What is NFT and what can I do with it?

What is NFT?

The abbreviation NFT stands for non-fungible token. An NFT is a kind of representation of a unique object which is digitally stored in the blockchain. Nowadays NFT is mainly associated with digital art: when someone for example offers a picture, video or for example an MP3 file as NFT (mint), he/she is the owner of a unique piece of digital object. This, as indicated, is stored in the blockchain, a kind of ‘decentralized database’ where it is given a completely unique ID – identifier. The person who has minted the NFT is the owner, until the owner decides to sell the non-fungible token.

What can I do with NFTs?

NFTs have become wildly popular in no time. Many famous people are now releasing their own NFT, but companies like Twitter are also joining the trend. For example, you will soon be able to use an NFT as an avatar on Twitter’s platform.

It is important to note that the vast majority of non-fungible tokens (NFT) run on the Ethereum network. The ETH network is the easiest and most popular way to buy and sell an NFT, but nowadays there are more exchanges that allow for the creation of NFTs. For example, Solana (SOL) is making an appearance with their own marketplace, but Flow, Tron (TRX) and EOS are also becoming increasingly popular. In this example, we will assume Ethereum for convenience, incidentally the one we recommend using for now as it is the simplest way.