NFT 2.0 Breakthrough: The Path of DA AGE's Web3 Advertising Rights Distribution

Author: Rebecca Lee

The Birth of NFT: Opening the Gateway Between the Physical and Virtual Worlds

Currently, the NFT market is experiencing a downturn characterized by a lack of liquidity and declining transaction volumes. Many blue-chip NFTs are seeing their floor prices continuously drop, and the tokens of NFT exchange platforms Looks and X2Y2 have fallen by 80% compared to their price peaks in February. Lending protocols like Bend and Jpeg are also entering a downward trajectory due to the decline in the prices of NFT collateral, affecting their adoption rates, TVL, and prices.

The NFT market currently lacks new narratives and new capital influx, and high transaction fees are causing the available funds to shrink continuously, leading the entire industry into a vicious cycle of competition. Industry insiders predict that equity-based NFTs, semi-fungible tokens, and AI+NFT are expected to become new directions for the next NFT bull market.

Since the birth of CryptoKitties in 2012, NFTs have appeared in the crypto world, and from 2017 to 2020, they strongly entered the public eye, fueled by the bullish market sentiment. Whether it’s the pixelated avatars of CryptoPunks, the famous BAYC and Azuki, or the gaming realm's AXIE, the metaverse tracks like SandBox and Decentralized Land, or the $69.34 million auction of "Everydays: The First 5000 Days" by Christie's, all these events have brought the concept of non-fungible tokens into the public spotlight.

NFTs, built on the blockchain, have entered various fields including music, art, and collectibles due to their fun, scarcity, verifiability, and financial attributes.

However, the anchoring of auction and collectible prices is fundamentally determined by their consensus, liquidity, and market capitalization strategies, with their prices stemming from "consensus" anchoring. Consensus is a highly subjective, unpredictable, and extremely unstable energy, which makes the NFT trading market filled with significant volatility. After 2022, with numerous black swan events such as the bankruptcy of FTX and the collapse of American banks, global economic downturns have clearly suppressed the funds entering the NFT market, causing it to stagnate.

The Retreat of NFT 1.0 Era and the Beginning of NFT 2.0 Era

Some say that the auction-type and collectible-type NFT 1.0 era has come to an end, meaning that the value anchoring model of NFTs priced purely on consensus has reached a significant watershed. Without sufficient artistic innovation, technological iteration, narrative communication, trading sentiment, application scenarios, and capital circulation, it is difficult to continuously drive the already inflated NFT market.

At this time, the call to leverage Web3 to promote the development of the real economy is becoming increasingly strong. This strongest voice first comes from the Hong Kong government. On October 31, 2022, the Hong Kong Special Administrative Region government published its first "Policy Declaration on the Development of Virtual Assets in Hong Kong," clarifying the government's policy stance and guidelines for developing a vibrant virtual asset industry and ecosystem in Hong Kong, and explicitly stating that Hong Kong will welcome and encourage innovators engaged in virtual asset businesses globally.

In April 2023, it further clarified its optimistic attitude towards the enormous potential of Web3, as well as the government's support direction for Web3 projects that empower the real economy.

The growth space for equity-based, functional, and application-based NFTs has emerged. This also aligns more closely with the technological value of NFTs—the real world, with its different groups, identities, materials, scenarios, cultures, concepts, and so on, is itself a collection of original non-fungible assets. For example, heavy assets like real estate, land, and industries, as well as light assets like artworks, gaming equipment, sports memorabilia, and memorable moments from concerts.

Various physical materials and forms can leverage the empowering attributes of NFTs for marking, achieving unique value transfer and anchoring through blockchain technology, which enables decentralization, immutability, indivisibility, transparency, and peer-to-peer transactions of their corresponding digital assets. Therefore, in addition to digital collectibles, artworks, games, and the virtual world of the metaverse, NFTs can be applied to a broader range of physical industries and business model fields.

XR naked-eye 3D advertising screens highlight immersive and realistic scene effects

Advertising Media Revenue for Public Sharing: DA AGE Creates the Era of Advertising Media Equity NFTs in Hong Kong

DA AGE (Decentralized Assets AGE), the English translation of the distributed asset era, corresponds phonetically to the classic Hong Kong drama "The Great Era." It seems to indicate that distributed assets will construct a new historical narrative that will influence the entire future for decades.

Since "Hong Kong, Web3 has taken off," Yuan Yuan Technology Co., Ltd., located at 18 Salisbury Road, K11 Business Tower in Hong Kong's prime location, has become the first company to officially step into the exploration of combining Web3 with traditional physical economy. Its development philosophy and guidelines enter the Web3 market with a new business model that combines "Internet + blockchain + virtual world + physical industry + smart payment + financial economy + historical culture + social life."

Yuan Yuan Technology, backed by shareholders from listed companies, has its parent company, Yuan Technology Co., Ltd., as the first Hong Kong member unit of the Metaverse Working Committee of the China Private Technology Entrepreneurs Association. It possesses the top talents, resources, information, and policy resources in China's metaverse software and hardware technology and content creation, with the XR advertising screen technology, commonly known as "naked-eye 3D," being one of the most cutting-edge technologies today.

The technical name for XR naked-eye 3D advertising screens is XR naked-eye interpretation advertising screens, which belong to a type of extended reality (XR). It allows people to perceive 3D stereoscopic visual interpretations without wearing VR helmets or AR glasses, and can be freely applied in film, broadcasting, entertainment, gaming, and advertising production, serving as an entry point to the immersive and experiential metaverse industry. In 2022, Shanghai's Meiluo City replaced its original light strip particles with a special high-definition display screen, turning a dazzling crystal ball into the world's first naked-eye 3D circular dome screen. Within a year of its launch, this XR advertising screen generated over 100 million in advertising revenue, attracting the attention of 40 million viewers.

Currently, only China, the US, Japan, South Korea, and Europe have such XR advertising production technology, and China ranks at the forefront in software and hardware technology and content creation, with prices only 30% to 50% of the global average, giving it a strong export advantage.

Signing of the landing rights for 300 XR screens with Yuan Yuan Technology Co., Ltd.

Yuan Yuan Technology possesses 70% of the domestic XR advertising screen's software, hardware, and content production resources, and has exclusive cooperation channels in important fields in Hong Kong (such as virtual assets). Its adoption of advertising equity NFTs to enter the construction of Web3 and the real economy can gather more strength to build a DAO organization (Distributed Autonomous Organization) that transcends company boundaries to promote operations, driving the development of Hong Kong's metaverse industry.

Through vivid and visually realistic immersive and experiential naked-eye 3D interpretation effects, it helps merchants attract users, utilizing various forms of participation, attention, and distribution from DAO ecosystem members to assist merchants in achieving more efficient secondary dissemination of their advertisements. Especially with the cutting-edge motion capture technology, it can seamlessly connect XR advertising information with the Web3 e-commerce entry for mobile scanning and ordering, improving the pain points of traditional advertising industries where content placement effects cannot be tracked, and LED advertising screens are less attractive than mobile phones.

In July 2023, Yuan Yuan Technology will officially launch the DA AGE project in three major regions of Hong Kong: Hong Kong Island, Kowloon, and the New Territories, with the construction of three XR outdoor and indoor advertising screens measuring 7m (width) * 9m (length) * 2 (sides), and free applications for the equity NFT Golden Ticket began on May 16.

All members wishing to participate in the co-creation and sharing of DA AGE's ecological value can authorize their Polygon wallet addresses to apply for the Golden Ticket for free on the exclusive domain of DA AGE's franchisees. A total of 15,000 Golden Tickets will be issued, from which 5,380 whitelist spots (unit price: 240U/ticket) will be drawn, combined with the previously minted 4,000 franchise-exclusive whitelist spots, resulting in a total of 9,380 whitelist spots that will be uniformly opened to determine the specific location and corresponding equity coefficient of the rights NFTs held by each NFT whitelist holder.

DA AGE advertising equity NFTs will slice each XR advertising screen into mini LED screens of different specifications, with the advertising operating rights for each LED screen over the next 8 years anchored to an NFT on the Polygon public chain for holders to share.

Due to the different dissemination weights of each XR advertising screen in different areas, the NFTs corresponding to the LED screens in the most central area have higher weights, with the equity coefficients from inside to outside being: 3, 1.5, 1, 0.6, 0.3. The differences in equity coefficients determine the scarcity of NFTs, and the combination of scarcity with future gamified DAO construction strategies will bring liquidity that anchors the value of the real economy, allowing NFTs to break free from the uncertainty of pure consensus pricing.

DA AGE (da-age.io) has reserved a 50,000 Usdt ecological fund, and once the first batch of 9,380 NFTs is opened, it will directly use oracles to place buy orders on Opensea for the NFT corresponding to the most central mini LED screen of the XR advertising screen in the three prime locations.