NFTs, EVERYONE WANTS THEM. BUT WHAT ARE THEY?

Everyone is looking for them, everyone wants them, but what are NFTs really? Let's find it out together in this article!

An NFT is literally a "non-reproducible token"; is one of the most used acronyms lately in the virtual world of the Internet. Indeed, in the virtual worlds of the internet. Yes, because with the new metaverse, which is a sort of parallel universe in which an individual relates to others through his own avatar, it is a topic of stringent topicality. A "Non-fungible token" is effectively a certificate of ownership. Therefore it is not exchangeable money, but a single document since it is written on a blockchain and therefore cannot be modified.

WHERE TO CREATE AND TRADE AN NFT?

Creating an NFT is not a free process. NFTs use the blockchain where all transactions involve a network expense. Currently, most NFTs are on the Ethereumblockchain. The tax on that network is called "Gas". To build that NFT it is necessary to have a fund, in Ether, of approximately 100 US dollars. Once the NFT has been created, you have the possibility to immediately put it up for sale on the platform where you registered it. You can also choose to trade it later. You can set the selling price or auction it and let interested parties set the bid for that NFT. Another interesting element is that royalties can be set. This way you will make a profit every time your NFT is sold in the future.

 

WHERE TO STORE AN NFT?

NFTs are digital tokens, so they are stored in crypto wallets. There are dozens of wallets in the world. Here it is important to select an Ethereum compatible wallet, such as Trust Wallet. This will make it easier for you to connect to NFT online marketplaces. An NFT cannot be duplicated or transferred without the permission of its holder.

 

NFT, A MULTI-BILLION MARKET

Certificates of authenticity for digital works have made a millionaire market flourish. Artist Beeple first sold the NFT of one of his works, a 10-second video, for $ 6.6 million. Then, at a Christie's auction, the NFT of a collage of 5,000 of his works of art sold for $ 69 million. The buyer turned out to be the collector VigneshSundaresan. The NFT of the first tweet posted on Twitter by its creator, Jack Dorsey, nearly reached $ 3 million. Meanwhile, American rock group Kings of Leon released their album as NFT. In addition, the NBA Top Shot platform created NFTs with video clips of the best plays of that league. Since the beginning of 2021, the sale of these NFTs has generated nearly $ 200 million. Anyone can watch LeBron James' best plays, compiled on YouTube, for free. However, the video of that game belongs to the NFT holder.

 

 THE COPYRIGHT ISSUE

A critical point of the NFT market is that of copyright. First of all, in a global and unregulated market such as that of NFTs, it is easy to imagine that copyright infringement cases are on the agenda. In this sense, the example of the NFT which will be banned at auction by Christie's and "created" by the model and actress Emily Ratajkowski is significant. In deciding which work to include in a smart contract, Ratajkowski opted for a photograph that portrays her in front of a painting (made by a third party and of which the model has a copy) which in turn reproduces a post from Ratajkowski'sInstagram profile , which shows a photograph of the model made for Sports Illustrated.

 

THE MOST EXPENSIVE NFT ART WORKS

The hype of the NFT phenomenon has brought huge fortunes to the coffers of eccentric digital artists. The hype for these code snippets crystallized on blockchain has extended their use far (perhaps too much) beyond simple crypto-art. For example, a German company created the "perfume of the metaverse", a digital spectrogram of the essence produced by the company, while one of the founders of the web sold the internet source code as NFT (sold for 4.7 million euros ) and there are also those who plan to sell their genome as an NFT. However, if we look at the ranking of the most expensive NFTs, we realize that crypto-art reigns supreme, and that Beeple is the artist who most of all has been able to grasp this trend.

 

The ranking of the most expensive crypto-art works is also full of bizarre products, such as the meme dedicated to the ShibaInu renamed "Doge", sold for the beauty of 3.8 million euros, the first tweet of Jack Dorsey, sold for 2.5 million and a dunk by Le Bron James, whose video was sold for "only" 170,000 euros. The peculiarities of the NFT system mean that the ranking can be closed with an outsider, that is CryptoPunk # 9998, "sold" last October for about 500 million euros.

                                                                                                                                                                                                                                                                                  Cristiano, 3sc