Explained: What is NFT exactly?

New Delhi: Recently, A 12-year-old Benyamin Ahmed from a suburb in London made over $160,000 by selling an NFT collection and this must be made you gone crazy.

You might be getting to hear about NFT everywhere you go online and must be wondering that What is an NFT anyway?. Good question as we bring you the answers regarding it.

So let’s start with the basics.

What is NFT Exactly

NFT is an acronym that stands for non-fungible token. If this has not made you clear then, According to The Verge, “Non-fungible” more or less means that it’s unique and can’t be replaced with something else.

For example, crypto is fungible you can one for another crypto and you’ll have exactly the same thing. Collectibles like one of a kind trading card is non-fungible.

The Verge points out that NFTs can be “anything digital,” including drawings and music. As per Forbes, NFTs can be minted from digital objects such as collectibles, GIFs, video game skins, and even designer sneakers.

How it is connected to crypto?

According to Forbes, “It’s generally built using the same kind of programming as cryptocurrency, like Bitcoin or Ethereum, but that’s where the similarity ends,”

How do they work?

Most of the NFT’s are part of the Ethereum blockchain. Eth is a crypto like Bitcoin but its blockchain also supports these NFTs which can store extra information that makes them work differently from ETH or BTC coin.

NFT and Digital Art

As per Verge, NFTs can really be anything digital (such as drawings, music, your brain downloaded and turned into an AI), but a lot of the current excitement is around using the tech to sell digital art.

Even a tweet can be an NFT. Twitter CEO Jack Dorsey sold his first tweet ever as an NFT.