What is an NFT Token?
By Yuriy Bishko Updated November 15, 2022
A slice of virtual pizza for $ 8K…a sale of the first tweet of the Twitter head…and crypto cats. It’s all about NFT tokens What is it, how to create it, and is it that popular these days?! Read below.
Token– any record in such a system. In an open blockchain, all tokens are exchangeable.
For example, one bitcoin in one user’s wallet = 1 bitcoin in another user’s wallet. But with Non-Fungible Token (NFT) technology, everything is different: each non-fungible token is unique.
This method is suitable to secure your rights to any object of virtual reality – an object of art, any element of a computer game, or even real estate.
Watch NOW on Youtube: What are Metaverse and NFT?
Actually, NFT technology was created in 2017 based on Ethereum smart contracts. Over the entire existence of NFT, more than $ 517 million of tokens have been sold. Unlike traditional cryptocurrencies, each NFT token is unique. It cannot be replaced or counterfeited. But if you lose a crypto coin, you can easily replace it with another one, this will not have a significant impact on the network, since the miners will generate a new coin gradually.
There are many examples in the world when famous personalities sell something for a lot of money, and in 2021 the topic again gained popularity.
NFT users began to use crypto art when selling – digital works of art, the authenticity of which is confirmed by blockchain technology. Among the most famous deals is the sale of the first tweet of billionaire and Twitter founder Jack Dorsey, $ 69.3 million for a Beeple collage of 5,000 drawings, and a Nyan Cat gif for $ 442,000
How to create your own NFT token?
You can buy or create your own NFT token only on specialized marketplaces (OpenSea, Rarible, SuperRare). Most of these sites operate on the Ethereum blockchain. Accordingly, to make transactions with NFT, you need to have a wallet with this crypto.
You can create an NFT token for a picture, video, 3D model, sound. The cost of placing for sale depends on the transaction fee and is approximately $ 40.