Nonfungible tokens (NFTs) have been a hot topic in the Web3 space as of late, with collectors both active and prospective making them a part of their digital asset portfolios. To appeal to these users Web3 payment provider Wert and InsurTech service Avata have introduced a new NFT warranty service, claiming to provide safety for digital assets by covering up to 90% the value of compromised NFTs.

The opt-in warranty will be available on nearly 80 digital asset marketplaces, including the high-value NFTs from the KnownOrigin platform. Coverage will be based on the purchase price of the asset, and charged at 6% of cost at checkout. The service is aimed to bridge the trust gap that many prospective users need in order to feel comfortable buying NFTs.

George Basiladze, the co-founder and CEO of Wert, believes that the warranty service can have a lasting effect on the mass adoption of NFTs and Web3 technologies. With serious investors and professional collectors more likely to buy into the NFT market when the security factor is guaranteed, more people may feel more comfortable taking a leap into the unknown.

A survey from CoinGecko revealed that one in four NFT owners have an impressive 51+ digital assets in their collections. Predicted figures from 2027 suggest that the global transaction value for all NFT-related activities could skyrocket to nearly 40 million. This makes it clear that NFTs like art and collectibles are here to stay, so providing investors with the peace of mind that comes from having adequate protection against into smart contract hacks is becoming increasingly important.



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