What is an NFT?
NFT stands for non-fungible token.
NFTs are digital tokens – sets of data – on the blockchain. Each token is associated with a specific digital or physical item. The token distinguishes both proof of ownership, and proof of authenticity. Each individual NFT is unique, because each has its own unique data that can never be replicated or replaced.
The NFT industry is always expanding, but some of the most popular ways to use NFTs include:
- Collectibles
- Items in blockchain games
- NFT art
- Metaverse land
- NFT music
As an example, a digital art piece can be minted (uploaded) on the blockchain by the artist as an NFT to prove its authenticity and ownership. An NFT can represent any digital or physical item, from real estate to documents and films.