Executive Summary: What Is ERC-6551? Explaining the New NFT Token Standard
In this article, I explain the new ERC-6551 NFT standard that enables NFTs to hold assets, interact with contracts, and have on-chain identity. I cover use cases like composability and provenance tracking, as well as challenges around adoption and security.
Summary: ERC-6551 is a new NFT standard allowing NFTs to hold assets, interact with contracts, and have on-chain identity, enabling use cases like composability and provenance tracking.
What is ERC-6551:
- Gives NFTs capabilities of a smart contract wallet
- NFT can hold assets, interact with contracts, evolve over time
How ERC-6551 works:
- Uses registry compatible with ERC-721 NFTs
- Deploys proxy contract as token-bound account for each NFT
Use cases:
- Composability: NFT bundles assets
- Identity: Interact independently with dApps
- Provenance: Transaction history beyond ownership
- Dependency: Owns assets that enhance functionality
Challenges and limitations:
- Lack of support from major NFT projects
- Increased attack surface for hackers
- Added complexity for users
Conclusion:
- Could revolutionize NFTs by making them more dynamic
- But adoption and compatibility issues remain
Full article:
What Is ERC-6551? Explaining the New NFT Token Standard | CoinMarketCap
Discover how ERC-6551 is changing the game for NFTs. With smart contract capabilities, NFTs can now hold other assets, interact with smart contracts, and have their own on-chain identity.
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