Understand what non-fungible tokens mean in one article?

Speaking of non-fungible tokens, it is actually a data unit based on blockchain technology. Each non-fungible token can represent a unique digital data, but it is not interchangeable. , so it's perfect for those creative works. Creators can make anything into an NFT, which exists in the form of a digital file that can be browsed. For non-fungible tokens, the file itself can be copied infinitely, but each token will be stored on its underlying It is tracked on the blockchain and can also provide buyers with proof of ownership. So what exactly does a non-fungible token mean? Let me explain it to you in a simple way.

## Meaning of non-fungible tokens

Non-fungible tokens (NFT) are data units stored on the blockchain (digital ledger) that can represent unique digital assets, such as works of art. Currently, NFT is mainly used in art and games.

NFT Artwork Type:

• Non-Reproducible Artwork: Created by humans.
• Reproducible artwork: Use the unique ID of the token as the "core" to determine the appearance and characteristics.

NFT’s value proposition:

• Permanence and immutability: Provide copyright protection for creators.
• Imagination space: creating opportunities for the field of digital collectibles.

NFT Storage Method:

• Only ownership records and metadata are stored, linked to the actual content.
• The link is fragile and prone to failure, resulting in asset loss.
• IPFS solves storage problems and provides persistence.

NFT applications

NFT redefines the concept of property rights and value in the digital field:

NFT application examples:

1. NFT Art:

   • Artists can digitize and tokenize artworks, Selling one-of-a-kind copies.
   • Collectors can display, trade and lend works.

2. NFT Games:

   • NFTs are used as digital collectibles such as in-game items and characters.
   • Build a game ecosystem to allow players to monetize in-game assets.

3. NFT Staking:

   • Earn rewards using NFT as collateral.

4. NFT Ticket:

   • NFT acts as a ticket, providing immutable proof of ownership and attendance.
   • Transferable and resaleable, comes with exclusive benefits.

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