This is a new kind of NFT. Their difference from regular NFTs is that they cannot be transferred to other users. Each SBT is permanently tied to a wallet.
The abbreviation SBT stands for Soulbound Tokens The word "Soulbound" was the name of a separate class of items in one of Vitalik Buterin's favorite games, World of Warcraft. Such items could be obtained for important in-game achievements.
Soulbound items were permanently assigned to the player's profile, showing his achievements in the game world to other users. SBTs would work in a similar way. Only instead of a player profile, they would be tied to the user's crypto wallet.
SBTs will help create a digital reputation with the user. For example, he can get SBTs for attending a conference, for taking a course, for helping another user, for participating in a DAO, for working for a company, and for any other activities👥
So the user's crypto wallet will begin to form its own history and reputation. It will be possible to see where he studied, what events he participated in, who he helped, and where he worked.
