🤔 What is an NFT?
"NFT" stands for Non-Fungible Token. An NFT is a type of digital asset on a blockchain that is unique and cannot be interchangeably exchanged for something else.
But what does that really mean?
In short, an NFT is a digital token whose ownership can be cryptographically verified by anyone. Ownership of an NFT is...
🥇 Unique. Each NFT is unique, and can only be owned by one person.
📢 Public. Anyone can see who owns a given NFT. Because the blockchain that an NFT "lives on" is a public ledger, anyone can see who owns anything
✅ Undisputable. Because of the properties of blockchain and the cryptographic standards that it relies on, it's impossible to dispute who the true owner is.
You can think of an NFT as a unique, public, and indisputable proof of ownership of some digital asset. NFTs can be bought, sold, and traded like any other asset.
NFTs are stored on a blockchain, such as Ethereum. The blockchain provides the public, distributed ledger that tracks who owns the NFT, and by extension, the asset that it represents. Because of how blockchains work, it is impossible to modify or delete the NFT in unauthorized ways.
⚙️ What are NFTs used for?
NFTs are most commonly used to represent ownership of digital assets. For example, one of the most popular uses for NFTs is to prove ownership of a piece of artwork. In many cases, NFTs are also used as membership passes into social clubs, exclusive events, and online communities.
For example, some NFTs...
⛳ Are membership passes to a golf course
🪂 Are community passes
🖼️ Prove you own a piece of art with social or cultural relevance
🏡 Are titles to a house
🎟️ Are concert tickets, or can give you early access to concert ticket sales