DraftKings recently announced the launch of DraftKings Reignmakers, a new way to play fantasy sports on their platform. Unlike using a salary cap or drafting against a field of opponents, however, DraftKings Reignmakers tournaments instead allows users to create a lineup based on DraftKings Reignmakers NFTs on the blockchain.
Let’s walk through everything you need to know.
What is an NFT?
A non-fungible token (NFT) is a unique digital asset, such as a piece of art, music, or other forms of media. Unlike other digital items that are purchased exclusively online, NFTs are not interchangeable with each other, as each NFT contains a distinct identifier — usually a serial number or unique feature — that sets it apart from other ‘tokens’ on the blockchain.
Blockchain technology — a transparent digital network, akin to identifiable footprints in the sand — provides a permanent and immutable record of ownership, as well as a way to authenticate the originality and uniqueness of the digital asset; every transaction on the blockchain is recorded, and researchable for complete clarity. This means that an NFT can be used to prove ownership of a digital asset, such as unique digital artwork as opposed to a piece of physical art, and can be traded on any digital marketplace like any other cryptocurrency (Bitcoin, Ethereum, etc).
In summary, NFTs provide a way to create and exchange unique, verifiable digital assets on a blockchain, allowing creators and collectors to monetize and trade their collectibles in a secure and transparent way. Some artists go as far as offering exclusive physical art or experiences for those who have supported them by purchasing their digital offerings.
Why NFT’s?
People are interested in NFTs because they offer a new way to own, trade, and support unique digital assets, with rarity and authenticity being at the forefront of blockchain technology.
DraftKings Reignmakers are a prime example, with each player card (a digital collectible) assigned a serial number (proof of rarity) and available to be used in lineups or traded on the secondary market. As with any physical asset, rarity and demand drive the digital marketplace, too.
How Are NFT’s Unique?
A common question from anyone first learning about NFTs is, “Couldn’t I just take a screenshot of that NFT and then own it?”
Fortunately, the blockchain is able to verify NFT collectibles to protect against fraudulent claims or the potential watering down of rarity — a company may create more of the same artwork, but serial numbers and unique features will always verify ownership. Value is then based on how desirable a unique card is on the collector’s market and how many collectors are out there that are interested in said collection (AKA demand).
With DraftKings Reignmakers currently hosting no-fee contests and allowing players to “burn” older cards for “certain upgrades or benefits”, there is no better time to collect your first NFTs and try the newest way to play daily fantasy sports on DraftKings.