...
NIFTY is a proposal for a project in Hyperledger labs. Hyperledger labs is an open source community with light touch governance. Any and all are welcome to join the lab. NIFTY aims to create an easy way to issue and trade NFTs, in a protocol agnostic way; also create marketplace utilities for NFTs. NIFTY will create code to manage links to registries for issuance, market place utilities for NFTs to create markets for trading (auction market places) and whatever shall arise in the course of our development.
An NFT, as many already know, is an acronym for Non Fungible Token. A token is a digital or physical object that stands for something else. Tokens must be issued following a strict process, there must be easy ways to verify that a token is a legitimate representation of value. The object that a token stands for can be digital or analog. Key to the definition of an NFT, is fungibility. Fungibility is a property for units of commodity or a good to be interchangeable. USD is fungible, gold of the same purity and composition is fungible. Fungibility needs a measure, a unit of currency, a gram of gold, a barrel of oil, one share of IBM. Fungibility hinges on the indistinguishability of such units. Fungibility like many properties lies on a spectrum.
...
A software system for the creation and trading for NFTs has to account for a way to tie the NFT to the unique object at issuance (Identity, authorization and a global registry); a marketplace for trading NFTs, which means establishing a price for the NFT as well as to transfer ownership. This means an implementation of these actions through interfaces supported by NFT token attributes and metadata.
...