What is an NFT?

A non-fungible token (NFT) is a digital collectible asset that proves authenticity and digital ownership using a blockchain.

What is an NFT?

A non-fungible token (NFT) is a digital collectible asset that proves authenticity and digital ownership using a blockchain. An NFT can represent anything from digital art, music, photos, files, keys, code, contracts, collectibles or real estate.

Technically, NFTs are units of data stored on a digital ledger, called a blockchain, that certifies that the digital asset is unique and therefore not interchangeable. Before NFTs, knowing—and proving—the true authenticity of digital artwork was nearly impossible.

NFTs are primarily built on Ethereum, but they can also be built on Bitcoin and other blockchains, too. At the auction house Christie's, a rare Beeple NFT sold for $69 million, positioning him among the top three most valuable living artists.

Here is a list of sites that sell NFTs:

Dapper Labs' NFT platform NBA Top Shot traded over $700 million in total sales in less than a year, according to CEO Roham Gharegozlou, and a highlight of LeBron James sold for $200k in a single sale. During the first quarter of 2021, NFT sales exceeded $2 billion.

In March, an SNL skit featuring Jack Harlow, Pete Davidson, Chris Redd performed a rap parody explaining NFTs and cryptocurrency that gained over 3.5 million views on YouTube.

In July, NFT sales topped $1.2 billion, thanks to NFT projects such as CryptoPunks, Bored Apes, Ether Rocks and Axie Infinity. Regardless their future, collectors are gobbling up NFTs.

Bitcoin Frankie explains NFTs on NFT 360.