What are NFTs?
Let’s take a quick look at what does NFT stand for: non-fungible token.
Is it clear now? Hm… Let’s break it down easier: „non-fungible“ more or less means that it’s unique and can’t be replaced with something else, in contrast to e.g. Bitcoins, which are fungible and can be exchanged like real coins. NFTs are a kind of trading cards, unique collectibles, that are used for voxels, motors, tickets, music but also for art. What is meant with uniqueness? Well, when you think about the Mona Lisa, there is only one creator of Mona Lisa, even though if you copy the painting as much as you like. NFTs working the same way: you have a digital artist , who creates an art piece, that is linked to a blockchain platform and then sells the work to a technology enthusiastic community. The tokens are like digital certificates of ownership, the data of the tokens are stored on a blockchain and all this information is kept in your digital wallet.
All of this is giving creators the chance to promote themselves and for buyers to financially support creators, so that all can be witness of the digital era of decentralization, crypto trading and crypto currencies.
All in all it’s a digital asset that you produce or buy because you believe in its value, in technology and in the realm of the virtual.
But what exactly is the blockchain? Let’s think of the blockchain as a specific type of database, that stores your data in blocks that are chained together - just like a necklace. Different types of information can be stored on a blockchain but the most common use so far has been as a ledger for transactions.