NFT stands for non-fungible token. A NFT is a unit of data stored on a digital ledger, called a blockchain. Each token can used to represent a unique digital data.
In the world of cryptocurrency, digital cryptocurrencies are divided into native tokens and tokens. The former, such as BTC, ETH have their own blockchain and use transactions on the blockchain to maintain the ledger. Bitcoins are the native crypto for Bitcoin. The Ethereum blockchain’s native crypto is Ether, but Ethereum hosts other cryptocurrencies in the form of tokens. Tokens can be divided into two types: fungible and non-fungible.
Because they are not interchangeable, non-fungible tokens can represent digital files, such as paintings, audios, films, in-game items, or other forms of creative works. Although the works themselves can be copied indefinitely, the tokens representing them are tracked on the underlying blockchain and provide proof of ownership for buyers.
Before the advent of NFT, content creators could not directly prove the authenticity and ownership of their works. Nowadays, collectors and creators can easily prove the authenticity of tokens. NFT successfully subverted the way collections are handled. In the past year, non-fungible tokens (NFT) have been widely popularized.
Why create NFTs？
If you are an artist, musician or content creator, you can sell your works in a limited digital format through an NFT. Although NFT comes with associated files that can be copied, the NFT is more about reprensenting ownership. The original work is certainly more valuable than the exact printed matter. NFT allows you to copy in digital format.
In addition, NFT has a large and growing market, making it an excellent way to sell creative works. NFT builds a platform for creating, purchasing and sharing collections. You only need to pay a relatively small minting fee, and your assets can be available for users around the world to browse and purchase.
How are NFTs changing the world?
In the digital world, rights and ownership have always been issues to be solved urgently. If the content can be easily copied, how to prove that a work is the original? NFT did create a way to prove verifiable digital ownership. We can clearly and accurately understand the owner and transaction history of the NFT. In this way, for the first time, an artist sells his works in pure digital form and has a certain collection value.
Concluding Lines
NFTs can present solutions for tokenizing ownership and property. It allows proper digitization and storage of real-world assets while keeping them safe at the same time. AOS team believe it is going to gain more popularity very soon.
