deploying such systems include:

  • Integration with existing real estate databases: Chatbots must have access to up-to-date listings, prices, and availability.
  • Personalization of communication: Systems must adapt their interactions to individual customer needs.
  • Management of industry-specific knowledge: Chatbots require specialized expertise about local real estate markets.

Advanced Data Analysis

Cognitive AI systems utilize deep learning to analyze complex relationships within the real estate market, such as macroeconomic trends, local zoning plans, and user behavior on social media platforms. Deploying such solutions necessitates:

  • Collecting high-quality historical data.
  • Building infrastructure for real-time data processing.
  • Developing appropriate machine learning models.
  • Continuously monitoring and updating models based on new data.

Intelligent Design

Generative artificial intelligence is revolutionizing architectural design. These advanced algorithms can produce dozens of building design variants that account for site constraints, legal requirements, energy efficiency considerations, and aesthetic preferences.

Optimizing Building Energy Efficiency

Smart building management systems (BMS) leverage AI to optimize energy consumption while maintaining resident comfort. Reinforcement learning algorithms analyze data from temperature, humidity, and air quality sensors to adjust heating, cooling, and ventilation parameters effectively.

Integration of AI with Blockchain in Real Estate

The convergence of AI with blockchain technology opens up new possibilities for the real estate sector. Blockchain is a distributed database where information is stored in immutable "blocks." It ensures transaction security and data transparency while AI analyzes these data points to derive actionable insights. In practice, this means that ownership histories, all transactions, and property modifications are recorded in an unalterable format, with AI aiding in interpreting these records and informing decision-making processes.

AI has the potential to bring significant value to the real estate sector—estimated between $110 billion and $180 billion by experts at McKinsey & Company.

Key development directions over the coming years include:

  • Autonomous negotiation systems: AI agents equipped with game theory strategies capable of conducting complex negotiations.
  • AI in urban planning: Algorithms designed to plan city development and optimize spatial allocation.
  • Property tokenization: Leveraging blockchain technology to divide properties into digital tokens that enable fractional investment opportunities.

Conclusion

For companies today, the question is no longer "if" but "how" to implement AI to maximize benefits and enhance competitiveness. A strategic approach begins with identifying specific business challenges followed by selecting appropriate technologies.

What values could AI potentially bring to your organization?
  • Reduction of operational costs through automation
  • Enhanced customer experience and shorter transaction times
  • Increased accuracy in forecasts and valuations, minimizing business risks
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Want to implement AI in your real estate business?

Nextrope specializes in implementing AI and blockchain solutions tailored to specific business needs. Our expertise allows us to:

  • Create intelligent chatbots that serve customers 24/7
  • Implement analytical systems for property valuation
  • Build secure blockchain solutions for real estate transactions
Schedule a free consultation

Or check out other articles from the "AI in Business" series

AI-Driven Frontend Automation: Elevating Developer Productivity to New Heights

Gracjan Prusik

11 Mar 2025
AI-Driven Frontend Automation: Elevating Developer Productivity to New Heights

AI Revolution in the Frontend Developer's Workshop

In today's world, programming without AI support means giving up a powerful tool that radically increases a developer's productivity and efficiency. For the modern developer, AI in frontend automation is not just a curiosity, but a key tool that enhances productivity. From automatically generating components, to refactoring, and testing – AI tools are fundamentally changing our daily work, allowing us to focus on the creative aspects of programming instead of the tedious task of writing repetitive code. In this article, I will show how these tools are most commonly used to work faster, smarter, and with greater satisfaction.

This post kicks off a series dedicated to the use of AI in frontend automation, where we will analyze and discuss specific tools, techniques, and practical use cases of AI that help developers in their everyday tasks.

AI in Frontend Automation – How It Helps with Code Refactoring

One of the most common uses of AI is improving code quality and finding errors. These tools can analyze code and suggest optimizations. As a result, we will be able to write code much faster and significantly reduce the risk of human error.

How AI Saves Us from Frustrating Bugs

Imagine this situation: you spend hours debugging an application, not understanding why data isn't being fetched. Everything seems correct, the syntax is fine, yet something isn't working. Often, the problem lies in small details that are hard to catch when reviewing the code.

Let’s take a look at an example:

function fetchData() {
    fetch("htts://jsonplaceholder.typicode.com/posts")
      .then((response) => response.json())
      .then((data) => console.log(data))
      .catch((error) => console.error(error));
}

At first glance, the code looks correct. However, upon running it, no data is retrieved. Why? There’s a typo in the URL – "htts" instead of "https." This is a classic example of an error that could cost a developer hours of frustrating debugging.

When we ask AI to refactor this code, not only will we receive a more readable version using newer patterns (async/await), but also – and most importantly – AI will automatically detect and fix the typo in the URL:

async function fetchPosts() {
    try {
      const response = await fetch(
        "https://jsonplaceholder.typicode.com/posts"
      );
      const data = await response.json();
      console.log(data);
    } catch (error) {
      console.error(error);
    }
}

How AI in Frontend Automation Speeds Up UI Creation

One of the most obvious applications of AI in frontend development is generating UI components. Tools like GitHub Copilot, ChatGPT, or Claude can generate component code based on a short description or an image provided to them.

With these tools, we can create complex user interfaces in just a few seconds. Generating a complete, functional UI component often takes less than a minute. Furthermore, the generated code is typically error-free, includes appropriate animations, and is fully responsive, adapting to different screen sizes. It is important to describe exactly what we expect.

Here’s a view generated by Claude after entering the request: “Based on the loaded data, display posts. The page should be responsive. The main colors are: #CCFF89, #151515, and #E4E4E4.”

Generated posts view

AI in Code Analysis and Understanding

AI can analyze existing code and help understand it, which is particularly useful in large, complex projects or code written by someone else.

Example: Generating a summary of a function's behavior

Let’s assume we have a function for processing user data, the workings of which we don’t understand at first glance. AI can analyze the code and generate a readable explanation:

function processUserData(users) {
  return users
    .filter(user => user.isActive) // Checks the `isActive` value for each user and keeps only the objects where `isActive` is true
    .map(user => ({ 
      id: user.id, // Retrieves the `id` value from each user object
      name: `${user.firstName} ${user.lastName}`, // Creates a new string by combining `firstName` and `lastName`
      email: user.email.toLowerCase(), // Converts the email address to lowercase
    }));
}

In this case, AI not only summarizes the code's functionality but also breaks down individual operations into easier-to-understand segments.

AI in Frontend Automation – Translations and Error Detection

Every frontend developer knows that programming isn’t just about creatively building interfaces—it also involves many repetitive, tedious tasks. One of these is implementing translations for multilingual applications (i18n). Adding translations for each key in JSON files and then verifying them can be time-consuming and error-prone.

However, AI can significantly speed up this process. Using ChatGPT, DeepSeek, or Claude allows for automatic generation of translations for the user interface, as well as detecting linguistic and stylistic errors.

Example:

We have a translation file in JSON format:

{
  "welcome_message": "Welcome to our application!",
  "logout_button": "Log out",
  "error_message": "Something went wrong. Please try again later."
}

AI can automatically generate its Polish version:

{
  "welcome_message": "Witaj w naszej aplikacji!",
  "logout_button": "Wyloguj się",
  "error_message": "Coś poszło nie tak. Spróbuj ponownie później."
}

Moreover, AI can detect spelling errors or inconsistencies in translations. For example, if one part of the application uses "Log out" and another says "Exit," AI can suggest unifying the terminology.

This type of automation not only saves time but also minimizes the risk of human errors. And this is just one example – AI also assists in generating documentation, writing tests, and optimizing performance, which we will discuss in upcoming articles.

Summary

Artificial intelligence is transforming the way frontend developers work daily. From generating components and refactoring code to detecting errors, automating testing, and documentation—AI significantly accelerates and streamlines the development process. Without these tools, we would lose a lot of valuable time, which we certainly want to avoid.

In the next parts of this series, we will cover topics such as:

Stay tuned to keep up with the latest insights!