Many heady developments are coming to the infinite of nonfungible tokens, or NFTs, ranging from metaverse NFTs to fantasy soccer digital collectible cards and up to monster-battle NFT games. In fact, Cointelegraph Research predicts NFT sales will striking a record high of $17.7 billion this year.

But 1 French startup is taking more of an ambitious approach with wine NFTs. In an exclusive interview with Cointelegraph, Samuel Balthazard and Yacin Kharroubi — CEO and chief production officer of Globe Broad Wines, respectively — discussed the logistics of making French wine available on the blockchain. Balthazard is the descendant of the family operating the Chateau du Rouet vinery in Provence, which has existed since 1840. The project itself is built on the Elrond network.

Cointelegraph: A bottle of wine will vary in price, for example, in France and in China due to differences in taxes and community duties. So, what'southward the setup with regard to such payments?

Samuel Balthazard: For the system, for the taxes, we take created a token named GRAPES. And when you buy an NFT, yous stake some tokens in commutation for the permit to take the bottle. Then, when you lot want to take the bottle back [delivered], nosotros use a organisation to know if there are enough GRAPES based on your country. For example, if you are in China [where import taxes are loftier], y'all need to accept more GRAPES tokens to pay the taxes. If you are in France, you lot are supposed to need fewer tokens.

Vineyard in Provence | Source: Ming-yen Hsu, Creative Eatables

CT: Where are you guys in terms of product development? Are you guys already selling these NFTs or just edifice the prototypes?

Yacin Kharroubi: Actually, we have been building this project for several months, but we fabricated the official announcement 10 days ago. So now, we have created all of the designs. We are going to launch the first drib of 300 NFTs, and nosotros have already managed some partnerships with NFT collections and wineries for the moment.

CT: How volition you guys ensure the safe and security of the bottles, as at that place is an off-chain gamble?

SB and YK: For that, behind every NFT, there are iii real bottles of wine considering of the safety and the security. For these three bottles, we put them in iii different vineyards, like we desire to piece of work at a deject arrangement, but with bottles.

Securing each NFT in a 3-bottle setup is the first step of the process considering we want to assure that if one canteen is lost or two bottles are missing, we still accept the tertiary one, but the client will only own 1 bottle. We buy 3 bottles. Only when you wait for ane bottle, if nothing happens with each other, they go to the market. And with NFTs, y'all accept discounts on this market place. Then, yous can go [...] on the marketplace and buy a discounted bottle. And the outset part is nosotros want to create a "vino menu." And information technology volition be similar an invitation to wine events or a disbelieve in a wine bar or things like that.

The second step in terms of safety is about insurance. When y'all stake an NFT, you take some GRAPES. 30%, it's for fees; 30%, it'due south for the owner of the vino, stock, storage; 30%, information technology's for the vineyard. Meanwhile, the remaining 10% goes to us. So, if the vineyard lost a bottle, he does not receive his GRAPES, and so he has an [economic] involvement in taking care of the bottle. And you lot can claim your bottle when you have enough GRAPES to pay the fees and shipping fee.

CT: On your site, it says that each NFT will correspond a different type of wine. So, how will you guys determine the quality of wine?

SB and YK: For this part, it's about information and data scientific discipline. In the start, we wanted to show the vino's vintage equally an attribute, just vintage is also subjective and too difficult for customers to choose. So, nosotros decided to create an aspect based on quality. And for this aspect, we're going to utilise historical data, but nosotros will create a prediction model. And so, analyzing all the data, which allows us to determine quality — for example, the weather condition, the rain and sunshine of the vineyards where grapes are grown.

Related: Despite the bad rap, NFTs can be a strength for good

CT: Would y'all guys like to include whatsoever other statements or visions about what you are doing?

SB and YK: Nosotros want to have three chief objectives: First, digitalize the vino ecosystem; then, brainwash the people on how to spot good wine; and finally, gamification of the vino ecosystems [via the Metaverse]. We have a lot of ideas — for case, one wine collection of NFTs and and then another. The ultimate step is to make it at the real wine market with existent wineries.

The last function — I recollect it's important — it's why the vineyards would exist interested. The first role, it'southward about the second market. So, for example, when the Domaine Chateau du Rouet sells a wine, they command the offset market. Merely if the canteen appreciates in value over time, the winery doesn't control that. And with NFTs, you can put royalties on the second marketplace, so Domaine Chateau du Rouet gets a commission from resales.