NFTs or non-fungible tokens have become quite a digital phenomenon since last year. It has now become a million-dollar industry with so many collections and collaborations dropping almost every month.
The NFT market is gradually making its way into the mainstream media. From Snoop Dogg collaborations, and Seth Green’s NFT animated show to Beeple selling NFT art at a record-breaking price of $69M, NFTs have truly become an in-demand digital asset.
Since NFTs are now the future of the world, it is important to be familiar with digital collectibles. So, here are 10 interesting facts about NFTs that everyone should know about:
NFT stands for Non-fungible token which means each token is designed in such a way that it cannot be replaced or duplicated. Every NFT is created unique. Even if they are based on the same art, they still have some rarity traits which make them unique.
Many believe that NFTs might be a Gen-Z thing, but they are wrong. Millennials are equally interested in NFTs. Since most millennials are in their early 30s or late 20s, they have the funds to buy digital collectibles of their favorite collection. Gen-Z might still be a little too young to buy these expensive assets as of now.
With so much competition in the traditional market, NFTs give artists and creators a new platform to showcase their work and build their careers on it. Many new artists have become quite popular since NFTs became a thing.
Furthermore, NFTs give them the room to explore new possibilities and explore creativity within themselves with the new technology. The biggest example is digital art. The illustrators usually struggled due to excessive forging of their work, but the NFTs gave them the right to own.
Ethereum is the most used blockchain network where NFTs are minted. Most tokens find it easier to operate on the Ethereum blockchain as ERC-721 and ERC-1155 standard tokens.
Although there are many blockchain networks emerging with zero-gas fees and high speed, still many creators and developers prefer operating on the Ethereum blockchain.
Smart contracts are programs stored in the blockchain that is triggered when a precondition is met. So, whenever a creator mints NFT on the blockchain, a smart contract is created.
The smart contract looks over the exchange between an NFT buyer and a seller without any central authority involved. In other words, these programs are self-executing that authenticate ownership when the contract terms are met.
Before Bored Ape Yacht Club or CryptoPunks, the Colored coins was the first-ever NFT project to be launched on the Bitcoin blockchain. In fact, the Colored coins project gave birth to the concept of NFTs.
The collection was mainly colored Bitcoins that were different and had more face value than regular Bitcoins.
The Ukraine-Russia war that began in February 2022 and is still ongoing motivated the NFT community to send their NFTs as a fundraiser to support Ukraine in the war.
Due to a lack of funds, the Ukrainian government reached out to the crypto community for help. As a result, people sent funds through cryptocurrencies and also sent NFTs into the Ukrainians’ wallets.
Memes, once content for humor and laughs, now hold value in the form of digital collectibles. People now buy NFT memes worth thousands of dollars and trade them on the marketplace.
Memes like Nyan Cat, Bad Luck Brian, Grumpy Cat meme, Scumbag Steve, and many more have become valuable digital assets to own.
Beeple is now the best-selling digital artist in the world. His NFT collage called “Everydays” was sold for $69.3M, making it the most expensive NFT up-to-date.
The NFT collage is a mosaic compilation of all the works of Beeple since 2007 which went on auction at Christie’s auction house.
Recently, the Solana blockchain has become a rival of Ethereum in the NFT space. The marketplace has introduced some of the most valuable and exclusive works like Degenerate Ape Academy, which surpassed the August 2021 trading volume of both BAYC and CryptoPunks. All in all, Solana might be the next dominant blockchain network in the world.
Now that you know some of the interesting facts about NFTs, you can confidently say that you are familiar with the non-fungible industry.
For More NFT News like this visit NFTstudio24 where we dive into the world of NFTs.
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