“Getting to know blockchain and NFTs – in a playful way”

How do blockchain and NFTs work? Do they already exist at ERGO? Emilia Dang, ERGO Innovation Lab, and Roman Stammes, ERGO Metaverse team, tell us in an interview.

Following our background report here on //next, which shed light on the basics of NFTs, we are now delving deeper into this revolutionary technology. Because from now on, it will also offer added value at ERGO – initially in a playful way. In this interview, Roman Stammes from our Metaverse team and Emilia Dang from our Innovation Lab in Berlin outline the benefits and strategic importance of this fascinating technology using a specific example: the in-house event format ‘digital.morning’:

Hello Emilia, hello Roman, could you briefly summarise for our users what exactly NFTs are – and how they relate to the ‘blockchain’ technology trend?

Emilia: Absolutely: NFTs, short for ‘non-fungible tokens’, are digital certificates that prove ownership of a digital object – be it a digital work of art, music, videos or virtual real estate. They are based on blockchain technology, which guarantees their authenticity and proof of ownership. This is because transactions are recorded on the blockchain in an unalterable and traceable manner.

And where do you see the added value of this technology? For the real economy as a whole – and for the insurance industry in particular?

Roman: Above all, NFTs offer the advantage of transparency and traceability. They serve as digital certificates of authenticity that confirm the ownership and value of physical or digital assets. This offers a number of advantages, for example in the fields of art, entertainment, gaming or digital property. For example, NFTs enable artists and creatives to tap into new sources of income through digital works. NFTs can be used to offer exclusive digital content or services as well as benefits or discounts to reward customer loyalty, for example. By simplifying the purchase, sale and transfer of digital assets, NFTs also promote global trade.

In the insurance sector, for example, they could be used as digital certificates for insurance contracts. They could be integrated into smart contracts in order to process insurance claims more automatically and efficiently. They could also be used for the secure and fast exchange of data between insurers, customers and other parties, which reduces the administrative burden and also increases efficiency.

And to what extent does this help ERGO achieve its strategic goal of becoming the digital leader in our industry by 2025?

Roman: As ERGO, we always keep an eye on the latest trends and technologies. We test at an early stage which new applications could have added value for our customers, employees and stakeholders – be it in the area of AI, metaverse or blockchain technology and NFTs. It is a sign of our willingness to innovate and our ability to quickly adapt new technologies. As ERGO, we are positioning ourselves to be even more future-proof and adaptable to upcoming technological trends.

Then let's be more specific, please: What exactly are your plans for NFTs and blockchain technology at ERGO? Where will the journey take you?

Emilia: We are currently still at the stage where we are fundamentally investigating the use of blockchain technology and NFTs for ERGO. However, in order to bring our colleagues into contact with it as early as possible, we already launched a first pioneering application at the beginning of August, which celebrated its premiere at the special NFT edition of the ‘digital.morning’ on 7 August ...

Exciting! What is the name of this application – and what does it do?

Roman: We have named it the ‘ERGO Collect App’: Because it allows participants in the ‘digital.morning’ to collect digital proof that they took part in the event. Anyone who scans the QR code provided by the organising team during the event collects the corresponding proof in the app - completely voluntarily, of course. A few more of these digital proofs or certificates could be collected over the rest of the year, if you so wish. By collecting them in the app, you show that you are a fan of ‘digital.morning’ and an active part of its community.

And these are NFTs?

Roman: Yes, not quite: Strictly speaking, the certificates in the app are still digital scans, more like stamps in a stamp book. If you want the real NFT, you create a private blockchain wallet – a kind of virtual wallet – and have the certificates transferred to it. They would then be written to the blockchain by our app and sent to the individual wallet. This turns these digital images into NFTs that are forgery-proof and protected from unauthorised access and belong solely to the user. As I said, this is a fun and interactive way for colleagues to come into contact with this complex topic and get their first taste of blockchain, unless they have already gained experience with the topic in their private lives.

Emilia: Exactly, this wallet is essentially a digital wallet that makes it possible to receive, store and manage cryptocurrencies and NFTs. The creation of a crypto wallet can also be done via a mobile app. There are various providers of crypto wallets, such as MetaMask. Important: These wallets are then a private matter and are not provided or operated by ERGO like the ‘Collect App’ ...

Roman: But regardless of whether the participants set up a wallet or leave the certificates in their ‘ERGO Collect App’: Proof of the collected certificates can then be used to redeem certain rewards at a later date. This could take the form of exclusive events, collector T-shirts or other special goodies.

Interview: Ingo Schenk