What are NFT’s?

NFTs, or non-fungible tokens, are unique digital assets that are stored on a blockchain network. NFTs can represent a variety of digital assets, such as art, music, videos, photos, and more. Unlike cryptocurrencies such as Bitcoin, which are fungible and can be exchanged for one another, each NFT is unique and cannot be exchanged for another NFT.

Here is a simplified explanation of how NFTs work:

1. Creation: NFTs are created by minting them on a blockchain network such as Ethereum. Each NFT is created with a unique code that represents the digital asset it represents.
2. Ownership: NFTs are stored on a blockchain, which provides a secure and transparent way to track ownership of the asset. Ownership of an NFT can be transferred to another person through a digital transaction on the blockchain.
3. Value: The value of an NFT is determined by the market, much like any other asset. The uniqueness and rarity of the digital asset represented by the NFT can drive up its value.
4. Use Cases: NFTs have a variety of use cases, such as digital art, music, and collectibles. NFTs can be bought and sold on NFT marketplaces, and some NFTs have sold for millions of dollars.

Overall, NFTs provide a new way to represent and trade digital assets, and they have gained significant popularity in the art and entertainment industries. While NFTs are still a new and evolving technology, they have the potential to transform the way we think about ownership and value in the digital world.