Greetings Friends, this has been my usual way of complimenting friends. I believe everyone is good. In this article, I expantiated and lucidly unriddled the concept of tokenization and its great effect in blockchain technology after a series of research on the course. Hope you find solace going through.
The concept of tokenization in blockchain technology has posed great concern to different people and consequently, this has exacerbated and complicated the measures towards defining the concept.
There are basically two types of tokenization, and they are blockchain tokenization and non blockchain tokenization. But I will be underscoring and also leveraging the blockchain technology in precision.
Majority of us have operated in the hive blockchain and probably have even spawned in the invention since its inception in 2017.
Making a compendium from the variety of inventory about the concept of tokenization, it is a measure that indicates and protects the ownership of one's engagement in the blockchain technology.
Let's take this from the standpoint of a publisher in the hive blockchain as a measure that protects the streamlined data of publishers.
Assuming a hive article writer has no attachment of auto vote over his blog, his/her post would decline the reality of tokenization if he deleted his article immediately after publication because his article has not been tokenized. It is a self prank against the speculation that nothing can be altered from the blockchain when tokenization has not been authenticated.
In a truer indication, tokenization would take place in the blockchain when a writer's publication has been valued, that is when one's post has been voted. In this regard, a protective measure and embargo has been placed over the article and it can never be erased from the blockchain and this is when the hypothesis comes true that nothing can be altered from the blockchain but this is in response to article writers.
In reality, tokenization is a measure that places protective embargo on publishers articles or any form of streamlined data thereby giving right to real ownership of those data. In another instance, most of us have witnessed the activities of the hive watchers, how they equalize or zero the earnings of people who were caught plagiarizing or posting AI generated articles. This is called de-tokenization if I must go with the nomenclature.
The Blockchain Non Fungible Tokens or Tokenization (NFT)
This form of blockchain tokenization parameter and inventory has a token price of which the majority of them are exaggerated in value if properly scrutinized although this came as a result that most of them are in limited supply.
The non fungible tokens (nft's) are blockchain based work of art which are measured in real value, dispossessing the quality of mutability and replicability but rather, it could be transferred on grounds of demand.
The Blockchain Fungible Tokenization.
This is a kind of blockchain tokenization process that has a standard measure of value. In order words, one can easily determine the worth of such token and it is termed fungible token because they can easily be substituted with other tokens. A perfect example is the hive token, leo token, cub token etc all these have a dollar value which gives them the permissibility to be substituted with other tokens.
The Blockchain Governance Tokenization.
This type of blockchain tokenization gives participants the right to vote and make decisions in the blockchain. I observed this in the trx network where they have their super representatives who make decisions based on voting but a model of this is exactly what we have in the hive ecosystem where different participants vote on credible developers and super nodes in the hive ecosystem.
In essence, one's hive power gives him/her the impetus to make decisions in the blockchain. Hence, blockchain governance depends on one's financial or technical contribution.
The Blockchain Utility Tokenization.
This is a kind of blockchain token that is meant to aid people in gaining access to different utilities in a particular blockchain. For instance we have a utility token in the hive ecosystem which is a second layer token called swap.hiveThis utility token gives every hive participant the right to access every other token in the hive ecosystem and this utility token in hive makes the fungibility of other hive tokens possible.
The Importance of Tokenization in Blockchain Technology.
At this point, I believe we must all have gained a credible knowledge on the concept of tokenization and hence let's look into its Importance in blockchain technology.
Fosters safe and easy means of transaction.
Through the aid of tokenization, everyone can now authenticate financial transactions within and across borders without restriction or even permission, and this is exactly the driving force of the blockchain because there are certain things people could play with but not when it gets to do with financial transactions.
Encourages and protects the inputs of content creators and other works of art.
No one gets reimbursed for keeping idle, and also in the sphere of web2, no one got paid for chatting or even publishing any work of art but through the tokenization medium of the blockchain, people now see the need to put their hands on deck through different input method which gives rise to delightful continuity in streamlining and preserving works of art in the blockchain.
Improved Standard of Living.
Tokenization through the blockchain has helped people to create and maintain credible streams of income without external encumbrance. For instance different people write to earn in the blockchain while others also invest to earn in the blockchain so this is a good measure of making ends meet, and this is as a result of tokenization.
Nonetheless, I wish to draw the curtain at this point. I also believe that at this point we must all have understood the concept of tokenization and its exquisite desirable features which is changing lives and financial perspectives of people in this contemporary time.
Your comments and questions would humbly be entertained in all sincerity and accuracy if any. Thanks for checking up.
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