What is an NFT?
NFTs are tokens that the world can use to represent ownership of unique items on the web.
NFTs let us tokenize things like art, collectibles, and even real estate. They can only have one official owner at a time and they're secured by the blockchain – no one can modify the record of ownership or copy/paste a new NFT into existence.
NFT stands for non-fungible token. Non-fungible is an economic term that you could use to describe things like your furniture, a song file, or your computer. These things are not interchangeable with other items because they have unique properties.
NFTs are minted through smart contracts that assign ownership and manage the transferability of the NFTs.
NFTs vs Current Internet of Assets
NFTs are digitally unique, no two NFTs are the same.
A copy of a file, like a .mp3 or .jpg, is the same as the original.
Every NFT must have an owner and this is of public record and easy for anyone to verify.
Ownership records of digital items are stored on servers controlled by institutions – you must take their word for it.
Content creators can sell their work anywhere and can access a global market.
Creators rely on the infrastructure and distribution of the platforms they use. These are often subject to terms of use and geographical restrictions.
Creators can retain ownership rights over their own work, and claim resale royalties directly.
Platforms, such as music streaming services, retain the majority of profits from sales.
This page has been inspired by https://ethereum.org/en/nft/. We warmly suggest you have a look at it as it may give a more complete picture of what NFTs are today and what they can represent for our future.
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