What are NFTs?

NFTs (Non-fungible tokens) are becoming latest trend in asset management and is growing in rapid pace. A non-fungible token (NFT) is a unique and non-interchangeable unit of data stored on a digital ledger using blockchain technology. With the growth of crypto currency and block chain technology, NFTs have also emerged as fast trending way to manage different assets. Art, Music, Games, Collectibles, Domain Names and so on, all are traded in different market places with Ethereum or other crypto currencies as medium of value. Unqiue, secure and transparent features of blockchain makes NFTs more easier and efficient way to trade assets.

Today, artwork is the major NFTs we can purchase but there is a raise in other digital assets like music, virtual cards, collectibles and games involving virtual worlds or horses and cars. Opensea is one of the major market place to trade NFTs along with other market places like SuperRare, Rarible and Crypto.com

Some of the unique NFTs

Word dApp, allows to create a word by combining two existing tokens, and you can also create a sentence by combining different tokens. Each token used in creating a word or sentence receieve 0.001ETH. Same way we have Math dApp used to perform mathematical calculations.

Racing games are always fun and exciting to play or watch, Zed has come up with virtual horse racing, where you can own a horse, breed a horse, maintain your own stable and participate in different races and also tournaments. Similarly Revv Racing has created Car Racing.

Domain names, Ethereum Name Service (ENS) provides domain names for decentralized world, where you can create domain name which can be used to combine all your crypto wallets and use it as user friendly name to identify your self.

Virtual Worlds, you can explore, express and live your fantasies in a virtual world. Decentraland, Illuvium, CryptoVoxels and many more. You can buy lands, build stores, hunt for animals, create different avatars and so many other fantasies.

Recent story, democrats are using NFTs to raise money using virtual arrest warrants of Texas State Representatives. Read more on CNN.

If you are a good artist and/or want to explore more about digital assets you have to dive into NFTs. But do consider below before investing time and money into it,

  • Cryptocurrency value is extensively volatile and value can go down rapidly.
  • NFTs are considered as assets and can be taxable, your profits from trading can also be taxable.
  • Look for some free stuff, games and explore more before investing more into it.

    2 thoughts on “What are NFTs?”

    1. Pingback: Crypto Mania – 2021 – Polypodes

    2. Pingback: 2022 - Is it Rise of NFTs? - TopicsMany

    Please provide your valuable feedback. Cancel reply

    This site uses Akismet to reduce spam. Learn how your comment data is processed.

    Exit mobile version
    %%footer%%