Creators today are using NFTs to gain more control over their work, relationships with followers, and how they can monetize. Some people think that in the future, NFTs will be critical to how people will buy, use and share virtual objects and experiences.
But what are NFTs?
NFT means non-fungible token . Non-fungible means "unchangeable"; that is, the particular asset that cannot be replaced. Think of the Mona Lisa painting - there is only one in the world. NFTs are digital assets that represent things like art, virtual avatars , GIFs, videos, trading cards and even memes.
So if the NFTs are digital, what's stopping me from screenshotting or downloading them?
Of course, you can screenshot NFTs, the same way you can take a picture of the original Mona Lisa. However, you are not the original owner of the NFT or the Mona Lisa.
Each NFT has a unique signature that verifies authenticity and every transaction associated with it – who created it, who owns it, who sold it and for how much, etc. Creating an NFT is called minting . When a digital file is created, an NFT is generated and stored on the blockchain - cryptocurrency financial services company.
How do I buy an NFT?
Most often, NFT transactions are made using cryptocurrencies, but some sites allow you to use credit or debit cards. To buy NFTs with cryptocurrencies, you need to set up a digital wallet. There are several types of digital wallets available depending on where you live and what blockchain you want to use.
Why are some NFTs more valuable than others?
Like works of art in the physical world, NFTs can be rare and valuable. Generally, when an NFT is sold in the market, there is a process where there are multiple offers and the price of the NFT is determined by how much demand there is for it.
Note: This article contains general information for educational purposes only. Information about NFTs is subject to change. You should do your research and be aware of any risks involved.
