Transforming digital collectibles with nestable NFTs: 30% expansion in investment base

Innowise crafted advanced smart contracts that facilitate the creation of nestable NFTs, enhancing their interactivity and versatility.

Customer

Industry

Blockchain

Region

USA

Client since

2023

Our client is a prominent player in the digital art and collectibles industry based in the United States.

Detailed information about the client cannot be disclosed under the terms of NDA.

Challenge

Elevating NFT customization and enhancing platform scalability

The client approached us with a significant challenge concerning their NFT platform: the lack of dynamic customization options for NFT attributes, such as altering outfits or accessories on character-based NFTs. This limitation reduced user engagement and hindered NFT marketability, as each attribute had to be minted as a separate, static NFT.

Furthermore, the client was dealing with issues related to the scalability of their offerings. They sought a solution that could independently sell and trade NFT attributes, thereby increasing transaction volumes and user interaction. From us, the client expected a robust, scalable, and secure solution that would enable NFT customization.

Solution

Enhancing digital customization with advanced nestable NFTs

To address our client’s challenges, we proposed a sophisticated solution based on the development of nestable NFTs utilizing smart contracts. The solution was tailored to enable dynamic modification of NFTs by allowing users to change layers such as clothing, weapons, and accessories. These NFTs are available for trading on the OpenSea marketplace, which offers collectors and enthusiasts easy access to digital assets.

Multilayer NFT framework

Based on our expertise in blockchain technology, we developed a smart contract infrastructure that allows for the NFT nesting. This means that each character on the client’s platform can be equipped with various interchangeable items, each item itself being an NFT. This multilayer approach not only enhances user engagement by allowing for customization but also increases the utility and potential revenue from each NFT.

RMRK protocol integration

We selected the RMRK protocol as our core technology. The decision to adopt RMRK was based on rigorous testing and comparative analysis of other blockchain protocols. RMRK has been praised for its robust security measures. Additionally, numerous companies have widely used these smart contracts, and their security is time-tested.

This protocol enables the creation of “nestable” NFTs. We created complex, interactive digital assets that go beyond the static, single-layer NFTs commonly seen in the market. For example, a digital character can possess various items such as hats, glasses, or costumes, each an NFT in its own right. Users can add or remove these items from the character, changing its appearance and attributes.

Integrating RMRK allowed us to construct a dynamic system where attributes of a character could be minted or traded separately. This capability allows users to customize their digital assets to a previously unattainable degree on other platforms supporting the ERC7401 and ERC6220 standards. Each attribute or item can be handled as a separate asset, enhancing its potential market value and tradeability. For instance, a rare sword owned by a digital warrior can be sold independently of the warrior itself, allowing the owner to capitalize on the rarity and demand for the item without needing to trade the entire character.

Moreover, the flexibility offered by the RMRK protocol facilitates trading and increased interaction among users. Owners of different NFTs can swap items, leading to a more vibrant and engaged community. This aspect of the solution particularly appealed to our client, who was eager to increase user engagement and transaction volumes on their platform.

Back-end development

We also developed a back-end system, a core component designed to support the interactive nature of the multilayer NFTs we developed. The back end detects any changes made to NFT’s attributes, such as swapping out clothing, weapons, or accessories on a character. The backend is activated when a user engages with the NFT by equipping, unequipping, and transferring layers.

For instance, if a user changes the jacket on a character NFT to a rarer, visually distinct jacket, the back end logs this change. Following this, a new image is automatically generated. This new image reflects the character’s updated appearance with the new jacket.

Simultaneously, the back end updates the NFT metadata. Metadata in the context of NFTs refers to the underlying data that provides information about the NFT’s attributes. This includes the metadata of all layers as well as the item’s origin, previous owners, its rarity level, and other relevant details.

Furthermore, the back-end system ensures that these updates are propagated to the blockchain in real-time. When the back end updates the image and metadata, it also communicates these changes to the blockchain. This is to guarantee that every transaction or modification is immutably recorded.

This dynamic interaction between the back end and the blockchain enables a seamless user experience where changes are immediately reflected across all user interfaces. Whether a user is browsing the NFT gallery or engaging in a transaction, they see the most current and accurate representation of each NFT.

NFT armory

This is the section within a platform that serves as an interactive armory where users can construct and personalize their NFTs. Drawing on a diverse arsenal of items varying in rarity and value, users can assemble their unique digital collectibles. The intuitive gallery interface ensures easy navigation and facilitates the creative process, allowing users to combine different NFT attributes to craft one-of-a-kind items that grow in desirability and potential market value.

Advanced search tools also help users filter and discover NFTs based on specific characteristics, such as rarity or price, enhancing the overall customization and trading experience. This space is not just about building NFTs — it’s about empowering users to define their digital presence uniquely and strategically.

Technologies

Front-end

React, Ethers, Thirdweb

Back-end

Nest.js, Redis, Ethers.js

Blockchain

Solidity, hardhat, RMRK

Process

Protocol selection

At the onset, we presented several blockchain protocols to our client, showcasing their features and potential. Given the unique requirements of nestable and customizable NFTs, it was crucial to select a protocol that provided robust support for these functionalities. After a series of presentations and discussions, we tested these protocols. Our goal was to determine which protocol would best suit the project's intricate needs. Based on our tests, we chose the RMRK protocol for its advanced capabilities in handling multilayer NFTs and its proven security track record.

Smart contract development

With the protocol in place, our next step was to review and deploy the smart contracts that would underpin the entire system. This phase involved coding the contracts to manage nestable NFT creation, trading, and modification.

Communication and project management

Throughout the development process, communication was key to maintaining clarity and alignment with the client’s goals. We utilized Google Meet for regular video conferences, which allowed for effective face-to-face discussions and immediate feedback. For project management and task tracking, we employed Jira. This tool enabled our team to keep a detailed log of development stages, monitor progress against deadlines, and manage tasks efficiently across the development team.

Team

Solidity Developer

Front-end Engineer

Back-end Engineer

Project Coordinator

Results

30% expansion in investment base and surge in daily active users

Implementing nestable NFTs has produced remarkable results for our client. It has significantly enhanced the user experience by enabling extensive customization of digital collectibles.

Expansion in investment base: The ability to interact with and personalize NFTs through nesting has attracted a broader audience, emphasizing the growing allure of nestable NFTs. This feature has proven effective in drawing a diverse range of investors, highlighting its capacity to broaden market appeal and engagement.

Increase in daily active users: The launch of nestable NFTs has enriched user interactions, significantly increasing daily active users. This surge underscores the platform’s ability to provide more dynamic and engaging digital experiences, successfully attracting and retaining a larger user community.

Project duration

March 2023 - September 2023

30%

expansion in investment base

45%

increase in daily active users

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