Short History to rewind emerging crypto world, 2017-18 Initial Coin Offering [ICO], 2018-19 Ethereum Smart Contract, 2019-20 Stablecoins, and 2020-21 DeFi. Now it’s 2021 & in the recent month, you have seen the waves of Non-Fungible Tokens [NFT] towards the Moon 🚀 Let’s dive & try to understand what is NFTs.
What are NFT tokens
Firstly NFT stands for the Non-Fungible Token, the asset that cannot substitute with other assets. This unique attribute makes it different from the other class of digital assets. Like Painting, Real estate Trademark, or Cryptokitties. While Fungible tokens can substitute. Like Bitcoin, Gold, or Currency. Where Tokens refer to the digital certificate that is stored securely on the blockchain.
NFT tokens developed on the Ethereum standard of ERC-721 & ERC-1155 & that can be publicly verifiable & authenticated on the blockchain.
Why NFTs Worth
NFTs esteem boosts the same as Bitcoin – there is a finite number of tokens & it can’t replicate. The technical sense that every NFT is a unique token on the blockchain & plays a vital role in the rise of NFT. The NFT tokens are easily verifiable and can always trace back to the original creator.
Owners of NFT tokens can fully possess the individual digital assets & the tokens exist solely on their native platform. NFT tokens from one platform can’t move to another platform nor be destroyed, deleted, or duplicated.
NFTs use cases & how it’s Work
Use Cases of NFT
- Gaming Industry
NFTs are adopted in the gaming industry to solve some of their problems. For example, Minecraft also rewards the NFT tokens.
- Digital Assets
NFTs can be anything digital like drawings, music, name, virtual land, but the current buzz is to sell digital art using the NFT technology.
NFTs are ideal for tackling identity theft. Like Digitization identity include academic qualifications, medical records & digital artists can copyright their work into NFTs.
NFTs brought revolutionary changes to the collectible world. Microsoft also adopted NFTs to reward their user’s collectibles onto digital assets.
How NFTs Work
Ethereum standards widely used as NFT tokens & other blockchains now also have NFT standards. ERC-721 standard smart contracts are embeds in the unique details that make them rare & this data stored over the blockchain. ERC-1155 tokens are the extended version of ERC-721 & developed by Enjin & can be used to create fungible and non‑fungible tokens.
NFT tokens and their smart contracts store the information & provide proof of ownership digitally of an asset to make an easy way to buy and sell NFT items.
First, let’s look at the figure & chart below. As per the nonfungible & cryptoart data, we can see the demand & interest of people increase tremendously in the past month. NFT market became a million-dollar value.
Source:- nonfungible | NFT Market
Source:- Cryptodata | Monthly crypto art volume
So, the Figure is enough to see that NFT is not a bubble nor bluff & not going to fade away. If you had thought & wondered how to develop NFT tokens, it’s a great time to connect with yudiz & talk with our expert on the same.
What are your thoughts on the $3,600 Gucci Ghost clipart? The owner is asking for $16,300 for this! 😱
While Elon Musk’s girlfriend sold crypto-art for $5.8 million. Wondering how? Wait & follow for my next blog to earn million-dollar from NFT tokens!