NFT Delegation with Ternoa

When we first started designing Ternoa’s architecture, one of the first features that I decided to implement was the NFT Delegation option.

We all know the perks of an NFT: This is a virtual asset class that exists on the blockchain — and there can only be one verifiable copy of it. Much hype surrounding this asset class has come in the form of value-driven tokens that people have placed on them. They can do even more, though.

We can do precisely this with the Delegation feature to unleash even more potential out of NFTs.

The Birth of NFT Delegation

The initial idea came from this question that arose in my mind: How can I share the utilities that come from my NFTs without giving up ownership?

As NFTs have evolved in the last year, many utilities have been added to them. They include additional access to game items, voting rights, and more.

This is just the beginning; even more utilities will come in the future. Some of these examples include having NFT work as keys to virtual clubs. But what if there is an online event that I can’t attend and I want to have a friend go in my place? I don’t want to transfer full ownership of my NFT for just a one-off occasion because of the risk of losing it too high.

Well, that’s how this idea was born. This feature is currently available on the Ternoa Mainnet, and you can use it directly using our online interface without a huge learning curve.

Since the difference between lending, renting, and delegating is subtle, I know it can confuse many users. To mitigate this, I’ll go into two specific use cases that will make this feature clearer below.

This post will cover the Delegation feature today, and we will see other features in upcoming articles.

Example 1: Real Estate

Let’s say, for instance, we are building one fully decentralized key system for the real estate industry.

For the apartment door, you must scan a QR Code with your mobile phone to sign a transaction first. The door system will check the signature and see if you have the key in your wallet.

If the conditions are fulfilled, the door will open.

Now, imagine that you have to leave your apartment, but you need some assistance from an external party. They can be anyone from a pet care company to a cleaner or even a plumber.

With a standard blockchain, you may send your access key (NFT) directly to that person to authorize them to access your apartment. If that person keeps the NFT or sends it to someone else, those people will then be able to access your apartment and not you. This is unsafe because you are losing all control of your apartment access.

On other blockchains, the solution is to create a complex smart contract with specific conditions that costs a lot of time and money. The process is clunky, inefficient, and, worst of all, risky.

However, with Ternoa, you can authorize a user to utilize your NFT without transferring the ownership. Hence, the Delegation feature.

Example 2: Voting Rights

Imagine that you have just joined a new association. As a member, you received a governance NFT that allows you to vote two times a year on issues regarding the group.

You are not available to participate in one of those votes and would like another member to vote for you. With the Delegation feature, you can easily assign your NFT’s voting rights to someone else within a specific time window and get those rights back when you want them.

Another Step Forward

We aim to be the quickest and most scalable blockchains for businesses to use. There are many ways to utilize our NFT features to make your processes even more effortless. Beyond the NFT Delegation option, there are even more to come. Stay tuned for more coverage regarding these updates coming soon.