Digiphysical Goods

Description

Louise Borreani and Pat Rawson:

"Digiphysical (alternatively: “Phygital”) goods typically refer to “goods that exist in physical form, and maintain a cryptographic link to its digital (on-chain) record via NFC [near-field communication] technology.” In contrast to digital collectibles, the virtual half of a cryptonative digiphysical is bound one-to-one with an associated material asset; in effect, digiphysicals, when tightly coupled, are two simultaneous halves of a digital-physical whole.

Their key value proposition resides in their unique enjoinment of virtual and physical attributes, where when tightly coupled the NFT representing the physical asset cannot be transferred without the physical asset in question also being transferred. Looser couplings are also possible, such as Plastiks’ endangered wildlife NFTs, which enter the charitable donor into a lottery for an autographed FC Barcelona T-shirt—an opportunity to redeem the NFT against the good in question (but not the good itself). Other loose couplings include burn-and-redeem, redeem-and-replace, or access functionalities, where an NFT is destroyed, exchanged, or presented in return for a physical good.

...

Digiphysicalism can improve the environmental quality of goods and services. In the case of goods, the field of green logistics is of particular interest. Green logistics “describes all attempts to measure and minimize the ecological impact of logistics activities.” Digiphysicals can help standardize the measurement of negative supply chain externalities, such as energy costs. Web3’s true innovation is the global liquidity environment every blockchain “smart object” can participate in as its own market agent."

(https://mirror.xyz/ecofrontiers.eth/zkh2LoADInAgr7GLbXnsuUOEcwJKFE4GuUSYuYU22io)