[dsanchez97]

I definitely agree that most people/projects/etc gloss over that fact that there still needs be a 'start of authority' to be trusted with NFTS. I think a major upside of doing the digital transactions on a Blockchain (as opposed to the system you described) is that the start authority does not need to be present or keep track of any future transactions. In your Rolex example, I believe that there would be no way of person A selling their Rolex (and digital rights of the Rolex) without notifying Rolex and Rolex having to keep track of transaction. With a Blockchain, the people could agree that the 'start of authority' matches the public address that is associated with Rolex and then proceed with the transaction with no need for any middle party.

I played a decent amount of Runescape growing up, so when I first heard of NFT's I naturally thought of that game. I would definitely find intrinsic value in truly owning an NFT of some of the rare in game items. And knowing that even if Jagex (parent company) disappears that I still have ownership over the items definitely adds a lot of value.

[simias]

But see, this is where I get lost in this concept.

Should Jagex fold and the game become unplayable, what do you own? An entry in a database that says that you once had this item but you can't do anything with it? Why is that valuable?

I can sort of see the argument if other game developers allow for these items to be reused in other environments, and that's something pushed by NFT enthusiasts, but I don't see how that makes economical sense.

For one thing that puts a lot of work on the table of other game developers. If every NFT of every game needs to be usable in other games, can you imagine the headache? It's a combinatorial nightmare.

Besides devs want to make money selling their own NFTs, not adding items made by others for free, so what incentive is there for adding support for your rare Runescape item in some other game? Seems like devs would rather sell you a special "Runescape retro item set pack, only $9.99!"

And then we haven't even touched on IP issues. If you have an NFT of Lara Croft, can the devs of another game just clone the model in order to let you import her?

I feel like all of these issues by far dwarf whatever convenience NFTs bring to the table. The problems I outline above are the ones that need solving, and if you find a way around those you could very easily achieve what you want without "web3" tech (see Steam trading cards and Nintendo's Amiibos for instance).

[derangedHorse]

>Should Jagex fold and the game become unplayable, what do you own? An entry in a database that says that you once had this item but you can't do anything with it? Why is that valuable?

Sometimes just ownership of something is valuable in itself. That's the whole idea of collectibles, it's not always tied to its original utility. Think having an original SNES versus an emulator on a computer or an original Picasso vs a digital jpeg copy.

>For one thing that puts a lot of work on the table of other game developers. If every NFT of every game needs to be usable in other games, can you imagine the headache? It's a combinatorial nightmare.

Every NFT of every game doesn't have to be usable in other games, but the option to easily access the in-game ownership records of another game can allow for some asset sharing.

>And then we haven't even touched on IP issues. If you have an NFT of Lara Croft, can the devs of another game just clone the model in order to let you import her?

No but maybe I can give a Croft-esque outfit to an in-game character if the player has the Lara Croft NFT. It could be a selling point to some players to be able to play with assets inspired by another game they love. It could also add some unrelated mechanic to a game in which case the NFT is just used as a marketing ploy to advertise to a certain demographic. Re-using NFTs could also be completely unrelated to 3rd parties and can allow developers to allow easy migration of old assets from old games to new ones without having to maintain teh records themselves.

>I feel like all of these issues by far dwarf whatever convenience NFTs bring to the table. The problems I outline above are the ones that need solving, and if you find a way around those you could very easily achieve what you want without "web3" tech (see Steam trading cards and Nintendo's Amiibos for instance).

Again, the idea is to have a digital asset that can be traded (in terms of ownership) like a physical asset would -- without the need for a centralized mediator. Just because certain applications typically act as centralized gateways doesn't mean the blockchain itself is centralized. The hope is for the blockchain to be used as a reliable source of information for decades to come with the ability for anyone to participate if given the very accessible minimum resource requirements.

[uncomputation]

> Sometimes just ownership of something is valuable in itself. That's the whole idea of collectibles, it's not always tied to its original utility. Think having an original SNES versus an emulator on a computer or an original Picasso vs a digital jpeg copy.

But with a Picasso the scarcity is inherent in its physicality: there is only one in existence. With digital data, it is infinitely reproducible and fungible. If I replaced a JPG with a bit-for-bit copy, no one would notice nor care. Not so with a Picasso. So, NFTs are supposed to come in a make a record of your purchase of this JPG, but unlike the Picasso, this JPG does not physically exist. It must be stored somewhere and, unlike the Picasso, this has an ongoing cost. You don’t need to pay to store the Picasso (although most collectors certainly don’t just keep it in their house, they could). But you do need to pay someone - whether a company or a decentralized network - to keep storing your JPG and once you stop, it’s gone forever. It seems like it would be more future proof if Jagex just mailed you a physical print of the JPG and a certificate of authenticity.

[derangedHorse]

I think saying "an original Picasso vs a high quality knockoff" would better clarify my point. I would also like to add that scarcity is not inherent in physicality, especially when a physical copy of said physical item can be made. I would argue the recorded ownership and verifiable provenance of the item make an original Picasso valuable. People don't care about just having the art because the art can be easily replicated, physically or digitally.

And yes there may be an ongoing cost associated with storing a digital image, but you could also download it on your computer, print out the image, or try one of the decentralized solutions. Ideally the metadata and image would be stored on something like Arweave (which only requires a one-time payment) since reliability through decentralization is one of the goals of the web3 movement.

>It seems like it would be more future proof if Jagex just mailed you a physical print of the JPG and a certificate of authenticity.

If the hosting of the image goes down then you still have the attestation of owning the asset on the blockchain (signed by a private key that has been associated with Jagex on creation of the NFT). As for the physical print option, I'd say since physical things can be destroyed much easier than digital items, I'd prefer it if the certificate of authenticity was just an NFT (trying to enforce an NFT to belong to the same owner of a physical asset is a losing battle).

All in all I'd say NFTs bring value to asset collection by providing stronger attestations of ownership, public provenance, and resilient record-keeping.

[notahacker]

> No but maybe I can give a Croft-esque outfit to an in-game character if the player has the Lara Croft NFT. It could be a selling point to some players to be able to play with assets inspired by another game they love

Why would a company do this? They spend a load of dev time to create a valuable in-game asset linked to a non-fungible token created by a third party which only one person can possess at a time and then... hope the NFT owner pays $34.99 for a retail copy of the game, otherwise the asset goes unused?

That doesn't sound like a scalable marketing strategy.

[derangedHorse]

Typically people don't build features around individual NFTs but NFT collections. If 20k Lara Croft NFTs were minted in a special Tomb Raider NFT collection, then the access to the new skin would be available to any of the owners of the 20k Lara Croft NFTs in the collection. I think the misunderstanding here is that an individual NFT gives unique access to an in-game asset, sometimes NFT collections give unique ownership to a copy of the same game asset.

[acdha]

That doesn’t really change the question, though: the Tomb Raider developers don’t need an NFT to do that, and any other company isn’t going to spend much of their money giving something for free to a handful of someone else’s customers. Why spend time on that instead of, say, charging $10 for the homage DLC which gives them actual revenue and from a much larger number of people?

For example, how many of those NFTs would have been lost or stolen — and do you want to tell potential buyers “sorry, nothing we can do about it - blockchains mean no margin for error!”

[notahacker]

Fair enough, creating an asset which 20k people with access to a collection theoretically might use is more attractive than creating a unique asset for a unique token. It does seem strange that the supposed "killer app" for NFTs in exchangeable game stuff wouldn't have any use for their core feature (uniqueness on the blockchain) though.

If a developer wanted to market games by offering inducements to players of other games in the form of unique content it seem like a lot of other solutions would be more attractive than the blockchain. Partnership with other developers or platforms like Steam gives you an actual marketing channel to hype the special add on for Tomb Raider players, and to a lot more than 20k people. The only case where I can see them preferring to attract small numbers of players of a third party game who paid that developer for NFTs rather than every player of that game is if their game is pure pay-to-win bullshit and there's no point in targeting the sort of player who doesn't buy NFTs...

[root_axis]

Indeed. What's more, even if publishers wanted this, it's all possible without a blockchain. If game publishers decided to coordinate on respecting shared digital assets they could just agree on a common "digital item" spec where a connected client could prove item ownership using public key cryptography and digital signatures, similar to how JWTs let a client prove claims about another system. The same spec could allow users to trade digital assets in a peer to peer manner by signing a record of transfer to another user's public key - it'd then be up to the buyer (i.e. the software they use to verify the signing) to register the updated signature chain with the relevant game vendors.

[tsimionescu]

> In your Rolex example, I believe that there would be no way of person A selling their Rolex (and digital rights of the Rolex) without notifying Rolex and Rolex having to keep track of transaction.

What does "digital rights of the Rolex" mean? Also, why is it harder to notify Rolex of this transaction than it is to notify some blockchain?