I've been following the latest trends and topics in the crypto sector for a while now, conducting research and learning about the blockchain and the crypto ecosystem. We're all familiar with NFT, which is one of the popular trends in the crypto world right now, so I've decided to start a series on the topic. I'll cover the basics of NFT, as well as how to do some things in the NFT space. If you don't want to miss any NFT-related content, I recommend that you follow my blog.
What Is NFT
Despite seeing countless postings and articles attempting to explain NFTs, I felt compelled to provide a refresher for everyone. As seen through the eyes of someone who makes, collects, and trades them.
So, let's start with the most fundamental question: What does NFT stand for? Non-Fungible Token is an acronym for non-fungible token. So, what is a Non-Fungible Token, exactly? A non-fungible token (NFT) is a digital asset that works similarly to a cryptocurrency, with the exception that one NFT is not the same as another.
Poco, for example, possesses 1 TRX and exchanges it for another 1 TRX. Because TRX are fungible, Poco still has the same 1 TRX. This means that 1 TRX token is identical to another 1 TRX token. Poco, on the other hand, has 1 NFT from collection Y and exchanges it for another similar NFT from the same collection. Despite the fact that the NFTs appear to be comparable on the surface, Poco now has a whole new asset.
This is due to the fact that NFTs, unlike TRX, are unique and not interchangeable.
What Make NFT Unique & Non-Interchangeable
Screenshot From Zombie Outbreak Survival
Let's look at why these digital assets aren't interchangeable now that we've established that they aren't transferable. Compare the two NFTs above. These are two similar NFTs from a game called Zombie Outbreak Survival, which uses NFTs to represent objects. Although these are both Chips, they will have different data stored inside them because they are digital assets on the blockchain. One is #18267 and the other is #18268, as you can see in the top right corner of each. They are not interchangeable. Is that clear?
These two NFTs are different when it comes to the data saved on the blockchain, despite the fact that they are comparable and serve the same purpose inside the game. That doesn't matter in the game because they all do exactly the same thing. I was merely attempting to make the point that things aren't interchangeable.
I hope I did so in a clear and understandable manner. After all, this is a post for newbies. I'd also like to point out that I'm not an expert. I've just been here for a short time.
NFTs Comes In Different Categories With Different Purpose
NFTs can exist on a variety of blockchains, including Tron, Ethereum, BNB Chain, Polygon, and many others... However, they are available in a variety of categories and can be used for a variety of purpose. Many individuals believe that NFTs are nothing more than digital art. This is not the case at all.
The NFT technology is amazing and may be used for a variety of things. Gaming is one of the categories of NFT, I enjoy video games, especially when they allow me to earn money. Take, for example, Zombie Outbreak Survival. You may play this game for free right now and earn NFTs and crypto.
Screenshot From Zombie Outbreak Survival
All of the assets in these games are non-fungible tokens (NFTs) that exist on the blockchain. The players now have full possession of the assets. Since everything is verifiable on the blockchain, there is no way to create phony assets or cheat.
Music Another Category Of NFT
Music is another category of NFT, as a musician instead of publishing a song on a large streaming site and having your earnings eaten up by distributors, you could mint the music as an NFT and sell your own copies to the audience. This eliminates the intermediary, who gets a cut, and allows the artist to interact directly with his or her audience.
These could be simple animations or even music videos with an MP3 file attached. Some changes could include, for example, instead of merely being allowed to listen to the music, the NFT holder receiving a discount on apparel. That NFT is a digital ownership receipt that can be validated in the wallet of the bearer. This might potentially be used to provide airdrops. Yeah, it can definitely be used to provide airdrops to the holder of the NFT, let say for instance, a musician sold his music NFT, and he decided to thank fans that bought the NFT (more like giveaway), the musician can send them another asset right away. Instead of making shady, non-transparent giveaways on Twitter and Instagram, the musician might connect directly and transparently with individuals who purchased. Perhaps even airdropping concert tickets to the holders.