Gavin Wood Made Multi-Chain NFTs A Reality On Polkadot & Kusama

After a major update to their consensus mechanism, Polkadot & Kusama became the first blockchains to allow multi-chain NFTs.

This update will enable support for NFTs on Cross-Consensus Message Formats (XCM) and allow non-fungible tokens “teleported” between chains. They can then be tracked across all chains.

Polkadot shared the update via Twitter, and then discussed the technical details in a Github post.

With https://t.co/PEkmF5SvzZ @Polkadot & @kusamanetwork will have support for NFTs in XCMv3, including the ability to teleport them and even have chains which can be permissionlessly used host NFTs native to chain in the XCM universe as reserve-backed assets.

Gavin Wood (@gavofyork), February 23, 2022

Because its entire purpose is to address the problem of incompatibility among blockchains, the Polkadot Blockchain is well-suited to such an implementation. Polkadot’s network is extensive and includes not only its main blockchain, but also “parachains”, which will eventually reach 100. Each parachain supports different protocols and use cases. They run in parallel to the main Polkadot blockchain. The key advantage is that any asset, token, or data can be transferred between them.

Kusama is a pre-production environment that Polkadot offers to developers. It allows them to test and experiment with new blockchains and applications before they are released on the network. Kusama, like Polkadot has many parachains.

XCM describes the way messages should be sent between chains. It is a common language to communicate between different consensus mechanisms. All data on a message transmission is sent through Polkadot or Kusama’s relay chain. This allows each parachain to verify the messages and allows XCM to speed up trusted communications between parachains.

Polkadot, Kusama and Kusama created multi-chain NFTs by adding support for NFTs to XCM. They can be found on any blockchain in their respective networks. This could allow NFTs to play an even more prominent role in business transactions. The tokens can be used to pay for orders or as payment. NFT holders will be able to leverage their tokens by borrowing capital on another DeFi platform, using their NFT collateral.

Others believe interoperable NFTs could also accelerate adoption. The current NFT landscape is very fragmented. Many are built on Ethereum blockchain but others are not. This has resulted in multiple NFT marketplaces being created for different types of tokens, confusing the market for new users. Polkadot, Kusama make it possible for NFTs “teleport” onto different chains. This will reduce confusion and help accelerate adoption.

Disclaimer: This article serves informational purposes only. This article is not intended to be used for legal, tax, investment or financial advice.

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https://cryptodaily.co.uk/2022/03/gavin-wood-made-multi-chain-nfts-a-reality-on-polkadot-and-kusama