NFTs, pronounced “Nifties”, are a means of creating any digital asset as a unique “original”. Because they use blockchain technology, it means that a NFT is traceable back to the asset’s original creator. You can think of it as a digital representation of that creator’s “signature” authenticating the asset as the original version. Before it was very hard to impossible to prove ownership of digital assets, endless copies could be made without know which one was the original. This is huge for the art world; finally it is possible to have provable ownership of a digital artwork.
NFT stands for 'Non-Fungible Token'. Fungibility is easy to understand. It means that two or more things are interchangeable. For example a cash note of €10 euro. It does not manner which one you receive or pay with: all notes are the same. They are fungible.
Things that are non-fungible, on the other hand, have unique properties that make them different from another item/token. Think about paintings, concert tickets et cetera. Two paintings are both paintings, they may look similar, but are different in the way they are painted and in raribility. Just as front-row tickets and back-row tickets for a concert are both tickets, but the former is more valuable.
NFT's are applicable in a wide range of use cases. Some examples of where a NFT can be used:
In the context of art, creating a NFT (also called 'crypto art') of a digital artwork assures there it is provably unique, scarce and only one person can hold ownership (and just like a collector holds the Mona Lisa, it can decide to sell that Mona Lisa). It is also possible to create i.e. 10 editions of the artwork that can be sold.
Colonia-Art has minted their own Nifties before for various art styles and artists. You want to put your artwork on the blockchain and so that someone can buy the digital artwork and have the original provably? Contact us now.
View our gallery and buy digital artworks at OpenSea
Visit the page about NFTs at Cryptospace's knowledgebase for more information.