In the realm of digital collectibles, Non-Fungible Tokens (NFT) made a remarkable wave. Imagine if your NFT could do more than just resting on your digital wallets. That’s Multi-redeemable NFT, based on the EIP-6672 proposal.
Use Case: Multi-Redeemable NFT
Problem Statement
Traditional NFTs are designed as tokens that represent an asset that can be owned and then redeemed only once. These NFTs do not offer additional perks for ownership.
Realization Approach
A multi-redeemable NFT can be redeemed multiple times under various scenarios, enabling the token holder to access different benefits and experiences or receive items associated with the NFT. This is possible with the ERC-6672, which is an extension of the ERC-721 standard.
Solution Space
Multi-redeemable NFTs enable a richer NFT ownership experience and expand their utility in many ways. The token holder can claim exclusive benefits by redeeming the same NFT for additional purchases and perks.
EIP-6672 introduces an extension to ERC-721 standard, with an added feature of the creation of Multi-Redeemable NFTs. Learn how these tokens enable redemption in multiple scenarios, expanding the utility of NFTs.
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What is Multi-Redeemable NFT?
A multi-redeemable NFT allow for redemption in multiple scenarios, providing versatility in the benefits or items associated with the token. NFT holders can demonstrate their ownership and redeem such tokens where the redemption status is recorded and maintained on the blockchain. The redemption functionality of NFTs expands their utility in different industries and use cases including Digital Event Tickets and Gaming items.
NFTs Vs Multi-Redeemable NFT
Traditional NFTs are commonly used for representing unique digital assets. Once an NFT is minted, it is owned by a single entity and cannot be redeemed for several times. Multi-Redeemable NFTs allows to be utilized multiple times in various scenarios enabling token holder to access different benefits, experiences or to receive items associated with the NFT. For Example, Binding NFTs to ticket redemption can enrich the event experience, where it can be redeemed for access to the event, exclusive merchandise or to avail of any benefits related to that event.
Multi-Redeemable Event Tickets with ERC-6672
In the digital era of digital experiences, Multi-redeemable tickets bring a new level of versatility. Traditional tickets are transformed into digital assets, which ticket holders can redeem multiple times to avail exclusive benefits.
How Does it Work?
- Ticket Purchase: Mint ERC-6672 compliant NFTs as event tickets.
- Initial Redemption: Getting access to the event and after participation NFTs redemption status is updated by the operator.
- Claim more exclusive benefits: The same NFT can be used for purchases related to the event or access exclusive benefits.
Core Functionalities in EIP-6672 to Support Multi-Redeemable NFT
- Redemption Functions: Two functions for managing redemption, ‘redeem() and cancel()’, allow NFT holders and operators to interact with the redemption process. The redemption flag key-value pairs, based on the combination of _operator, _tokenId, and _redemptionId, play a crucial role in tracking the status of each redemption.
- Metadata Extension: Functionality to enhance the information associated with each NFT. It is useful in cases for providing additional details about the redemption.
- Backward Compatibility: ERC-6672 is compatible with existing Non-Fungible token standards ensuring smart contracts and wallets that interact with ERC-721 can also easily integrate multi-redeemable features securely.
- Security: The operator who created redemption can only update redemption flags using redeem and cancel functions, this ensures security since the operator is identified using the msg.sender.
Challenges and Risks in Multi-Redeemable NFT
Multi-redeemable NFT implementation requires additional complexities compared to traditional NFTs. Developers need to test and audit smart contract thoroughly the redemption scenarios. Additionally, there are security concerns due to unauthorized access to redemption. It requires implementation of strict access controls, ensuring only authorized operators can update redemption flags.
Check out the original post on BuildBear for a sample smart contract code of multi-redeemable NFT.
