NFT (Non Fungible Token) or in French, (Non-Fungible Tokens).
Definition ¶
Non-fungible tokens, or NFTs, are pieces of digital content associated with the blockchain.
NFT is considered a new investment tool in digital art market, en as a representation of a digital work. It is of interest to collectors, fans of digital art, video games and investors.
Definition
NFT is a non-fungible tokens
she represents a assets physical and digital registered in a blockchain. It’s hisconfirm authenticity this asset and this not exchange.
In this sense it is unique. NFTs are not interchangeable, no two are the same.
NFT is considered a token that is intended to be unusable and rare.
A sign ¶
The Monetary and Financial Code, in its article L.552-2, deals with its definition.
Article L552-2
Creation LAW n°2019-486 of May 22, 2019 – art. 85
“For the purposes of this chapter, a sign consists of any intangible asset that represents, in digital form, one or more rights that may be issued, registered, stored or transferred by a shared electronic recording device that makes it possible to identify, directly or indirectly, the owner of said property. »
Non-fungible¶
Fungible is said in a things confused against something of the same value, of the same nature, or of the same value.
notwe are fungible one thing which cannot be replaced by something of the same value, of the same nature, or of the same value.
An NFT has a cryptographic connection with the support of a unique, unusable, and unique job. Its programming code is unique to the blockchain.
An NFT is a digital token that represents something, registered in a blockchain that allows its owner to be identified, and legal representative for its holder.
Assets represented by NFTs ¶
- digital artwork
- physical works of art
- tweets
- Collections
- sports moments
- GIFs
- Virtual trading card
- Short videos or music clips by the author
- Entrance fee to a private showroom of a luxury brand,
- Available in video games
For example, Twitter co-founder Jack Dorsey sold the very first tweet. The price of this NFT is $2.9 million.
When an NFT is traded, it is not the underlying artwork that is traded, but it is certificate of authenticity of work which is the subject of the transaction.
with‘investor it needs the form of the receipt of a digital file that represents the certificate of authenticity of the underlying asset.
Going NFT: the tokenization process.
Tokenization is the process of replacing sensitive data with an equivalent element (Token).
It registers a token of an asset or an ownership title on a blockchain with rights attached to it.
The asset represented by the token, also called the underlying asset, can exist in both digital and physical form.
In doing so, the token has no meaning outside of its operating system.
Here for an NFT it corresponds to the registration of a title deed or a certificate of authenticity of a digital work of a non-fungible token issued on a blockchain.
Work ¶
NFT represents the certificate of authenticity or ownership of a work on the blockchain, in the form of a cryptographic token.
The certificate of authenticity is integrated with the NFT, it allows the interested investor to verify its authenticity.
NFTs can be bought and sold like other types of assets, their value is determined by supply and demand.
Buyers are willing to pay based on scarcity and demand. There is no certainty of future income.
Buy or sell an NFT ¶
Select the market and the platform to buy.
The opening of a digital wallet will be held to store the Net
And consider the cryptocurrency required for the transaction. You will need this to complete the sale. Most transactions are done in Ethereum
Transaction fee
Fees: Some exchanges charge a “gas” fee, which corresponds to the energy required to perform the transaction on the blockchain, Ethereum conversion costs, selling and buying fees.