The word NFT has been one of the buzziest words in the digital currency world in recent times. Many people call the million dollar prices and rates of NFTs a digital scam. while some others announce the opening of a new window to the human world. Meanwhile, there are many people who are looking for a simple and conceptual answer to the question of what is NFT and what are its uses. Stay with Sasha exchange for information in this field.
What is an NFT?
What is an NFT?
NFT or (Non Fungible Token) is one of the types of cryptographic tokens that use the blockchain platform to create a type of digital asset that cannot be exchanged and duplicated.
What is replaceable and how is it different from non-replaceable?
Exchangeable cryptocurrencies such as Ethereum, Bitcoin, etc., are coins that can be easily exchanged among all people without any difference. For example, 10,000 Toman bills do not have any difference in value, and they can be exchanged very simply and easily.
But irreplaceable assets are not like that. Example: Mona Lisa painting is an irreplaceable and unique property and there is only one of this painting in the whole world and no person can exchange it with another painting.
The characteristics of NFTs include things such as: being rare, indivisible (that is, it cannot be converted into smaller units), being unique, being transferable and buying/selling, originality and not being fake, protecting the right Ownership and copyright law also mentioned.
Exchangeable cryptocurrencies such as Ethereum, Bitcoin, etc., are coins that can be easily exchanged among all people without any difference. For example, 10,000 Toman bills do not have any difference in value, and they can be exchanged very simply and easily.
But irreplaceable assets are not like that. Example: Mona Lisa painting is an irreplaceable and unique property and there is only one of this painting in the whole world and no person can exchange it with another painting.
The characteristics of NFTs include things such as: being rare, indivisible (that is, it cannot be converted into smaller units), being unique, being transferable and buying/selling, originality and not being fake, protecting the right Ownership and copyright law also mentioned.
Why are these types of tokens valuable?
Despite this technology, all artists around the world can sell their digital works directly to their fans and contacts without any intermediaries and receive a larger share of the profits. On the other hand, copyright and royalty can also be programmed in the form of digital art. After the artist sells his beautiful works, some markets give the ownership to the buyer, but some other markets work in the form of a pyramid, and every time the artist’s work is sold to new people, a percentage of The profit of this work goes to the artist of that work. In addition to digital works, conditions and a platform were recently provided for the physical works of artists to be sold and sent to the buyer after the sale.
Other uses of tokens
Ability to recognize identity: NFTs are the best option to deal with impersonation. Example: For this case, it is possible to digitize people’s identity such as academic documents, medical documents and all of our appearance.
Collectibles: These types of tokens are a new and emerging beginning for the entry of collectibles and world-famous collections into the world of digital capital.
Collectibles: These types of tokens are a new and emerging beginning for the entry of collectibles and world-famous collections into the world of digital capital.
Profit Cultivation in DeFi: NFTs are also being combined with decentralized finance (DiFi), especially in the field of profit cultivation strategy. It is interesting to know that from 2020 onwards we have seen the result of this merger. For example, Yearn Finance is a type of decentralized protocol (DiFi) and has created a type of insurance called Y Insure to insure all cryptocurrencies.
Y Insure uses the ERC 721 mechanism to display and offer its unique and unmatched policies.
How to buy NFT
1. First, install one of the wallets that have a browser on your mobile phone
(Trust wallet, MetaMask, MyEtherWallet, Coinbase Wallet)Coinbase Wallet)
2. Refer to wallet browser and enter it, then in the address field of the browser, enter the link of the DEP website you want.
For example: www.cryptokitties.co
3. At this stage, register and connect the wallet to the DEP.
How to sell NFT?
NFT stores include: Zora, Rarible, SuperRare, Nifty Gateway and OpenSea.