As a writer, I use abbreviations and acronyms all of the time to save space and time for my readers. The same is being done worldwide so that we can save time and make things easier on ourselves. One of the more popular acronyms you have probably come across lately is NFT – but what does NFT stand for?
NFT is short for non-fungible token. The definition of the word non-fungible token, according to Merriam-Webster (i), is a unique digital identifier that cannot be copied, substituted, or subdivided, that is recorded in a blockchain, and that is used to certify authenticity and ownership (as of a specific digital asset and specific rights relating to it). Clear enough? Not even close, I know. Let me break it down, so it’s easier for everyone to comprehend.
Non-fungible items are unique and cannot be replaced with something else. People have emotional attachments to things, therefore, making them invaluable. Here is a perfect example. My husband collects skateboards. He has a ton of them in our bedroom, living room, and even in our kids’ rooms. Now, I know some wives might have a problem with that, but I don’t. It’s a healthy form of exercise, and I fully endorse it.
With that said, if I ever asked my husband to sell them so we could have the extra space in the house, I know it would ultimately break his heart. Why? Because he is incredibly emotionally attached to them and would never be able to put a fair enough price on them, despite the fact that he could go out and replace them with similar boards from the local skate shop. It doesn’t matter what they are worth; they are priceless to him. Is all of this making more sense now?
Why NFTs are Important
Not to be mistaken with NFTs, cryptocurrencies are digital forms of money used to make purchases through secure transactions. An NFT is a token of ownership – a digital certificate. It is an asset that can be bought or sold securely online and is easily verifiable through blockchain, a peer-to-peer network that maintains and monitors the data.
Smart contracts are what hold information like expiration dates and terms and conditions. The creation of smart contracts has allowed for more trades to enter the NFT space, like real estate and event ticket sales. With NFTs and smart contracts, business can be conducted across continents with just a few clicks.
How Will NFTs Change the World?
Web3 is a newer version of the World Wide Web, and it is taking everyone by storm. Based on blockchain technology, Web3 incorporates concepts including decentralization and token-based economics. Some companies are exploring Web3 technology and bringing NFTs to life.
Non-Fungible Films is an entertainment studio that operates with three primary verticals: NFTs & Community, ‘Play-to-Earn’ Gaming, and ‘View-to-Earn’ Streaming, serving consumers and creators alike. From the Multi-Metaverse, The Great Beyond, to the Creator Studio, NFF works to propel some of the next unfound talent to construct their own Intellectual Property.
For anyone not familiar, the creation of Intellectual Property, or IP, is the bundling of legal rights of things from the creative, human mind. Some examples are inventions, designs, and works of art. IP laws are in existence to protect creators in the way of copyright, trademark law, and patents.
Web3 represents a 3D-immersive internet experience in an open ecosystem. Ultimately it is the ground-laying technology for how the world will operate in the future, and it is changing everything right in front of our eyes.
What are the Capabilities of NFTs?
NFTs, alongside smart contracts, have revolutionized how business is done online. Developments like domain name NFTs could be a tremendous asset to companies all over the world. Picture this. Your customer owes you five grand and is ready to pay. Since your domain works as your wallet address, have them send crypto directly to your domain, and you’re done. So not only do you have a functioning website, but you can also accept payments. How simple and awesome is that?
The capability to transact securely and efficiently is vital for any industry. Artists, musicians, and creators of all genres are discovering NFT marketplaces and what they have to offer them as well as their fans. Connecting directly with audiences and setting their own royalties, originators everywhere are cashing in on the high demand for NFTs.
Web3, NFTs, and cryptocurrency are the ways of the future, and businesses everywhere are plunging ahead full speed. We are being handed an entirely new way of connecting with others, and we need to continue to embrace it. Giving everyone access and putting user experience first are only some of the positive attributes this trifecta of entertainment has to offer.