What is NFT?
NFT stands for non-fungible token. It is a unique digital asset that is stored on a blockchain. NFTs can represent anything digital, such as art, music, videos, in-game items, and even tweets.
NFTs are different from other digital assets, such as cryptocurrencies, because they are non-fungible. This means that each NFT is unique and cannot be replaced by another NFT. For example, one Bitcoin can be replaced by any other Bitcoin, but an NFT of a digital artwork cannot be replaced by another NFT of the same artwork.
How do NFTs work?
NFTs are created by minting them on a blockchain. This process involves creating a unique digital token and linking it to a specific asset. Once an NFT is minted, it can be bought, sold, and traded on NFT marketplaces.
When you buy an NFT, you are not buying the underlying asset itself. Instead, you are buying the unique digital token that represents the asset.
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