What's an NFT?

Non-Fungible Tokens (NFTs) are digital certificates of ownership for digital assets. These digital certificates are published into an ERC-721 token, and once written, they're secured on the blockchain.

To create NFTs, the identifying information for these unique digital assets must be recorded on a smart contract. The information on the smart contract is what makes an NFT unique. Anything can be turned into an NFT, with the most popular being videos, media files, or images.

NFTs are inherently different from fungible assets like Bitcoin because bitcoins can be exchanged, meaning you can send or receive coins without any hitches. Fungible assets are also divisible, allowing you to send smaller amounts. Non-fungible assets are indivisible. For example, you can’t send someone a part of a painting or a ticket.

A non-fungible asset has a distinct property or properties that set it apart from other assets. Non-fungible tokens are based on non-fungible assets and are unique digital assets that use blockchain technology. An example of a non-fungible asset can be a unique painting or limited edition collectibles.