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Millions Spent on Digital Ownership? NFTs Explained
À̼­¿µ °­³²Æ÷½ºÆ® Çлý±âÀÚ | ½ÂÀÎ 2022.05.18 21:26

NFTs (non-fungible tokens) seem to appear everywhere in the media today, and headlines of people buying digital images for millions of dollars are not uncommon. So, what makes these intangible digital images so coveted and popular?

Anything digital, including paintings and music, can be used as NFTs. NFTs are distinguished by the fact that they are non-fungible, which means they are one-of-a-kind and cannot be replaced. This is made possible by their unique identifying codes, which limit their supply as opposed to digital media, which could previously be reproduced indefinitely. This does not, however, imply that only the owner has access to these digital creations. They are open to the public for free viewing. Collectors gain exclusive ownership of these creations by purchasing NFTs, which come with built-in authentication.

 

 

NFTs are a new way for artists to monetize their work, particularly for work that was previously difficult to sell due to the infinite supply of digital art, such as digital stickers. NFTs also has a feature that pays the original creator a percentage of the sale price each time it is sold to a new owner, allowing artists to profit from their work regularly rather than just once. Collectors can support their favorite artists while also selling this speculative asset that can appreciate over time.

Since their inception in 2014, NFTs have grown in popularity dramatically, with the market value reaching $41 million by 2021, almost as much as the total value of the global fine art market combined. Disney, Coca-Cola, McDonald's, and the New York Times are among the global companies that have already made NFTs available for purchase. As a result, NFTs will become a significant form of e-commerce as well as a new payment method.

 

 

 

 

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