Introduction to NFTs: What NFTs represent for our future
Introduction to NFTs: What They Are, Why They’re Important.
Written by Aubreyonna Van Hoose
What is an NFT??
Non-fungible tokens, NFTs, are unique one-of-a-kind digitized items that cannot be interchanged.
The best example of a non-fungible item is art. Two paintings wouldn’t have the same value simply because they are the same size. The same ideology applies to NFTs — One NFT cannot be interchanged for another because both are unique and hold a specific value for their uniqueness.
In other words, “NFTs can be thought of as digital tokens that use Blockchain to secure the authenticity and ownership of a one-of-a-kind asset. The asset’s ownership history can be verified through the public ledger known as Blockchain, and hence its authenticity is confirmed,” said Patrick Miller from the Daily Californian.
Regarding the NFT market, in 2020 the market grew by 300% within the year. The total market raised to $250,000,000 million dollars by 2020, according to Casual Friday.
Why buy NFTs?
NFTs are popular at the moment simply because it’s new, but mostly thought of as a testament to the power and advances of technology and e-commerce.
However, NFTs are most appealing to collectors and buyers due to ownership rights. Being a partial owner of the Mona Lisa would give anyone a form of ownership and social status, which applies to NFTs as well.
Anyone can purchase an NFT, but it’s ultimately a new form of owning items in a digital format that makes it appealing to users.
Right now, the most common mediums of NFTs are digital art, music, trading cards and games. However, artists are expanding to video clips and digital cats, which are available for sale on an NFT marketplace.
What’s the future of NFTs?
It’s relatively open-ended at the moment, but there is a push for tangible or real-world items being integrated in the Blockchain as an NFT. Until then, NFTs will start expanding as new forms of ownership mediums that’ll arise within the NFT market.