- NFTs are unique digital tokens that are backed by the blockchain and cannot be duplicated.
- NFTs represent real-world items, including digital collectibles, music, artwork, event tickets, domain names, in-game tokens, and even ownership records for physical assets.
- NFTs allow these real-world assets to be bought, sold, and traded.
What Are Non-Fungible Tokens Or NFTs?
NFT is a unique digital certificate attached to any digital asset, be it art, music, or video, confirming its ownership to the holder, which remains public and stored on computers across the internet. When this is combined with the cryptocurrency, backed by a digital ledger platform called blockchain, the result is non-fungible tokens. NFTs are non-fungible tokens, have no standard value like money, and instead have a unique value. An original digital artwork, for instance, would be non-fungible objects.
Why Are NFTs Worth Millions Of Dollars?
Each and every NFT is different and unique as they are characterized by their unique qualities and authenticity. These digital tokens cannot be duplicated. Authenticity plays a crucial role in the rise of NFTs. The tokens are easily verifiable and can always be followed back to the original creator.