What is NFT?
An NFT (Non-Fungible Token) is a unique digital asset on a blockchain that represents ownership of a specific item — such as art, music, or a collectible — and cannot be replicated or exchanged 1:1 with another token.
What is an NFT?
NFT stands for Non-Fungible Token. Unlike Bitcoin or Ether, which are fungible (every unit is identical), each NFT is unique and represents ownership of a specific digital or physical item.
How NFTs Work
NFTs are typically issued on Ethereum using the ERC-721 or ERC-1155 standard. Each token contains metadata pointing to the associated asset and a record of ownership on the blockchain.
NFT Use Cases
- Digital art and collectibles
- Gaming items and virtual land
- Event tickets and membership passes
- Music rights and royalties
- Real-world asset tokenization
Are NFTs Still Relevant?
After the 2021-2022 boom, NFT trading volumes declined sharply. However, NFT infrastructure remains foundational for tokenizing real-world assets and Web3 identity.