NFT is the new rare in the world of technology that has made many headlines over the past two years. Many people are interested in bidding their money on NFT art and making a profit from it. They see it as future technology and a new source of income. Artists are seeing NFT as a new way to connect with their fans and sell their art.
This novel technology came to light when famous artist Mike Winkelmann is popularly known as Beeple sold his digital art ‘Everydays: The First 5000 Days’ for 69 million dollars. Mainstream covered this story and made NFT popular around the world. Regardless, selling NFT for $69 million Beeple is not the highest-grossing artist. Pak an anonymous digital artist is the fortuitous NFT artist currently. His/her NFT artwork ‘Merge’ was sold for 91.8 million dollars.
Not only artists, actors, singers, tech giants, and other popular celebrities have made millions of dollars through NFT. A prime example is Jack Dorsey, CEO of Twitter who sold his first tweet for $2.9 million. Hollywood is also taking great interest in this new technology. Artists like Snoop Dogg, Shawn Mendes, and Paris Hilton have launched their NFTs on major NFT marketplaces.
But why so much hype around a new technology? In this article, we have put out the basics about NFT and why people are so much excited to invest their hard-earned money into it.
What are NFTs?
Non-Fungible Tokens or NFTs are a unit of data that is kept in a blockchain network. These units of data cannot be exchanged or interchanged with other tokens. In short, NFT is a digital cryptographic that includes digital art, video, audio, and even real-world objects. They are called unique digital assets because every token has a unique identification code and it is stored in metadata.
Unlike cryptocurrencies, you cannot sub-divide NFT further into small forms like Bitcoin and Ethereum. Plus, one token cannot be exchanged with other, every NFT is unique and individual. NFTs are non-fungible tokens and cryptocurrencies are fungible.
NFTs vs Cryptocurrency
Now that we know what is NFT and why is it hyped up, let’s understand the difference between NFT and cryptocurrency. The major difference between NFTs and cryptocurrencies is that NFTs are non-fungible tokens are cryptocurrencies are fungible. What is fungible? Fungible tokens are those tokens that can be exchanged with other tokens. For example, you can trade your Ether with Doge coins but the same does not go with NFTs.
What are the functions of NFTs?
Here we have listed 5 major functions of NFTs that you must know before starting your NFT journey.
- Non-fungible: NFTs are unique digital assets that cannot be replaced or interchanged with other tokens. They cannot be exchanged for other collectibles.
- Indivisible: Even though NFT and cryptocurrencies are based on the same underlying software but the fundamentals are different. Unlike Bitcoins or Ether, NFTs cannot be fractionalized in smaller amounts.
- Transparency: Transparent transactions make NFT more compelling for the people. The peer-to-peer transactions make the whole process secure and efficient.
- Ownership: The unique identification code and metadata give you full ownership of the token. It is one of the prime functions of non-fungible tokens.
- Fraud-free: Blockchain technology plays a major role in making NFT secure and fraud-free. The peer-to-peer connections eliminate the third party thus making the process fast and safe. Plus, all the transactions records are available on the public ledger that everyone can access.
What are NFT marketplaces?
NFT marketplaces provide the platform where you can mint (create and sell) your own NFT collections or trade NFTs. There are several marketplaces that people prefer when purchasing or selling NFT artworks. Some of the famous NFT marketplaces are OpenSea, Rarible, Nifty Gateway, SuperRare, MakersPlace, Foundation, KonwnOrigin, and many more.
About Krazy Kong NFT
Kong is one of those modern apes who has been affected by habitat loss due to human colonization. Leaving his tumultuous past behind Krazy Kong is trying to fit in the human society. He has been absorbing an enormous amount of information via various media like television, cinema, and the internet.
The NFT collection of Kong’s portraits provides a window into his deep immersion, explorations, and experimentations of life and finding meaning in modern human society. The aim is to raise awareness and evoke more discussion on global environmental and social issues that include the dire consequences of deforestation, animal rights, and inequality and conflict within and between animal species (including humans).