#nft
NFTs (Non-Fungible Tokens) are unique digital certificates that securely prove ownership of mostly digital objects using blockchain technology. Unlike traditional cryptocurrencies like Bitcoin or Ethereum, NFTs are not interchangeable with other tokens of the same type – each one is unique and differs in content from all others.
NFTs can represent practically anything digital: artworks, music, videos, memes, game items, virtual land, tickets, or even rights to real goods. The actual object (e.g., an image) is usually located outside the blockchain; the NFT merely references it and documents who the rightful owner is.
The assignment takes place immutably via a blockchain address, the transfer of ownership is transparent, and can be traced by anyone. Thus, scarcity and authenticity in the digital realm can be technically represented for the first time. Artists and creators can sell NFTs, participate in resale, and thus directly profit from their work.
NFTs are bought, sold, and traded on special marketplaces. The hype around NFTs as digital collectibles reached extreme heights in 2021–2022 but then collapsed sharply. Today, NFTs are increasingly used for practical applications such as ticketing, certificates, digital identities, or gaming.
Criticism points include the high energy consumption in creating and trading, environmental impact, fraud risks, and the difficulty of creating real, lasting value. Most NFTs are speculative objects, and many quickly lose value.
In summary:
NFTs are digital, unique proofs of ownership for unique objects, stored on the blockchain. They enable digital scarcity, secure ownership, and new business models – but also have weaknesses in sustainability and practical utility.