It could be a house, or a painting such as the Mona Lisa, which is one of a kind. You can take a photo of the painting or buy a print but there will only ever be one original painting. NFTs are "one-of-a-kind" assets in the digital world that can be bought and sold like any other piece of property, but which have no tangible form of their own.It could be a house, or a painting such as the Mona Lisa, which is one of a kind. You can take a photo of the painting or buy a print but there will only ever be one original painting. NFTs are "one-of-a-kind" assets in the digital world that can be bought and sold like any other piece of property, but which have no tangible form of their own.
Poised to radically reconfigure the crypto-asset market, non-fungible tokens, or NFTs, are revolutionizing our conception of money and value, creating not just entirely new markets but even new economies that are able to scale globally and to discover value in undreamt places, relegating to oblivion fiat currencies and old ways of doing business..
Because a Terms and Conditions agreement is the agreement where you inform the users of your website about the rules, terms and guidelines that they need to follow in order to use and access your website, a Terms and Conditions agreement has become extremely important.Because a Terms and Conditions agreement is the agreement where you inform the users of your website about the rules, terms and guidelines that they need to follow in order to use and access your website, a Terms and Conditions agreement has become extremely important.
Just kidding. The previous paragraph is a parody (if such is possible) of the hype that in the first half of 2021 has come to surround non-fungible tokens. Indeed, the hype has become so overpowering that it may even defy parody. Non-fungible tokens can have legitimacy, and I’ll discuss how that can be at the end of this article. But for now the overwhelming majority of what passes for NFTs is delusion, fueled by the hope of a quick return and the belief that something can be gotten for nothing (or virtually nothing).
This is where I can explain and emphasize the “non-fungibility” property of NFTs. The main difference between NFTs and Bitcoins is the fact that Bitcoins are limited, and fungible (you can trade one Bitcoin with another and both have the same value and price). NFTs are unique but unlimited, and non-fungible (no two artworks are the same). While NFTs can appreciate in value (just like real estate), they cannot be interchanged for another NFT.
Warren Buffett famously remarked in 2018 that Bitcoin (and by implication all cryptocurrencies) were “probably rat poison squared.” That seems unduly pessimistic given that cryptocurrencies provide a way of securely moving around things that at least look like currency and that in some locales are actually being used like currency. In Venezuela, for instance, Bitcoin provides one way around the country’s corrupt central bank and the hyperinflation it has created. And in early June of 2021, the El Salvador government even approved Bitcoin as legal tender.
While not directly related to NFTs, it’s important to mention some properties of money. Among many properties, money has to be fungible (one unit is viewed as interchangeable as another), and divisible (can be divided into smaller units of value). NFTs are not fungible nor (easily) divisible. For example, a single dollar is easily convertible into four quarters or ten dimes, but currently you cannot divide one NFT (although the blockchain technology behind may allow it in future).
Because a Terms and Conditions agreement is the agreement where you inform the users of your website about the rules, terms and guidelines that they need to follow in order to use and access your website, a Terms and Conditions agreement has become extremely important.Because a Terms and Conditions agreement is the agreement where you inform the users of your website about the rules, terms and guidelines that they need to follow in order to use and access your website, a Terms and Conditions agreement has become extremely important.
The importance of NFTs lies in providing the ability to securely value, purchase and exchange digital art using a digital ledger. NFTs started in online gaming, later with Nike’s patenting of its authenticity (CryptoKicks) and then by the famous Christie’s auction embracing NFT valuation of a digital art piece. NFTs are commonly created by uploading files, such as digital artwork, to an auction market. Just like any other form of art, NFTs are not mutually interchangeable, making them more like “collectible” items.
Because a Terms and Conditions agreement is the agreement where you inform the users of your website about the rules, terms and guidelines that they need to follow in order to use and access your website, a Terms and Conditions agreement has become extremely important.
