On Tuesday we declared our investment in Cryptokitties, and, as you might expect, received a mix of excitement and skepticism in response. Bitcoin and cryptocurrencies already seem ridiculous to most people, and virtual”real” kittens made from cryptocurrency take it a step farther.
However, as with many new technologies, these first use cases only scratch the surface of a wider potential. There are tons of things to be excited about here, but for now I will just concentrate on one of these: interoperability.
Cryptokitties are a particular sort of cryptoasset, called a”non-fungible token” (in this case, depending on the ERC-721 standard). Non-fungible means that every one is unique. Therefore, when a kitty is”born”, it’s a one-of-a-kind digital advantage, rather than other kinds of currencies or tokens which are completely interchangeable. So, what we have are unique, scarce, people electronic assets.
The people part is very interesting. Since each kitty is a token on Ethereum, that means that anyone else (besides the first developers of Cryptokitties) can see that asset and incorporate it into other systems, without anybody’s permission.
By way of instance, on Kittyhats — developed independently from CryptoKitties — you can purchase a hat to your kitty. Here is the one I purchased:
The new owner can opt to remove the decal or leave it “
So neat! So what we have the beginnings of is a world where electronic assets that are made in one place could be freely integrated into other areas.
Or, when you have had enough of your kitty, you can head over to CryptoZombies (hat tip to Aaron), which educates Ethereum programming through online game development. As you make a zombie, it can begin to do things. Among the things it can do is consume CryptoKitties:
The (first ) net brought us a world where any website could link to some other website, plus they could be accessed from anywhere on the planet. The next one is going to be with information and digital assets.
For quite a while, data has become the property of programs — with cryptonetworks and cryptoassets, data can live out of anyone stage, under the hands of consumers. This has the potential to open up plenty of innovation.