Understanding ERC-4907 and Rentable NFTs

ERC-4907 is an extension of the ERC-721 NFT standard designed for rentable NFTs. It introduces a "user" role, allowing NFT owners (landlords) to grant temporary usage rights to others (tenants) without transferring ownership.

Key Components:

• Owner: Has full ownership and control over the NFT, including selling, transferring, and granting/revoking user access. Receives rental income.
• User: Gains temporary access to the NFT's utility (e.g., IDO allocation on Rentapad) for a specific duration. Cannot sell or transfer the NFT.
• setUser Function: Enables the owner to grant user access and define the rental period.
• expires Function: Automatically revokes user access when the rental period ends, returning the NFT to the owner.

How It Works on Rentapad:

1. Owners list their NFTs for rent, setting the price and duration.
2. Users rent the NFT, gaining access to its utility for the specified period.
3. The expires function automatically returns the NFT to the owner once the rental ends.

Benefits:

• Owners: Generate passive income from their NFTs.
• Users: Access IDOs without buying an NFT outright, reducing costs and commitment.
• Platform: Enhances liquidity and accessibility for IDO participation.

The expires Function: Ensuring Secure and Automated Rentals

The expires function is crucial for automating and securing the rental process:

1. When granting access, the owner sets an expiration timestamp using setUser.
2. The expires function is embedded in the NFT's smart contract and automatically revokes user access at the set time.
3. This eliminates manual intervention and guarantees the NFT's return to the owner.

Benefits:

• Automated: No manual intervention required for access revocation.
• Secure: Prevents unauthorized use beyond the rental period.
• Reliable: Owners are guaranteed their NFT will be returned.

Owner vs. User: Roles and Responsibilities

In Summary:

ERC-4907 and its expires function create a secure and efficient framework for NFT rentals. Rentapad leverages this technology to make IDO participation more flexible and accessible, benefiting both NFT owners and users while fostering a vibrant ecosystem.