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What are Soul Bound Tokens / SBT Tokens?

Eric Richards
Post by Eric Richards
September 30, 2022
What are Soul Bound Tokens / SBT Tokens?

Like a DeBeers Diamond: Forever Yours

Soul Bound Tokens, also sometimes referred to as Account Bound Tokens, could be described as the process of tattooing your digital wallet, just currently without the ability to laser remove it. Now what you tattoo to the wallet is the real question!

A Vitalik Buterin co-written research paper was released titled "Decentralized Society: Finding Web3’s Soul". While it's definitely not a short read, the discussion of Soul Bound NFTs is a hot new topic that will certainly be impactful to future development.

The paper is following the theme of a post he made back in January 2022. Soul Bound tokens are a special form of NFT that are designed to be 'bound' to a single wallet, instead of being easily sold or traded like traditional NFT's.

There are a ton of applicable purposes for Soul Bound NFT's, such as identifying what people have historically done, providing access to services, serving as a form of governance token, identity verification token, and even determining future credit.

The technology and implementations are still very early, but we expect some interesting developments in the space. On a more technical level, the Soul Bound Token, or an Account Bound Token, is the implementation of EIP-4973. 

Here are a few examples of how a Soul Bound Token could be used in a real world application:

  • An Educational Institution providing a graduate their degree directly to their personal wallet address, which would then be used as verified educational experience by providing a wallet address to an employer, like a digital ledger resume - academics identity verification.
  • An Employer or Organization could issue a token of appreciation or proof of experience to a user's wallet, again to be used as a growing digital ledger resume
  • The core of how a service, like LinkedIn, operates could be impacted (e.g. Kleoverse)
  • Medical records soulbound tokens could be used to improve current systems, and create opportunities for improved research with open anonymous data. 
  • For multiplayer online games, the token could represent a player's account, character, items, experience - whatever needs to be locked! 


Once you get past the jargon, crypto use cases are pretty exciting & the complexity shouldn't deter you. Cybrid helps unscramble the complexity of it all - which is why we are the C-Suite & Developers first choice for crypto.

We've provided guides to help businesses get started with putting crypto on their roadmap, which whenever you're ready, Cybrid is ready to begin the journey with you. 

See the demo applications

 

Eric Richards
Post by Eric Richards
September 30, 2022
Eric Richards, the resident crypto expert and consultant at Cybrid, is a dynamic and multi-talented professional with a diverse range of knowledge spanning protocols, dApps, funding, and more. His deep understanding of the crypto ecosystem and its intricacies has positioned him as an invaluable resource in the company's growth and success. In addition to his extensive expertise in the crypto space, Eric has a penchant for writing about the latest developments and news in the industry. His articles often delve into cutting-edge technology and trends, and he takes great pleasure in breaking down complex concepts to make them accessible and engaging for a broader audience. Furthermore, Eric plays a pivotal role in leading Cybrid's marketing initiatives for sales, applying his strategic vision and keen marketing acumen to drive the company's growth. Eric Richards' unique blend of crypto expertise and thought leadership truly sets him apart, making him an integral part of Cybrid's continued success.