What is the NFT?

author: SSA
2022-03-10
What is the NFT?
With the trend and novelty of the metaverse last year, NFT gradually began to enter people's field of vision.
So here is the question. What is NFT? And what made NFTs explode?


What is NFT?

NFT is the abbreviation of Non-Fungible Tokens, which means non-fungible tokens, which is relative to fungible tokens. Non-fungible tokens are also called non-fungible tokens. What are fungible tokens? For example, BTC and ETH are all homogeneous tokens, so they are interchangeable with each other, that is to say, your ETH and mine are essentially the same and have the same properties ,price. And non-fungible tokens, or non-fungible tokens, are unique, like works of art, each piece is different. They cannot be replaced with each other, so they are called non-fungible tokens or non-fungible tokens

In which areas of encryption do NFTs mainly exist?

Games, artworks, domain names, collectibles, virtual assets, real assets, identities, etc. all have NFT applications. Among them, the fastest growing ones are games, artworks and domain names. The following is a brief introduction to NFTs in the field of games and artworks.

NFT in encrypted games The field of encrypted games has a natural relationship with NFTs. One of the biggest problems in the current game field is that equipment and props cannot be transferred and cannot be truly privately owned by users. NFT is a blockchain-based private property, which is completely controlled by users and can be freely transferred and traded.

At present, in terms of encrypted games, Axie Infinity, Decentraland, Gods Unchained, Cryptovoxel and many other games continue to expand the market.

What makes NFTs explode?

NFTs are like Leonardo da Vinci's Mona Lisa. It's unique and that's what makes it valuable. There are no other paintings in the world. Likewise, each NFT stores some form of metadata, making it a unique entry on the blockchain. That said, even NFTs on similar blockchains are not interchangeable. How does a unique cryptocurrency empower its owner? NFTs come with a mechanism to store rich metadata that goes beyond token symbols, supply, names and balances. It also stores asset and ownership details. Therefore, owners and future buyers are guaranteed a provenance.

NFT now has great value in various neighborhoods. So far, the most valuable NFT neighborhood is a pair of ""Everydays – The First 5000 Day" created by Beeple, which has been auctioned at Christie's in the UK , with a reserve price of $100, and at $69,346,250, the winning bidder will eventually receive an encrypted digital file with Beeple's signature. The auction makes Beeple the third most valuable living artist in the world, behind only "Contemporary Pop Art" "King" Jeff Koons and "The Godfather of British Art" David Hockney