According to Bahaa Al Zubaidi, it if very important for everyone to understand NFTs.
NFT or Non Fungible Tokens can be compared to cryptocurrencies like Bitcoin. The difference is that an NFT is unique and cannot be exchanged or traded. The NFT is a token that represents an asset, which could be art, media, or digital content. It can be considered as a digital certificate of ownership.
Owning an NFT is like owning a file that is proof of ownership without needing to buy the physical item.
NFT Art – how it works?
NFT art refers to a digital asset, which is unique. It cannot be duplicated and is hence valuable. NFT art is a collectable and cannot be transferred. The value of the NFT lies in the fact that its ownership is equal to owning the work of art. When you have an NFT, you can either decide to keep it or sell it once its value increases.
In the year 2021, there were trades worth $23 billion carried out. The year-to-year growth is a stupendous 38,000%. It is time to understand how it works.
- You cannot buy an NFT by right clicking on a file and choosing Save As. The NFT contains ownership information that standard image files don’t.
- The NFT is part of the blockchain and has information that identifies it. An NFT can be purchased from various platforms like Nifty Gateway, Open Sea, etc.
- The NFT can be bought and sold in the market just like any piece of art. The price however is decided based on market value.
- To transact in NFT, you need to use a marketplace or platform and have a wallet to carry out the transaction.
- It is even possible to find artwork on social media and make an offer to the artist.
- The NFT is part of the blockchain ledger and contains ownership data.
NFT has today made a big impact on the world of art. It allows artists and creators to monetize their assets. The world of digital art is going to see tremendous growth thanks to NFTs. It offers many possibilities and is definitely a boon for artists and creators.
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