If you’ve been following the tech news lately, you’ve probably come across terms like Bitcoin, blockchain, and, more recently, non-fungible tokens (NFTs). Stories of multi-million dollar auctions for digital assets have piqued the interest of artists and collectors alike. However, what exactly are NFTs? And how do they operate?
What is an NFT
An NFT, or non-fungible token, is a type of digital asset that represents ownership of a unique item or piece of content. NFTs are often built on top of blockchain technology, which allows them to be bought, sold, and traded like other cryptocurrencies. However, unlike cryptocurrencies, which are interchangeable and can be freely exchanged for one another, NFTs are unique and cannot be replaced by other tokens.