Will Cardano Run Out Of ADA For NFTs?

Hello, I was thinking about how NFTs work on Cardano, and how you wrap up some ADA in order to mint them. As the NFT ecosystem grows, and more ADA gets used for NFTs, will there be an issue in the future where there are not enough ADA left to mint an NFT?

Hello @rolas978

The amount of ADA needed to maintain a transaction with CNFT included is a changeable protocol parameter. Currently it’s around 1.5ADA per single CNFT transaction.
At the moment there are only 2 million CNFTs and around 30 billion ADA in circulation. If CNFTs become so popular that there are billions of them, then they can just change the required amount of ADA from 1.5 to 0.oxxxx or what ever amount they need to make it work.
This is an easy protocol change and will probably be automated in a future to automatically adjust ADA needed vs existing CNFTs.

Also, you don’t wrap any ADA, just use it as a transaction medium to carry a CNFT. That ADA is not locked. :smiley:


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