Nonfungible tokens (NFTs)
Nonfungible tokens (NFTs) are digital assets that represent ownership of a unique piece of content or item, such as artwork, music, or virtual real estate. Unlike cryptocurrencies like Bitcoin, which are fungible (meaning each unit is interchangeable with another identical unit), NFTs are unique and cannot be swapped directly with each other.
NFTs use blockchain technology to verify authenticity, ownership, and provenance. They allow creators to monetize their digital content and offer collectors a way to show ownership of a rare or unique item, which can be sold or traded on various NFT marketplaces.
NFTs have gained popularity and attention in recent years due to the rise of digital art, music, and other creative works, as well as the growing interest in blockchain technology. Some NFTs have sold for millions of dollars, raising questions about the value and future of these digital assets.