Dynamic NFTs (dNFTs) have undeniably grabbed the internet by storm, but they are not all the same

Dynamic NFTs (dNFTs) have undeniably grabbed the internet by storm, but they are not all the same NFTs can take several forms, including dynamic NFTs (dNFT).

What Exactly is a Dynamic NFT (dNFT)?

Once produced and minted, a static NFT will always remain the same, implying that the metadata it references cannot be changed. This isn’t inherently a negative thing, but it might limit the creator’s or owner’s ability to modify things around. Perhaps they wish to tweak a certain NFT attribute or update some information. This is not possible with a static NFT.

Then there are dynamic NFTs (dNFTs).

Of course, a dynamic NFT is still a non-fungible token, which means it is a one-of-a-kind blockchain asset used to tokenize anything else, such as a drawing, movie, music, or similar. However, as the name implies, dynamic NFTs have several advantages over static NFTs. They are, in short, engineered to be more active.

How do Dynamic NFTs Function?

Smart contracts are used to operate a dynamic NFT. Smart contracts are programs that perform a procedure as long as the set parameters are satisfied. These are particularly popular on the Ethereum blockchain and are currently relevant in dynamic NFTs. Smart contracts, which are incorporated within the NFT, are used to access both on-chain and off-chain data while generating a dynamic NFT. The smart contract is critical in allowing the dynamic NFT’s properties to vary. To modify, the NFT requires external data. Blockchains are unable to access external data directly and must rely on a blockchain oracle to do so. It is the smart contract that gets data from Oracle, which is subsequently utilized to modify or update the database.

Smart contracts are also used to create dynamic NFTs. They are connected to a set of information when minted, however, unlike conventional NFTs, this may be altered if necessary.