Frequently Asked Questions

NFTYourDocs acts as the Escrow agent that holds the Real World Asset (RWA) in a Climate Control facility to ensure the settlement of the transaction.

A Non-Fungible Token (NFT) is like a unique digital certificate that can represent ownership or a claim on a real-world object (RWO). Think of it like a one-of-a-kind trading card in the digital world. This card is unique and cannot be replicated, making it different from other tokens (hence the term "non-fungible").

When an NFT is created to represent a real-world object (RWO), it acts as a digital twin of that object. For example, let’s say there’s a rare, historical document. An NFT for this document would be like a digital stamp of authenticity and ownership. It says, "This digital token represents this specific document." Whoever owns the NFT is recognized as having some form of claim or connection to the actual document.

The real-world object (RWO) remains physical, but the NFT linked to it lives on a blockchain, which is a secure, digital ledger. This makes it easy to prove and transfer ownership or rights related to the object without physically moving it. It’s like having a deed for a house, but in a digital and highly secure format.

So, in essence, an NFT for a real-world object (RWO) is a modern way to claim, showcase, or trade the ownership or rights of something tangible in the digital space.

ERC721 and ERC20 are both standards for tokens on the Ethereum blockchain, but they serve different purposes and have distinct characteristics.

1. ERC20 Tokens:
   
   • Uniformity: ERC20 tokens are fungible, meaning each token is exactly the same as every other token. This makes them similar to traditional currencies, where each unit has the same value and can be exchanged seamlessly.
   • Use Case: They are often used for things like ICOs (Initial Coin Offerings), cryptocurrencies, and as a method of transferring value.
   • Smart Contract Standard: ERC20 defines a common list of rules and functions that an Ethereum token contract must adhere to. This includes how the tokens are transferred between addresses and how data within each token is accessed.

1. ERC721 Tokens:
   
   • Uniqueness: ERC721 tokens are non-fungible, meaning each token is unique and can represent different values or properties. This uniqueness is critical for things like digital collectibles, where each item is distinct.
   • Use Case: They are primarily used in applications that require unique digital items like artworks, collectibles (like CryptoKitties), and other digital assets that need to be distinguished from each other.
   • Smart Contract Standard: ERC721 also defines a set of rules for Ethereum smart contracts, but these rules focus on tracking the ownership of individual tokens, which are all distinct from each other.

The key difference lies in the fungibility of the tokens. ERC20 tokens are interchangeable and identical to each other, making them suitable for use as a medium of exchange or store of value. In contrast, ERC721 tokens are all unique and can represent ownership of specific assets, making them ideal for collectibles and unique digital assets.

Listing your new NFT collection on OpenSea using Arbitrum instead of Ethereum ERC20 USDC could be advantageous due to the lower gas fees associated with Arbitrum. This can make your NFTs more accessible and appealing to potential buyers who are sensitive to the high gas costs on the Ethereum mainnet.

To move ERC20 USDCto Arbitrum you need to use a bridge service. When recommending bridging tools for users, it's important to consider a variety of factors including security, network compatibility, liquidity availability, and ease of use. Here are some of the top bridging tools available in 2024:

1. Across Protocol: Known for its capital efficiency and unified liquidity pool, Across Protocol has managed over $4.5 billion in transactions. It's particularly favored for Layer 2 solutions and rollups, offering a no-slippage fee model and third-party relayers for quick transaction completion. It supports Ethereum, Arbitrum, Optimism, and more​​.
2. Arbitrum Bridge: This bridge is specifically designed for transfers between Ethereum and Arbitrum, and it's very popular due to its reduced transaction fees and rollup mechanism. While transfers from Ethereum to Arbitrum are fast, withdrawing funds back to Ethereum can take about 7 days​​.
3. Metamask Bridge: MetaMask Portfolio's Bridge feature offers a convenient and efficient way to move tokens across different blockchains. It serves as a bridge aggregator, integrating with Socket and LI.FI to support a curated set of bridge providers like Connext, Hop, Celer cBridge, and Polygon Bridge. The Bridge supports transfers up to $50,000 per transaction for assets like ETH/WETH, common stablecoins (e.g., DAI), and native gas tokens (e.g., MATIC) across nine networks including Ethereum, Arbitrum, Optimism, Binance Smart Chain, and more. The process involves connecting your MetaMask wallet to the Portfolio, selecting the networks and token for bridging, and then confirming the transaction. This feature aims to simplify cross-chain transfers by finding the cheapest and fastest routes for users​

First, small investments buying a Real World Asset (RWA) on Ethereum are not feasible because the gas cost can easily cut the profit of the item acquired. On Arbitrum, for example, the money that you would spend on gas on Ethereum for one transaction can be used to buy several more RWA historical documents.