 ![](https://cdn.hackernoon.com/images/147U3X5kFBN1tzgmmwOYxj5W0Gy1-w293mzb.webp)

The __[NFTScout](https://nftscout.info/)__ team has prepared an overview of utility NFTs, a promising ‘old’ new development in the NFT universe: classification, top collections to follow and ways to find new projects.

## What are NFTs?

​​NFT stands for non-fungible tokens. It is a type of digital asset that represents a unique item with a digital certificate of ownership. NFTs are stored on a blockchain and can be traded or sold on digital marketplaces.

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Each NFT represents a real-world object like music, a video, an in-game item, or a virtual baseball trading card. ownership of digital assets, such as artwork, video clips, music, in-game items or other digital content.

## Utility NFTs explanation

Utility NFTs are digital NFT collectibles that unlock some helpful application for their owner. While each standard NFT token has a value in its scarcity, utility NFTs are digital NFT collectibles that open some beneficial use for their owner.

## Types of NFT utility

There are several broad categories of NFT utilities that can provide among other things:

* Access to members-only events and meetings
* Grant ownership of physical items
* In-game items as part of the game activities
* NFTs fractionalization or partial ownership of NFT items

## Top 6 Utility NFT collections

* __[Bored Apes Yacht Club](https://boredapeyachtclub.com/#/)__
* __[Azuki](https://www.azuki.com/)__
* __[VeeFriends](https://veefriends.com/)__
* __[CloneX](https://clonex.rtfkt.com/)__
* Mutant Apes Yacht Club
* __[CryptoKitties](https://www.cryptokitties.co/)__

## **How to find a perfect NFT project with utility?**

Some criteria that could be used to choose the best NFT include:

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**Team.** Look at project founders and teams that work on the NFT project in question. The more credibility there is among the team members the better.

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**Community.** Community that is built around the project and how engaged and developed it is. The loyalty of the community and its sheer engagement can be a sign of a longer project development and value that it will bring.

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**Project quality.** Check the size of the NFT collection. Pay attention to the utility that the project provides as well as the variety of traits and attributes generated for each token

## **Additional resources**

[More ways of NFT application](https://www.coindesk.com/business/2021/10/14/15-nft-use-cases-that-could-go-mainstream/)

[A list of top NFTs to buy in 2022](https://mirror.xyz/0xa7585C78844ced89eee5BD8d938f11f38C575F44/kOO4Q9NV3PL2JP_OyCGQjl7hCeTt9JWdbkkwCoNBCf4)

[History of NFTs \n ](https://medium.com/@Andrew.Steinwold/the-history-of-non-fungible-tokens-nfts-f362ca57ae10)[Best utility NFT projects by NFTScout](https://nftscout.info/nft-utilities-projects/)

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