What is NFT (Non-Fungible Token): Definition and Examples of NFT Marketplace

NFT is a digital asset that offers a unique identity so it cannot be duplicated. Check out the meaning of NFT and info on the NFT marketplace in the following article.

At the beginning of 2022, NFT became one hotly discussed topic. The number of news informing that NFT is sold at a very high price makes more and more people want to know what NFT really is.

Some examples of well-selling NFTs are NFTs in the form of digital art called “Everydays: The First 5,000 Days” by American artist Mike Winkelmann, also known as Beeple. The digital work was successfully sold at a price of 69.3 million US dollars or around Rs 540 crore.

Another example of NFT selling at a high price is the first tweet of Twitter boss Jack Dorsey for around Rs. 20.5 crores. NFT became increasingly popular after a young man named Ghozali made a profit of Rs. 6.6 Crore by selling NFT in the form of selfie photos.

So what exactly is NFT? So that you can understand it easily, please refer to our explanation below.

A non-Fungible Token or NFT is a unique token that cannot be replicated or duplicated. In economics, a fungible asset is something that can be easily exchanged, for example, money. You can exchange 1 Rs.2,000 banknote for two Rs.1,000 banknotes because the value will remain the same. 

Meanwhile, a non-fungible asset is something that cannot be exchanged because the object or goods has a unique value that cannot be exchanged for something else. An example is the unique original Monalisa painting. You may be able to take a photo of the painting and then print it but there will still only be one original Monalisa painting. 

So, what is NFT? NFTs are the only assets in the digital world that can be bought and sold like any other property. It's just that NFT does not have a tangible form because it is available in digital form. The word “token” in the NFT itself is considered a certificate of ownership for the asset.

So that you can better understand what NFT is, it helps if you understand how NFT works. As we know, digital works are very easy to duplicate or duplicate. With this NFT, digital artwork can be a “token” to produce digital ownership certificates that can be bought or sold.

Just like cryptocurrencies, all digital asset ownership records are stored on a shared ledger known as the blockchain. If you don't know what blockchain is, blockchain is a technology that functions as a digital data storage system and is connected via cryptography. The records cannot be falsified because the blockchain ledger is maintained by thousands of computers around the world.

Once you know what NFT is and know how it works, you may be interested in buying or selling NFT digital assets. Here we provide some examples of popular NFT marketplaces.

If you've previously looked into what NFT is, you've probably heard about the OpenSea marketplace. OpenSea calls itself the world's first and largest NFT marketplace. Currently, OpenSea is an NFT marketplace that is known by many as an NFT marketplace that provides various types of digital assets on its platform. 

You can register on this platform for free to be able to see the offers. OpenSea can also be used by artists or creators who want to create their own NFT. This NFT marketplace is also supported by 150 different payment tokens.

The next NFT marketplace is called Axie Marketplace. Axie Marketplace is known as an online store that sells and buys NFT game Axie Infinity items.

Axies themselves are mythical creatures that can be purchased and trained. In this Axie Marketplace, you can buy new Axies as NFTs that can be used in-game.  

Similar to OpenSea, Rarible is also an NFT marketplace that sells various types of NFTs. Creators can use Rarible to “print” new NFTs and sell them here. If you want to buy NFT on the Rarible marketplace, then you can use various types of crypto wallets to make transactions. Some of them are MetaMask, Coinbase Wallet, and WalletConnect. 

Foundation.app is an NFT marketplace developed with a simple design. Since its market launch in early 2021, NFT has sold more than $100 million. Since it was first launched in the market in early 2021, NFT on the Foundation has sold for over $100 million. If you're looking for a quick and easy way to start creating your own NFT, then Foundation can be the perfect solution.

Nifty Gateway is an NFT marketplace that has been used by several popular digital artists such as Beeple. This platform has been around since 2018 and is an NFT marketplace sponsored by crypto exchange Gemini.

You need to know, that Nifty Gateway has a special team that will thoroughly vet every artist who prints and publishes NFT on its platform. In this way, the Nifty Gateway platform can continue to provide collectors with high-quality digital collections.

Just like Nifty Gateway, SuperRare was also launched for the first time in 2018. Here, you can find various digital assets such as videos and 3D images. To purchase these digital works, collectors can use the Ethereum blockchain platform.

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With the explanation that we have presented above, now of course you can better understand what NFT really is. Along with the development of technology, NFT is present as a solution that can help with legal ownership of an object.

As we know, digital works are very easy to duplicate but NFT can be used to prove the authenticity of digital assets in the same way blockchain ensures that one bitcoin is only owned by one person.

That's the information we can convey about what NFT is.

Comment down if you have any doubt.

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