Understanding NFTs

A blockchain record known as a non-fungible token (NFT) is linked to a specific digital or physical asset. An NFT's ownership is documented in the blockchain and is transferrable by the owner, enabling the sale and trading of NFTs. Anyone can make NFTs, and they don't necessarily need to know how to code. NFTs frequently make mention of digital items like images, audio, and video. NFTs vary from cryptocurrencies in that they are fungible, while cryptocurrencies are individually identifiable assets.


An example of a smart contract-generated non-fungible token (a program designed to automatically execute contract terms).
NFT proponents assert that NFTs give the public a public certificate of authenticity or proof of ownership, however the legal rights that an NFT conveys may not be clear. It is not necessary to have copyright, intellectual property rights, or other legal rights over an attached digital file in order to hold an NFT as defined by the blockchain. An NFT does not block the production of NFTs that relate to the same digital files, nor does it restrict the sharing or copying of the associated digital file.