What Are NFT’s
Welcome to the Digital Renaissance!
A few months ago I got a call from my brother Darryl, “have you heard about these things called NFT’s?” I replied “no” and Darryl proceeded to tell me about the Lazy Lions NNFT’s. He told me to look them up. so I did and at the time the Lazy Lions were only around $220 I was skeptical and didn’t know enough about NFT’s to make the purchase.
That was almost three or four months ago. Since then Lazy Lion’s have shot up in price, Bitcoin has reached over $60K, Ethereum has gone from a $2000+ to $4000 + and I created 10,000 NFT’s. I have created a DAO (Decentralized Autonomous Organization), and I am creating an online course to teach others.
Things in the tech space move really quickly so I will slow down, back up, and start by telling you what an NFT is. An NFT is a Non-Fungible Token, as opposed to being a Fungible Token.
What is a Fungible Asset?
So According to Investopedia “Fungibility is the ability of a good or asset to be interchanged with other individual goods or assets of the same type. Fungible assets simplify the exchange and trade processes, as fungibility implies equal value between the assets.”
So a ‘Dollar Bill’ is a Fungible Assets it can be easily convertible, exchanged, or replaced with, four quarters or ten dimes, etc. Although every Dollar Bill has a serial number they are all still equal in value. If you loan someone a $20 dollar bill you are not expecting them to return the same exact bill that you gave to them.
So What is Non-Fungible?
Non-fungible assets are pretty unique and usually, come with some form of serial number or certificate of authenticity, title, or deed. Assets like diamonds, land, or baseball cards are non-fungible because each unit has unique qualities that add or subtract value.
So a car is non-fungible; if you loan your car to your friend you are expecting them to return with the same car you loaned them. Here is another example. Person A and Person B purchased the same car on the same day from the same dealership. On the way home Person, A spills hot coffee on their lap and rear-ends a pickup truck. Although Person A and Person B have the same exact car they are both different in value.
What Does Crypto Currency Have to Do with NFT’s
Well, I am glad you asked, according to Investopedia “Non-fungible tokens or NFTs are cryptographic assets on blockchain with unique identification codes and metadata that distinguish them from each other.” I think what Investopedia is trying to say is that an NFT can be art, music, dance videos, poetry, music videos, or any digital file/content that can be uploaded to the Blockchain. These different forms of media can then be sold for cryptocurrency or fiat currency. There are some sites that will allow users to purchase an NFT with a credit card.
Why Not Just Copy & Paste
Most of the time folks will answer this question with “you can take a picture of the Mona Lisa but you don’t own the Mona Lisa. The same thing with NFT’s you can take a picture of a Bored Ape Yacht Club NFT but that doesn’t mean you own it. In fact, as we move further into the NFT future you may see sites like Facebook and Twitter asking folks to verify ownership of the NFT they use for their profile picture.
I would, however, like to offer up an even better reason why you shouldn’t just take a picture of the work and pretend it’s yours. Many artists around the world are not ever offered the opportunity to get their artwork and content into the hands of the people. There are also communities that could benefit from some of the other uses of NFT and Blockchain Technology. Besides many NFT’s come with utilities like the ability to enter the website, play a game and earn NFT’s or Tokens. Also that picture you took of Mona Lisa can’t be sold but the actual NFT can be sold.
Some NFT’s are selling for MIllions the most expensive NFT ever sold was Beeple’s Everyday's, a collage of digital art that sold at Christie’s auction for $69 million. Then there’s the case of a CryptoPunk NFT that sold for $532 million in October 2021.
So don’t miss the boat on NFT’s come back and check out my post as I take you on my NFT and Crypto Journey. I have created a 10,000 NFT project and a DAO, so stick around Not only will you learn some things I will also be letting you in on the NFT’s that I drop.
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