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Table of Contents

  1. What are NFTs?
  2. NFT History
  3. How To Buy NFTs
  4. Best NFT Stocks in the Market
  5. NFTs: All You Need To Know

What are NFTs?

NFTs, otherwise known as Non Fungible Tokens are unique digital assets that represent real-world objects like artwork, music, trading cards, in-game items, and videos.

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These digital assets are often traded along with cryptocurrency on the blockchain. The term “non-fungible” denotes that the token is not interchangeable: it is unique to itself. It is because of this nature that NFTs are not mined like Bitcoin and other cryptocurrencies: they are created and sold.

 The value of an NFT depends on its rarity: the more rare an NFT is, the higher the price. Despite the high value that NFTs generally have, most holders do not fully understand them. Drastic market changes may result in marked changes in the price of an NFT. The good thing is that when you buy an NFT, the record of your purchase is stored in a digital ledger forever. NFTs are a good way for content creators, musicians, and digital artists to generate income.

NFT History

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NFTs have not been around for so long: in 2012, Colored Coins were mentioned in an article by Yoni Assia. Later that year, a paper by Meni Rosenfeld further discussed Colored Coins as the new asset class they would become.

In 2014, digital artist Kevin McCoy and tech entrepreneur Anil Dash created the first NFT known as the Quantum. The Quantum sold for a whopping $1.4 million in June 2021.

2015 ushered in a new beginning: Counterparty partnered with the team creators of the Spells of Genesis game. The team creators introduced their in-game currency called Bit Crystals.

In 2017, Cryptokitties created a massive NFT wave: the game was launched in December 2017 to enable players to collect cats with their characteristics on the blockchain and mate them, creating unique cats which would inherit the characteristics of their parents.

In June 2021, a World Wide Web source code NFT sold for $5.4 million at an auction. According to reports, the NFT was created by the English scientist, Berners Lee. This shows how important NFTs have become over the years.

How To Buy NFTs

1. Buy Ethereum: Since NFTs are Ethereum based, to get NFTs you will need to buy Ethereum. You can get your Ethereum from exchange platforms like Coinbase, Kraken, Binance, Gemini, and Bittrex. Then you can send your Ethereum to your Metamask wallet.

2. Go To The NFT Marketplace: Marketplaces such as the OpenSea, Rarible, SuperRare, BakerySwap and…

Continue reading: https://hackernoon.com/an-introduction-to-nft-stocks-nu3h37vq?source=rss

Source: hackernoon.com