Non-fungible tokens, or NFTs, have quickly taken the world by storm, revolutionizing the role digital art plays in the larger global economy. These one-of-a-kind digital assets denote ownership of everything from digital art to Twitter-bird-in-a-blender videos. Our NFT guide serves as a starting point to learn about NFTs and everything they include.
NFT stands for Non-Fungible Token. Unlike digital currencies such as Bitcoin, where each coin is the same and easily interchangeable, NFTs are unique. This uniqueness is what makes NFTs valuable, as they allow users to own a distinct digital or physical asset.
NFTs can take many forms. A digital painting can easily turn into an NFT. This certainly makes it easier for the artist to sell a one-of-a-kind version of their work directly to collectors.
This animated video can be tokenized as an NFT. Creators now have a vibrant new market to monetize their digital animations. This innovative feature provides collectors exclusive opportunity to own one-of-a-kind piece of digital art.
In addition to photos and time-based media, you can create a 3D sculpture in the form of an NFT. This creates exciting new opportunities for digital artists, giving them the ability to design and sell customized 3D models.
Even GIFs, those ubiquitous short, looping animations we all know and love, can be NFTs. This shows the true power of NFTs and their ability to encapsulate all forms of artwork, digital content, and much more.
Intellectual property NFTs are usually bought and sold via online marketplaces, often transacting in cryptocurrencies. When an individual buys an NFT, they are buying a distinct digital token on a blockchain ledger, which signifies their ownership over that digital asset. Simply put, the value of an NFT is what the market is willing to pay based off the scarcity and the value of the asset the NFT represents.
