What Is NFT? - Non Fungible Token | NFT Crypto Explained | Simplilearn?????

 

she wishes to conduct an online painting

exhibition for all her digital artworks

however as the exhibition is online she

is worried that her paintings won't be

secure

as anyone could easily forge or

replicate them

her friend mark came to her rescue with

an idea of nft

he suggested that susan could buy nfts

for all her paintings

as nfts are trustworthy easily

transferable and will also maintain her

ownership rights on her artworks

susan had no idea what nfts were so mark

stepped ahead and explained it to her

nfts turn your digital assets into one

of a kind

by creating a unique digital signature

which defines the ownership of your

assets

and that can be bought and sold for real

money cryptocurrency

or any other asset like a non-fungible

token

aka nft non-fungible tokens means that

they are not interchangeable

and each of them represents unique

assets owned by a specific person

on the other hand fungible tokens are

interchangeable and can be divided into

smaller units to form the same value

 

for example a one hundred dollar bill is

fungible as you can exchange it with

five twenty dollar bills or two fifty

dollar bills

but the painting of the last supper is

non-fungible as it cannot be generated

in bulk

even if it is copied it will not be

authentic

each nft contains distinguishable

information like who owns the digital

asset

and who sold it making them distinct and

easily verifiable

as it is impossible to forge such a

certificate it will secure her

painting's originality

after learning what nft is susan was

curious to know

how exactly nft nft basically creates a

blockchain-based digital certificate for

your digital collectibles

including games music art and many more

this certificate

gives your artwork a unique identity the

underlying technology

and the programming language used by

nfts are the same as other

cryptocurrencies

such as blockchain and the programming

language eth

or script nft majorly exists on ethereum

blockchain

a distributed public ledger that records

all the transaction

however nft is quite different from

these cryptocurrencies

bitcoin and ethereum are fungible tokens

which means if you trade bitcoin or

ethereum for one another

you will have the same value or item in

return basically money

on the other hand nft is a unique token

therefore

if you try to trade it you may end up

with something completely different i

your hands

crypto punks is a remarkable example of

nft

it enables you to buy sell and store 10

000 collectibles with the proof of

ownership being stored on the ethereum

blockchain

after exploring helen ft's work susa

was convinced and bought nfts for all

her paintings

due to this her artworks were secured                                                     

from any kind of forgery and also gave

her artworks a particular value

this contributed to increased sales too

as everyone was easily able to buy the

artwork without any fear

all in all her exhibition was a complete

success

similarly nft has proved itself to be a

boon in the lives of many others

like jack dorsey the ceo and co-founder

of twitter with his very first and

famous tweet

just setting up my twitter and vignesh

sandarsen

famously known as medicovan who bought

69.3 million dollars worth of nft art on

people

owing to its increasing popularity

people are now willing to pay hundreds

of thousands of dollars for

 nft has enhanced media exposure

and special perks for aspiring artists

like susan on social media  

this popularity of nft creates new

opportunities for new art platforms

motivating people to buy art from

internet platforms and promoting

copyright or originality of digital

assets

so here is a question for you what makes

any item non-fungible

a exchangeability b unique digital

signature

c trade-ability d distributed public

ledger

please give it a thought and drop your

answers in the comments section below

three lucky winners will receive amazon

gift vouchers

many experts in the crypto industry say

that around 40 of new crypto users will

use nfts as their entry point 

as a result of its growing popularity

nft could represent a more significant

part of the digital economy

in the future we hope you enjoyed this