NFT
Non-Fungible Token
is a unique digital certificate of ownership stored on a blockchain.
Unlike cryptocurrencies like Bitcoin — which are interchangeable — every NFT is distinct.
They are primarily used to authenticate and represent digital assets like artwork, gaming items, and collectibles, proving exactly who owns the original item.
How They Work
NFTs rely on blockchain technology (most commonly Ethereum or Solana) to function.
Immutability: Once an NFT is created (or “minted”), the blockchain acts as a permanent, public ledger. It records exactly when the token was created, who owns it, and its transaction history.
Scarcity: Creators can set strict limits on how many versions of a digital asset exist, effectively replicating the scarcity of physical art like a limited-edition painting.
Ownership vs. Copyright: Owning an NFT typically gives you verifiable proof that you own the token, but it does not necessarily give you the copyright or the exclusive physical rights to the underlying media.