NFTs can be suitable for building "on-chain legacy inheritance" contracts with time-delayed transfers. They offer unique, indivisible tokens to represent assets, ensuring clear ownership on the blockchain. Smart contracts can encode conditions like time delays or beneficiary triggers, automating inheritance without intermediaries. However, challenges include high gas fees, scalability issues, and legal recognition of on-chain wills. NFTs' immutability ensures transparency, but volatility and security risks (e.g., private key management) require careful design. Combining NFTs with multi-signature wallets or decentralized oracles can enhance reliability for such use cases.