NFT Warranty Service
New to the world of NFTs is a warranty service which, according to the company's Web 3.0 CEO, could attract many new users.
The Web 3.0 space is often the target of attacks, including in the first quarter of this year, when hackers stole more than 320 million USD. For most potential users, the top priority for entering the Web 3.0 space is the security of their digital assets.
A new development in the security of Non Fungible Tokens (NFTs) is a guarantee service from Web 3.0 payment provider Wert and insurtech service Avata, who are addressing the security flaws in these assets in order to ensure an influx of new users.
According to the announcement, the service will be an opt-in guarantee for NFTs and will cover up to 90% of the total value of the assets that are at risk when a smart contract is hacked.
George Basiladzem, co-founder and CEO of Wert, told Cointelegraph that this solution will help fill the "trust gap" while offering protection to many collectors.
"[NFT guarantees] will provide a sense of security and trust, encouraging more non-native users of cryptocurrencies to join the Web 3.0 space with minimal risk, making it more attractive to a wider audience."
The guarantee service will be available on around 80 digital asset marketplaces. Basiladzem said that protection will be charged at 6% of the price of the specific asset, and will be payable at checkout. Coverage will be calculated based on the purchase price, not the current market value.
According to Basiladz, the service will provide a higher degree of protection against hacking and theft, which will ultimately help to drive mass adoption of Web 3.0 technology.
"All in all, every consumer who wants to get into the NFT space wants to protect their invested money and by offering this sense of security, they are able to engage with Web 3.0 at a deeper level with reduced risk."
With this statement, Basiladz is implying that high-value NFTs, like traditional collectibles and art, are predominantly bought by serious investors who are more likely to be concerned about the safety of their investments than traditional collectors. A guarantee service could therefore open the doors of this technology to more of these types of people.
Based on a recent study by CoinGecko, it was revealed that 25% of NFT collectors have 51+ digital assets in their collection. According to some studies, the number of global NFT-related transactions is projected to grow from 24 million in 2022 to just under 40 million by 2027.
Source: cointelegraph.com
analyst opinion
Jakub Odvářka
The Web 3.0 space is often the target of attacks, including in the first quarter of this year, when hackers stole more than 320 million USD. For most potential users, the top priority for entering the Web 3.0 space is the security of their digital assets.
A new development in the security of Non Fungible Tokens (NFTs) is a guarantee service from Web 3.0 payment provider Wert and insurtech service Avata, who are addressing the security flaws in these assets in order to ensure an influx of new users.
According to the announcement, the service will be an opt-in guarantee for NFTs and will cover up to 90% of the total value of the assets that are at risk when a smart contract is hacked.
George Basiladzem, co-founder and CEO of Wert, told Cointelegraph that this solution will help fill the "trust gap" while offering protection to many collectors.
"[NFT guarantees] will provide a sense of security and trust, encouraging more non-native users of cryptocurrencies to join the Web 3.0 space with minimal risk, making it more attractive to a wider audience."
The guarantee service will be available on around 80 digital asset marketplaces. Basiladzem said that protection will be charged at 6% of the price of the specific asset, and will be payable at checkout. Coverage will be calculated based on the purchase price, not the current market value.
According to Basiladz, the service will provide a higher degree of protection against hacking and theft, which will ultimately help to drive mass adoption of Web 3.0 technology.
"All in all, every consumer who wants to get into the NFT space wants to protect their invested money and by offering this sense of security, they are able to engage with Web 3.0 at a deeper level with reduced risk."
With this statement, Basiladz is implying that high-value NFTs, like traditional collectibles and art, are predominantly bought by serious investors who are more likely to be concerned about the safety of their investments than traditional collectors. A guarantee service could therefore open the doors of this technology to more of these types of people.
Based on a recent study by CoinGecko, it was revealed that 25% of NFT collectors have 51+ digital assets in their collection. According to some studies, the number of global NFT-related transactions is projected to grow from 24 million in 2022 to just under 40 million by 2027.
Source: cointelegraph.com
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