Thread by @magikinvestxyz

You can rent a utility NFT from decentralised NFT leasing platforms like @DoubleProtocol

Here's a thread 🧵 about ERC-4907 and how rentable NFTs work 👇

Why are rentable NFTs needed? -

a) Surge in popularity due to metaverse and play-to-earn models

b) NFTs become unaffordable in many cases due to high demand

c) Rentable NFTs provide highly required additional liquidity

ERC-4907 facilitates the efficient implementation of rentable NFTs.

This standard achieves the separation of NFT ownership and usage rights and automatically withdraws usage rights upon expiration.

This standard is an extension of EIP-721.

It proposes an additional role (`user`) which can be granted to addresses, and a time where the role is automatically revoked (`expires`)

The `user` role represents permission to "use" the NFT, but not the ability to transfer it or set users.

The owner of the NFTs can set the user and expiration of an NFT by calling the function `setUser`

Here is an example usage:

1. Alice owns an NFT4907 with id 1.

2. Alice can lend it to anyone by setting the user and expiry of the NFT: `setUser(1, anyone, expires)`.

3. Alice can also cancel the right of using : `setUser(1, address(0), 0)`

Three important function definitions in ERC-4907 are:

Function 1:
function setUser(uint256 tokenId, address user, uint64 expires)-

This function is initiated by the NFT owner and passes in three parameters NFT ID, leaseholder, and expiration time.

It checks if the caller is the NFT owner

If the caller is the owner, then it transfers the ownership to the 'user' address until 'expires' expiry time

Function 2:
function userOf(uint256 tokenId) -

This function is used to query the leaseholder of a particular NFT

Function 3:
function userExpires(uint256 tokenId) -

This function is used to get the expiration time of a particular NFT leaseholder

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