UNS — Indonesian were surprised with the success of Ghozali in selling his five years pictures through NFT (non-fungible token) for billions of IDR at the beginning of 2022. Ghozali sells his picture in the OpenSea marketplace, which attracts others to try the same luck. The Information Technology Expert of Universitas Sebelas Maret (UNS) Surakarta, Winarno, S.Si., M.Eng., shared the definition of NFT and its future with uns.ac.id not long ago.
He explained that NFT is a token that could validate digital information using blockchain technology. This token is encryption that validates the existence of an artwork. This token is similar to a stamp in an offline setting. A document or other certificate is validated using a stamp, which is how NFT works on digital artwork. “Thus, NFT is a file or a resource that we stamped. After it is stamped, it is valid,” the Informatics faculty member of Faculty of Mathematics and Natural Science (FMIPA) UNS explained.
The validation process in NFT is performed by tokenized computers spread all over the world. The token applied on each file will differ, even though the work is similar or the same. Using Ghozali’s work as an example, the token applied for the picture Ghozali sells will be different from the token applied on Ghozali’s picture taken by other people who also tokenized the work. “That’s why it is unique,” Winarno added.
With the rapid technological development, Winarno mentioned that NFT has a bright future. Especially with the development of four-dimensional experiences in the digital world, which could enable people to enjoy mountain or other outdoor experiences without actually going out. NFT plays a significant role in this Metaworld or Metaverse development because all transactions regarding the equipment and other components of the new world will be done through NFT or cryptocurrency.
However, NFT also faces numerous challenges, most significantly in the fluctuating nature of the technology because it uses Ethereum cryptocurrency in its transactions. Cryptocurrencies, in general, have a volatile exchange that could flip in a matter of hours. This characteristic serves as the basis for many religious bodies, such as the Ulema Board of Indonesia (MUI) and Muhammadiyah, to rule its trading as haram because its fluctuation could lead to speculative acts similar to gambling. NFT also opens the possibility to be used as a money-laundering tool because users could make transactions using the alternate identity. Therefore, the Universitas Gadjah Mada graduate encouraged the government to anticipate this negative side as early as possible.
Aside from the prospect and challenges in the new technology, Winarno asked the community to be wise in following the new technology trend. He suggested that people consider their skills and knowledge before participating in the new trend. “With adequate skills and knowledge to measure the future effect, it is okay to get involved. But we need to ensure the benefits and disadvantages. If we are lack ability, knowing about NFT is enough,” he concluded. Humas UNS
Reporter: Ida Fitriyah
Editor: Dwi Hastuti