1. Introduction
NFT is a type of token on the blockchain, primarily on newer blockchains like Ethereum and Solana, which have their own standards for it. The main difference is its non-fungibility, meaning each NFT is unique and cannot be replaced or exchanged with another NFT on a 1:1 basis like regular tokens. NFTs cannot be divided, nor can they be copied. Each NFT has ownership rights, and this ownership cannot be changed unless it is transferred. NFTs are distinguished by their address and token ID.
2. How are NFTs different from other tokens?
NFTs or other tokens like ERC20 still have ownership rights. For example, my 1 ETH wallet and your 1 ETH wallet are the same. However, 2 NFTs might look identical but have different IDs, each with its own ownership rights.
3. Can NFTs be copied?
Images can be copied, but ownership rights cannot be copied. Even if you reupload it, no one recognizes you as the true owner of the artwork.
4. NFT Application
NFTs are used to prove ownership of assets, such as event tickets, property... tokenizing assets like gold, stocks. Aimed at builders. The most ridiculous thing I see is NFTs used for collections, creating some monkey picture and selling it for an outrageous price, just to inflate it with no other utility. Back in 2022 when NFTs exploded.
In summary:
NFTs are non-fungible tokens, unique and have real-world applications.
What do you think, guys?
#NFT $ETH
