Dynamic NFTs: An Ultimate Guide

Use cases and functions for non-fungible tokens (NFTs) have expanded with their popularity. As digital assets evolve, discussions about a new category of NFTs called dynamic NFTs are picking up steam. While many NFTs remain the same over time, dynamic NFTs can change. 

What Is NFT? 

An NFT is an extraordinary computerized symbol that is put on the blockchain and addresses responsibility for things, genuine or computerized. A unique contract address and token ID are just two of the many data points that set this particular crypto asset apart from others. This indicates that no two NFTs are alike and cannot be substituted for one another. An agreement alludes to where the savvy contract for the NFT is put away, as a rule for NFTs that are on the Ethereum blockchain. Without the need for an intermediary, a smart contract can carry out actions automatically when certain conditions are met. A symbolic ID is an extraordinary mathematical identifier for each NFT.

Dynamic vs. Static NFTs 

Some NFTs are static, which means that the data associated with a token cannot be changed after it is added to a blockchain. For instance, if you mint a rare, one-of-a-kind piece of art as an NFT, the digital image and data associated with it will never change, regardless of how long it has been traded. Then again, a unique NFT is a kind of NFT that changes in view of outer circumstances. The NFTs in games, which are also known as “living NFTs”, have characteristics that can program your avatar to change its appearance as you progress through the game. To make things clear, videos and GIFs can also be considered static NFTs as long as the JPEG image or MP4 video that is linked to the NFT does not change after it is created. An NFT is considered dynamic if it can be altered after minting. The NFT’s metadata is affected, and the token’s appearance may also be affected. 

The name, description, characteristics, and transaction history of an NFT are all included in its metadata, which provides information about its content. The metadata of an NFT is typically specified as a JSON file and stored off-chain. The token ID and contact address of an NFT cannot be changed after it is minted. What’s more, although the metadata of an NFT can be changed after it has been printed, doing so can be a troublesome and tedious method that requires information on code. Consequently, many existing NFTs are static and possess traits that cannot be changed over time. Even though this static NFT model is widely used in NFT art projects, play-to-earn games, and digital collectibles, it can be limited for projects like real-world assets and blockchain-based video games that need to update their metadata frequently. The idea of dynamic NFTs comes into play here.

How Does A Dynamic NFT Work? 

The way dynamic NFTs work is by storing data in an editable format. Dynamic NFTs use the ERC-1155 standard. Due to its adaptability, this kind of token standard is sometimes referred to as “semi-fungible”. A smart contract can set off changes to a dynamic NFT. An oracle will typically send external data to the smart contract, causing the NFT’s metadata to change. Then, NFT’s characteristics, like its appearance, will be updated. 

Benefits Of Dynamic NFTs

The correlation between static and dynamic NFT workmanship would show that unique NFTs are the next stage in the development of NFTs. Using blockchain and the decentralized web in the future, dynamic NFTs could investigate numerous additional use cases. The new class of NFTs combines the individuality of non-fungible tokens with the adaptability to incorporate dynamic data inputs.

  • Better User Engagement:

    Better user engagement is the greatest benefit of a dynamic NFT collection. Users’ curiosity about the upcoming changes to the collection or project can be piqued with the assistance of dynamic NFTs. For instance, new ways to interact with the collection and the associated challenges and rewards can increase user engagement.

  • Immersive Experiences:

    With NFT projects, dynamic non-fungible tokens can offer immersive experiences. Users would always be looking for new ways to have fun and memorable experiences with dynamic NFTs, which would encourage them to spend more time with a particular solution.

  • Improved Loyalty:

    People’s enjoyment of dynamic NFT projects can be enhanced by their ongoing engagement with the content. Brands could use dynamic NFTs to turn users into devoted fans as a result. Users are more likely to spread information about a project when more people use dynamic NFTs.

  • Power Innovation:

    The opportunity for innovation stands out as the most significant advantage of dynamic NFTs above all else. Dynamic NFTs are adaptable and provide an opportunity to develop novel content creation and distribution strategies. 


In 2021, NFT gained popularity. The market for non-fungible tokens (NFTs) is entering a new era thanks to dynamic non-fungible tokens, which are semi-fungible tokens that can be programmed to change their metadata after they are issued. This adds flexibility and creates a variety of exciting new use cases for NFTs.