Technology is advancing at a speed that seems utterly bizarre. New concepts appear every day and take over the internet (in many ways) with astonishing rapidity. Have you, dear readers, heard about NFTs?
If the answer is no, there's really not much to worry about. We at Geekine were unaware of it too until a few days ago. All we knew was that they had conquered the networks and that their assets were already worth millions of dollars.
What does the acronym NFT stand for?
NFT is the acronym for a non-fungible token that exists on a blockchainOkay, we admit this may have confused you even more. So we'll go on to define each of those concepts.
A token is a symbol that represents an entity's or person's ownership of an asset. Just as a legal document can prove that a person owns a piece of land, a token is the digital equivalent of this concept.
Fungible implies that this asset is easily interchangeable (In other words, we don't skip the notary.) This makes doing business with someone else online much easier, whether it's for another property, a service, or money.
What is meant by it being non-fungible is that, precisely, it is not easily interchangeable. This implies greater security regarding ownership. This applies especially to works of art (paintings or music, for example) that are created and sold digitally.
One example is the song about NFTs composed by himself. Elon Musk and sold for $1 million. Although NFTs can also be used to sell sports cards with valuable audiovisual content.
Who are the NFT buyers?
It is very important to understand that what is actually being purchased is not the artwork or the property itself, but rather the title to it. If someone uploads a photo of their painting to the internet, we can obtain it simply by clicking on "save image". But by buying the NFT we are buying our right to say that we own that work.
Therefore, buyers are people interested not only in consuming a work, but also, and above all, in showing that they are the legal owners of the product and that they want to support the person or company that sells it.
How long have they been with us?
NFTs aren't as new to the internet as some might think. They first appeared around 2013-2014.. But it is only this year that they have realized their full technological, social, and economic potential.
For now, its potential is unlimited.. And no one can predict what will be done with this tool in the future. Now it's your turn. Were you familiar with this concept? What do you expect from this tool in the future?
Image: RCN News
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