What the heck are NFTs?
Non-fungible tokens are scarce digital collectibles. For example; the Mona Lisa is an example of a real life painting. Think of an NFT as the digital version of that painting.
Non-fungible tokens give new meaning to the term “collectible” by combining blockchain technology with physical and digital items. Each NFT is an original serialized item with its own value. These items can be digital files like .jpg and .tiff or even tangible items like trophies and awards.
NFTs aren’t exclusive to collectible items but many artists and creators have become early adopters of this new technology because of their awesome benefits.
Blockchain technology provides proof of ownership and unquestionable authenticity for each NFT released. Every single NFT creation and sale is forever documented on the blockchain and secured by distributed ledger technology. These unique items exist as entries on a digital ledger that provides proof of authenticity and exclusive access to the actual asset.
Even sales on the secondary market are permanently recorded for each NFT transaction. This is great for artists and creators who often struggle with digital content copyright and duplication issues. This also allows artist to easily release limited serialized collections and create scarcity and demand for their work.
Creators that add specific code to their NFTs can collect royalty payments each time their work is re-sold. Imagine if Pablo Picasso earned a 10% royalty each time one of his paintings sold on the secondary market. Can you think of a better way to eliminate the term “starving artist”? NFTs can become serious recurring revenue streams for well-known creators.
Most NFTs are digital items like artwork or virtual goods but they can also record ownership of physical items. An NFT paired with a certificate of authenticity is iron-clad proof of ownership for virtually any physical item.
CryptoKitties were created in 2017 and have become popular digital cat image NFTs. Some of these 8-bit felines can fetch over $100,000 today.
Sports trading cards also make great NFTs for serious collectors. This unique technology can bring back the excitement and profitability of sports card collecting. Check out NBA Top Shot for awesome collectible NBA cards.
We are always searching for the next big thing, well is a great opportunity to be a part of something completely new that has the potential to change entire industries. This just scratches the surface of what this awesome new technology will do.