What if the NFT you own could perform the functions of a 'wallet' and represent the asset itself as well? This would enable your asset to communicate with other smart contracts and hold other digital assets inside of it. ERC-6551: Non-fungible Token Bound Accounts, a new Ethereum Improvement Proposal, may soon make such possible. For more about blockchain and smart contracts, visit our smart contract development services.

What is ERC-6551 (Token Bound Account)

ERC-6551 introduces the concept of Token Bound Accounts (TBAs), essentially transforming NFTs into their smart contract wallets. Each TBA has a unique address and is directly linked to a specific NFT, unlocking a range of new functionalities:

Asset Storage: Unlike traditional wallets where you store your assets, NFTs themselves can now hold assets.

dApp Interaction: NFTs can directly engage with decentralized applications (dApps) including DeFi protocols and DAOs.

Transaction History: Each NFT maintains its transaction history, independent of the owner's wallet history.

When ownership of the NFT changes, all the assets contained within the TBA are transferred along with it, seamlessly transferring both the NFT and its associated holdings.

Learn how to create an ERC-721 Smart Contract, Registry Smart Contract, Account Smart Contract, and more. Click on the link below.
https://blockchain.oodles.io/dev-blog/create--deploy-token-bound-account-erc-6551/?utm_source=devto