NFTs (Non-fungible tokens) are all over the crypto news, even traditional news. Communication channels are also talking about NFTs. The word pops up everywhere.
“You might be asking yourself, what is an NFT?
Here at FortKnoxster, we would like to explain with simple words everything related to NFTs, without the overcomplicated tech details.
If you are new to the crypto space you may have heard about Bitcoin, Ethereum, Dogecoin or even other crypto assets. Well, all of these represent “fungible” tokens as you can send or receive any of them and they will always be the same. In short, Bitcoin is always Bitcoin.
On the other hand, NFTs (non-fungible tokens) receive this name because they ARE NOT the same as one another, they are unique. Same as a work of art is unique, for example, Michelangelo’s “Mona Lisa”.
What does NFTs have to do with the blockchain?
Well, in the digital world and thanks to the blockchain, a work of art can become unique if it is converted into an NFT using a process called minting.
Minting an NFT means attaching a unique identity to this piece of art. Generally, NFTs were found on the Ethereum blockchain but now more blockchains are introducing this digital collectible possibility to their networks.
So is this similar to collecting art?
Most people will say yes, and some would hope it happens like that. Many of those are card collectors and the demand is increasing daily. Demand pushes prices up and some NFTs have been sold for big sums of money. The video below was made by Beeple and sold for $6.6 million dollars, and this video made by Grimes was sold for almost $390,000 dollars.
Is there any more to NFTs?
Another widespread use of NFTs is for online games. These are games based on the blockchain that mint NFTs when the player performs certain actions. The “items” can then be sold in real markets. Another popular trend for NFTs is trading card games or gacha games, and again all these NFTs can be sold in public marketplaces.
More advanced use cases for NFTs include the “tokenization” of real assets such as Real Estate. This means that an asset, such as a house, can be split into digital shares/tokens. Another use of NFTs for real-world assets is the tokenization of artwork, and there are projects working on democratizing the ownership of such assets.
Why use FortKnoxster for NFTs?
The FortKnoxster non-custodial crypto wallet is the perfect place for storing your NFTs. Our technology prevents the use of malware programs that would pose a risk to your NFT holding if you are using a different wallet. In addition, as part of our crypto suite, transferring NFT, sharing NFTs on chat and other features will also be possible in a future release.