What is NFT in crypto?

NFT’s are digital tokens called Non-Fungible Token essentially they are wrappers that encase a digital asset.

What is NFT in crypto?

NFT is a term that is being used a great deal today, people are talking about it like they did with Bitcoin. 


NFT means Non-Fungible Token, a digital wrapper that exists on a crypto blockchain. The blockchain is a transparent database of transactions organised in blocks. The beauty of the blockchain is everyone can see what has happened and the database is hosted on many servers usually with no owner so its not governed by governments or private companies, instead it is governed by the users and elected community leaders who contribute to the development of the blockchain and the applications that run onit.


NFT is just that, an application that runs on a blockchain. The purpose of the NFT application is to prove ownership of digital assets such as images and music. The owner of the NFT token is the owner of whatever content is inside the NFT.   


So essentially NFT allows artists to create art and place it on the internet and have a method of proving its authentic original work.  


Another advantage of NFT is royalties. Artists can set a royalty everytime the NFT transfers to a new owner. Ensuring the artist has future protection for sales of their art. Royalties are paid as a percentage of the transfer price. 


NFT is a digital contract that allows creators to sell their works and continue to benefit from future resales.


Added : 25th April 2022, Author NFTCalendar.wiki