An original digital file. A non-fungible token (NFT) is a digital asset that uses blockchain technology to identify it as the original creation. The first NFTs date back to the mid-2010s.
Digital versions of sports trading cards and all kinds of artwork have been turned into non-fungible tokens that in some cases have sold for huge amounts of money. Although an image or video of anything can always be copied if it is rendered on screen, only an NFT owner can claim possession of the original.
The First Half of 2021 Was a Bonanza for NFTs
In March 2021, an NFT-based collage of 13 years' worth of daily digital art was auctioned at Christies. "Everydays" by American artist Mike Winklemann, who goes by the moniker "Beeple," sold for $69 million.
Also in March, Twitter founder Jack Dorsey sold his very first tweet as an NFT for nearly $3 million. The proceeds were donated to charity.
A YouTube video entitled "Charlie bit my finger" was posted on YouTube in 2007. Viewed hundreds of millions of times, in May 2021, the NFT of the video was sold for $760,000.
For Real or a Fad?
Proponents claim NFTs are a new form of art. Opponents say this is insanity when sale prices reach the stratosphere, and it will all come tumbling down.
However, non-fungible tokens may indeed be the way ownership rights to all kinds of intellectual property are secured in the future. The blockchain architecture guarantees proof of ownership. Stay tuned! See fungible token
and Ethereum token
Charlie Bit Me!
Although Dubai-based 3F Music purchased the NFT of the video, the buyer decided not to remove it from YouTube because of its cultural value. Having been viewed more than 800 million times, the video gained huge notoriety. The proceeds will pay for Charlie's and brother Harry's education with the rest going to charity.