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NFT – All you Need to Know about Non-Fungible Tokens

NFT – All you Need to Know about Non-Fungible Tokens

An NFT or a Non-fungible token has been making headlines in the world of digital assets lately. With the rise of NFTs, businesses are beginning to explore the potential uses of this new technology.

Still creating a craze on the web, Non-Fungible Tokens are increasingly establishing themselves in a lot of fields. They have the potential to change how we interact with the internet. It goes from playing or even using social media platforms. Almost impossible to counterfeit, these unique digital assets have great value for both users and brands.

Read more: NFT Utility & Rewards – The Ultimate Guide to Empower NFTs ➡️ Flèche Droite Emoji 18 Utility ideas for Brands and creators to supercharge their NFTs

What is an NFT?

Simply put, an NFT is a unique digital asset. Unlike other types of cryptocurrencies, they are not interchangeable and have not the same value. Non-Fungible Tokens are one-of-a-kind and cannot be replicated. The blockchain technology that Non-Fungible Tokens are built on provides a transparent, secure, and tamper-proof way to verify the ownership and authenticity of digital assets.

They are available in diverse formats, including images, videos, 3D representations, audio, media among others. Lots of people think Non-Fungible Tokens are revolutionary because they have highlighted the value of digital creations. They have become increasingly popular in fields such as art, fashion, retail, luxury, video games. In the gaming world, NFTs may be used as accessories to enhance a character’s abilities or customize their online avatar.

In the technology industry, software in the form of Non-Fungible Tokens can unlock a variety of operational features. This brief list merely scratches the surface of the numerous possibilities that NFTs can provide.

Read more: NFT platform – Why do brands and creators need it?

Where are NFTs stored?

They are stored on a blockchain, which is a decentralized digital ledger that records transactions across a network of computers. Different types of NFTs may be stored on different blockchains, but currently, the majority of Non-Fungible Tokens are stored on the Ethereum blockchain.

When a Non-Fungible Token is created, a smart contract is deployed on the blockchain, which acts as a digital certificate of ownership and contains information about the NFT, such as its title, description, and ownership history. This smart contract is then linked to the digital asset that the NFT represents, such as a digital artwork, music, video, or tweet.

Since the blockchain is decentralized, each copy of the ledger on each computer in the network contains a copy of the NFT’s smart contract and transaction history, which makes it highly secure and resistant to tampering or fraud. The ownership of a Non-Fungible Token is also easily transferable through the blockchain, making it easy for buyers and sellers to trade NFTs with each other.

How do smart contracts works?

Smart contracts are self-executing contracts that automatically enforce the rules and terms of an agreement between two or more parties. They are computer programs that are stored on a blockchain, and they can be executed without the need for intermediaries or third parties. Having an overview of how smart contracts work is basically simple:

  1. Two or more parties agree to the terms of a contract.
  2. The contract is translated into code, and a smart contract is created on the blockchain.
  3. The code of the smart contract contains the terms of the contract, such as the conditions for executing the contract, the parties involved, and the actions to be taken when certain conditions are met.
  4. The smart contract is deployed on the blockchain, and each party involved in the contract has a copy of the contract.
  5. When the conditions specified in the smart contract are met, the contract is automatically executed, and the agreed-upon actions are taken.
  6. The execution of the contract is recorded on the blockchain, and each party involved can view the transaction history and ensure that the contract has been executed correctly.

Smart contracts are useful for a multiple applications. It goes from simple agreements between two parties to more complex financial instruments and decentralized applications or DApps. Smart contracts enable faster, cheaper, and more secure execution of contracts, as they eliminate the need for intermediaries and third parties. Therefore, they provide a tamper-proof and transparent record of the contract’s execution on the blockchain.

How different are them from cryptocurrency?

Even if they are both digital assets existing on the blockchain, NFTs and cryptocurrencies have some key differences:

  • Fungibility: Cryptocurrencies are fungible, which means that one unit of a cryptocurrency can be exchanged for another unit of the same cryptocurrency. For example, one bitcoin is equivalent to another bitcoin. Non-Fungible Tokens, on the other hand, are non-fungible, which means that each NFT is unique and cannot be exchanged for another NFT.
  • Purpose: Whereas Non-Fungible Tokens were designed to represent unique assets, such as digital art, music, videos, or even real-world assets, cryptocurrencies were primarily designed to be used as a medium of exchange or a store of value.
  • Value: Cryptocurrencies derive their value from factors such as supply and demand, market sentiment, and adoption. The value of Non-Fungible Tokens, on the other hand, is determined by the uniqueness, scarcity, and perceived value of the asset they represent.
  • Token Standards: Cryptocurrencies usually follow token standards like Bitcoin or Ethereum, while NFTs follow different token standards like ERC-721, ERC-1155, and much more.

In summary, cryptocurrencies and Non-Fungible Tokens are both digital assets that exist on a blockchain, but they have different purposes, values, and characteristics, with cryptocurrencies being fungible and NFTs being non-fungible.

When have NFTs been created?

Non-fungible tokens were first created in 2017 on the Ethereum blockchain, with the release of the ERC-721 token standard. ERC-721 allowed developers to create unique digital assets that could be bought, sold, and traded on a blockchain like Ethereum.

Rare Pepe NFTs for instance were some of the earliest examples of Non-Fungible Tokens, and they were created in 2016 on the Counterparty platform, which is built on top of the Bitcoin blockchain. Rare Pepe were digital trading cards featuring different variations of Pepe the Frog, a meme that gained popularity on the internet in the early 2010s. Each Rare Pepe Non-Fungible Token was unique, with different artwork, rarity, and attributes.

Rare Pepe Nakamoto NFT card

They were created by a community of artists and collectors who saw value in owning and trading unique digital assets. The Rare Pepe NFTs were traded on various online marketplaces, and some of the rarer ones fetched high prices. Although the Rare Pepe were not created on the Ethereum blockchain like most Non-Fungible Tokens today, they paved the way for the concept of unique, digital assets that can be traded on a blockchain.

On the other hand, the first Ethereum Non-Fungible Tokens to gain popularity in 2018 were CryptoKitties, a blockchain-based game that allowed users to buy, sell, and trade unique digital cats. Since then, NFTs have grown in popularity and have been used to represent a wide variety of digital assets, including artwork, music, videos, and even tweets.

One of the Cryptokitties NFTs

How to know a Non-Fungible Tokens is original?

This digital asset is considered original if its authenticity can be verified through the blockchain technology that it is created on. When an NFT is created, a record of its creation is stored on the blockchain, including information about the asset it represents, such as its title, description, and the artist who created it. This record is unique and cannot be altered or duplicated, which means that the authenticity of this digital asset can be easily verified by checking its transaction history on the blockchain.

For someone buying a Non-Fungible Token, it is important to do due diligence and verify the authenticity of the Non-Fungible Token before purchasing it. Some ways to do this include:

  • Checking the NFT’s transaction history on the blockchain to ensure that it is the original and not a duplicate and perhaps getting a certificate of authenticity or other forms of verification from the creator or artist of the Non-Fungible Token.
  • Verifying the authenticity of the creator or artist of the NFT. This can be done by checking their social media accounts, websites, and other sources to ensure that they have created and sold the Non-Fungible Token.
  • Using reputable marketplaces or platforms to buy and sell Non-Fungible Tokens. These platforms often have measures in place to ensure the authenticity of NFTs sold on their platform.

NFT Utility: Giving value to NFTs

Utility NFTs are Non-Fungible Tokens that offer real usages and advantages. Non-Fungible Tokens have become increasingly popular in recent years, particularly in the world of art and collectibles. Apart from the subjective artistic value that can be attributed to a digital work, no utilities were linked to NFTs. They are now becoming real tools, with value online (on e-commerce, into the metaverse…) and offline.

Some of the main utilities of NFTs include:

  1. Tokenization of assets: Non-Fungible Tokens can be used to represent ownership of real-world assets, such as real estate or commodities.
  2. Ticketing: exchangeable tickets giving IRL access.
  3. Gaming and virtual worlds: They can be used to represent in-game items or virtual real estate, which can be traded and exchanged within the game or virtual world.

And many other upcoming Utility NFTs.

How is an NFT used in real life?

Non-fungible tokens have a wide range of potential applications in various industries. They are already being used in real-life scenarios such as:

  • Art and Collectibles: The art industry uses NFTs to authenticate and track the ownership of digital artworks, photographs, and other digital collectibles. Those digital assets allow artists to monetize their digital creations and provide collectors with a verifiable proof of ownership and provenance.
  • Gaming: Non-Fungible Tokens in gaming can represent in-game assets such as characters, weapons, and skins. Players can buy, sell, and trade these NFTs on blockchain-based marketplaces, and game developers can earn revenue from the sale of these assets.
  • Music: In the music industry, Non-fungible tokens can take the form of ownership over a sample of music. They allow artists to sell unique experiences such as VIP access to concerts, backstage passes, and other exclusive content to fans.
  • Real Estate: Non-Fungible Tokens are used in the real estate industry to represent ownership of physical properties, including land and buildings. They allow buyers and sellers to complete real estate transactions faster and more securely.
  • Identity and Credentials: Those digital certificates can constitute identity and credentials, such as academic degrees and professional certifications. They provide a secure and tamper-proof way to verify an individual’s identity and qualifications.
  • Retail Industry: In this industry as well as other one, NFTs can act as digital twins to add another layer of authenticity of a physical asset. They build trust towards brands’ assets and make customers more secure about their purchase.

As blockchain technology continues to evolve and new use cases for Non-Fungible Tokensemerge, we can expect to see more innovative applications of this technology in various industries.

Trading NFTs

Trading Non-Fungible Tokens has become very popular to monetize digital content. This is similar to trading other assets, such as stocks or cryptocurrencies, but with some important differences. Each Non-Fungible Token has a different value based on its scarcity and demand. The value of an NFT can fluctuate based on market demand, just like any other asset. For the record, some Non-Fungible Tokens have sold for millions of dollars.

Why owning NFTs?

Owning an NFT can provide a variety of benefits and opportunities, depending on the individual’s interests. The reasons why someone may want to own an Non-Fungible Token include:

  • Ownership and authenticity: Owning an NFT provides a verifiable proof of ownership and authenticity of a digital asset. Non-Fungible Tokens are unique and cannot be duplicated. This feature makes them valuable for collectors and creators who want to ensure the authenticity of their work.
  • Investment: Non-Fungible Tokens can be bought and sold on various NFT marketplaces, similar to how traditional art and collectibles are traded. Some NFTs are still worth millions of dollars. So there is potential for their value to appreciate over time.
  • Utilities: Ranging from access to physical or virtual assets, private events, to even voting rights, an NFT utility provides long-term benefits that keep owners engaged and loyal to the NFT creator or brand.
  • Access to exclusive content: Some NFTs provide access to exclusive content, such as virtual real estate in online games or limited-edition releases. Owning a Non-Fungible Token can provide access to these exclusive experiences and content.
  • Be part of a community of owner: Non-Fungible Tokens are items that create communities of NFT enthusiasts. Users are frequently motivated by the desire to be a part of a community. They reinforce the sense of belonging to a group of individuals who share a common interest in owning NFTs.

Having an NFT in possession may simply be a matter of personal interest or appreciation for a particular piece of digital content. Similar to how people collect physical art or keepsakes, owning a Non-Fungible Token can provide a sense of enjoyment and fulfillment for the collector.

Can NFTs be stolen?

Once an NFT is created and added to the blockchain, it cannot be duplicated or destroyed. The ownership of this Non-Fungible Token can be easily verified through the blockchain mechanism.

However, NFTs can be stolen if the private key to the digital wallet that holds the NFT is compromised. If a hacker gains access to the private key, they can transfer the NFT to another wallet and take ownership of it. This is why it’s important to keep private keys secure and to use reputable digital wallet providers.

A case of stolen NFTs for instance would be a collector victim to the largest NFT theft to date, as 16 highly valuable NFTs worth $2.1 million. This type of event is quite often the result of a scam. NFT owners are tricked into voluntarily sharing access to their NFTs or wallet.

The most common form is phishing attacks, which employ fake websites, pop-ups, and transaction opportunities to lure NFT owners. Criminals often mimic well-known crypto-art platforms or even counterfeit NFTs to deceive unsuspecting owners.

In addition, NFT marketplaces and platforms can also be vulnerable to hacking or security breaches, which can result in the theft of NFTs or other digital assets. It’s important to use reputable and secure marketplaces when buying and selling NFTs, and to take steps to protect your digital assets, such as using two-factor authentication and keeping your digital wallet and private keys secure.

While NFTs themselves are secure and cannot be stolen from the blockchain, they can be vulnerable to theft if proper security measures are not taken.

Read more: 3D Builder for the Metaverse: what use for brands?

How to be sure a Non-Fungible Token is worth its price?

Determining the worth of a Non-Fungible Token can be a complex process, as there are various factors that contribute to its value. However, here are some ways to evaluate the potential worth of an NFT:

  • Rarity: Just like traditional collectibles, rarity is a key factor in determining the value of an NFT. The more unique and scarce the NFT is, the more valuable it may be.
  • Popularity: Non-Fungible Tokens that are associated with popular creators, artists, or musicians may have a higher value due to their existing fanbase and demand.
  • Age significance: NFTs associated with significant historical events or milestones may have higher value due to their cultural and long-time significance.
  • Quality: The quality of the Non-Fungible Token, including its design, animation, and sound effects, may also contribute to its value.
  • Value associated: An expensive unique token must bring value to users. It can go to gaming experiences or belonging to community. Some tangible value can be exclusive access to events, decision-making power or more. Intangible value includes unlocking features, free NFTs, or earning passive income, as seen with members of the Bored Ape Yacht Club community.
  • Blockchain authentication: Authenticity and ownership are critical factors in the value of an NFT. Ensuring that the NFT is authenticated on the blockchain and has a clear ownership history can increase its value.
  • Market demand: The value of an NFT is determined by the market demand for it. If there are more buyers than sellers, the value of the NFT may increase.

NFTs in social media

NFTs have found a prominent place in social media, where they are used for various purposes. Social media platforms, such as Twitter and Instagram, have become a hub for creators, brands and collectors to showcase their NFT collections, participate in NFT giveaways, to display their PFP (Profile as Picture) and promote upcoming NFT drops. Somehow, NFTs have evolved on social media to build a user’s digital identity.

Twitter has become a popular platform for Non-Fungible Token collectors and creators to connect and share their latest NFT purchases or sales. Moreover, those digital certificates have also enabled social media platforms to reward their users with exclusive NFTs as a form of social currency.

Using NFTs in social media has created new opportunities for creators, collectors, and influencers to engage with their audiences and monetize their content.

Why using Non-Fungible Tokens?

NFTs are useful for an array of reasons. Some consider it’s a way to collect and showcase unique digital assets. Others think it’s an investment and potentially they can profit from the value of these assets over time. They also provide a way to verify ownership and authenticity of digital assets, which is crucial for creators and buyers alike.

More than that, NFTs are to create private and exclusive clubs. They give access to exclusive content or experiences, to participate in decentralized autonomous organizations or DAOs and even advocate for social issues. Overall, NFTs offer a new and exciting way to interact with digital assets and create value in the digital space.

What is a branded Non-Fungible Token?

A branded NFT is a digital asset created by a brand or company for promotional, marketing, or revenue-generating purposes. Branded NFTs represent unique assets, such as artwork, video content, physical products certificate, and can be sold or auctioned to the brand’s customers.

They can also offer exclusive access to events, rewards, and other experiences, which can help build brand loyalty and engagement. This concept has gained momentum in the entertainment, gaming, Fashion or even retail industries as a way to monetize digital content and engage with customers in novel ways.

Read more: NFTs for brands: Keys to reach new business levels

What are the different types of NFTs?

NFTs represent a new category of digital assets not limited in the same way as traditional assets. They possess specific features that make them more attractive to users. These can be broadly categorized into 10 different types:

  • Artistic Tokens: These are digital artworks, such as paintings, illustrations, and photographs that have been tokenized and can be bought and sold as NFTs.
  • Collectibles: Representing a unique or rare item, these are digital assets  such as Avatar NFT collection (Cryptopunks, BAYC), trading cards game (Sorare), big sports moments (NBA Top Shots) or rare virtual items in video games.
  • Utility tokens: These unique tokens offer specific services or access. It could be real estate or investment proof in a company.
  • Gaming tokens: These are NFTs that represent unique virtual items or in-game assets that can be used in video games or other virtual worlds.
  • NFT wearables: Virtual wearables are properly digital accessories, clothes that can be used for avatars in virtual universes or users themselves in Augmented Reality.
  • Memes tokens: They are a highly popular NFT type due to their place in pop culture. Memes creators are willing to expand Web3 ecosystem and sell memes as NFTs.
poptart nyan cat gif
poptart nyan cat gif – Nyan cat meme sold as NFT
  • Music & media NFTs: These are NFTs representing ownership of digital music tracks, albums, or other type of broadcasting content.
  • Identity tokens: These tokens use the ERC-725 standard to create unique and immutable identifiers for individuals, companies, and corporations.
  • Metaverse NFT: These are NFTs that represent virtual real estate or other assets within a metaverse or virtual world.
  • Event Tickets tokens: They represent tickets to a live event, such as a concert, sporting event or more.

Is there many luxury brands using Non-Fungible Tokens?

Many luxury brands have explored NFT activations. Some of these brands include Gucci, Louis Vuitton, Dolce & Gabbana. Gucci for instance collaborated with an NFT platform to release a limited edition NFT sneaker that sold out in minutes. Louis Vuitton also released a collection of NFTs featuring iconic fashion accessories. These luxury brands see NFTs as a new and innovative way to engage with their customers and showcase their brand value

The Italian luxury brand Gucci for instance has found success in the virtual retail space by leveraging the popular game Roblox. The luxury brand has created the Gucci Garden game within the Roblox metaverse, allowing users to immerse themselves in the brand’s world and showcasing the potential of VR in the retail industry. Gucci has even ventured into NFTs, selling a purse priced over $3,700 in the real world, and integrating it into the Roblox game.

The Gucci Garden in the Roblox metaverse game to show how big the Meta Fashion is becoming
The Gucci Garden in the Roblox metaverse game to show how big the Meta Fashion is becoming

The Italian luxury brand Prada collaborated with artist Theaster Gates to create an NFT art project called “The Black Image Corporation.” The NFTs were auctioned off on the platform Foundation and sold for up to $170,000.

Which is the most famous brand in NFTs?

Determining the most famous brand in NFTs can be tricky because as the space is constantly evolving and new brands are emerging all the time. However, some of the most well-known brands in the NFT space include CryptoPunks, Bored Ape Yacht Club, NBA Top Shot, CloneX among others. Other notable brands having made an impact in the NFT space include Nike launched its Cryptokicks NFTs, which allow buyers to access exclusive virtual sneakers and participate in virtual experiences.

Gucci partnered with Arianee to launch its own NFT platform, which allows customers to verify the authenticity of Gucci products and receive proof of ownership as an NFT. Dolce & Gabbana has embodied exclusivity through its Collezione Genesi. The buyers not only received the digital asset but also physical items of their unique NFT and exclusive access to Dolce & Gabbana brand events, adding an extra layer of privilege to their purchase.

As of Louis Vuitton, it launched its own NFT-based video game called “Louis: The Game,” which allows players to collect NFTs featuring LV products. Coca-Cola brand on another note launched its first-ever NFT auction in partnership with OpenSea, featuring three themed NFTs celebrating International Friendship Day.

Which brand made the most profit with NFTs?

Nike is a major player in the NFT market and has emerged as the top-selling brand. Unlike other mainstream companies, Nike has successfully leveraged the potential of NFTs. In fact, the sportswear giant made headlines for acquiring a company that specialized in creating NFTs and sneakers for the metaverse. To date, Nike has reportedly earned a staggering $185 million from NFT sales and has completed 67.2K transactions.

Are NFTs taxable?

NFTs can be subject to taxes in many countries, including the United States. The specific tax treatment of NFTs depends on various factors, such as the type of NFT, how it was acquired, and how it is used. If an individual sells an NFT for a profit, they may be subject to capital gains tax on that transaction. In France, NFT activities such as minting, swapping or buying are not subject to taxation . However, a capital gain generated from the sell of an NFT will trigger a taxable event.

Moreover, if an NFT is used for business purposes, such as in advertising or marketing, it may be subject to different tax rules than if it is held as a personal investment. It is recommended to consult with a tax professional to determine the specific tax implications of trading NFTs.

Read more: NFT regulations: Navigating the Legal and Accounting Dimensions of Digital Collectibles

What makes a Non-Fungible Token collection popular?

When it comes to NFT collections, some stand out more than others in terms of popularity and demand. Several factors contribute to the popularity and desirability of an NFT collection among buyers.

One of the most critical factors is the reputation of the artist, creator or brand behind the collection. Established artists and creators with a large following and proven track record of producing high-quality work can generate a lot of interest in their NFT collections. However these following factors play a role in the popularity of an NFT collection:

  • Unique and visually appealing designs: NFT owners are often drawn to collections with distinct and visually stunning designs that stand out from other collections.
  • Limited availability: Collections that are limited in quantity or have exclusive drops are often more sought after by owners as it creates a sense of urgency and exclusivity.
  • Celebrity endorsement: When a celebrity or well-known figure endorses or creates an NFT collection, it often generates significant attention and interest from their fan base.
  • Established community: Collections with an established and active community of collectors and supporters tend to be more popular as it creates a sense of community and belonging for collectors.
  • Utility or functionality: NFT collections that have a unique utility or function, such as providing access to exclusive content or virtual worlds, can be more desirable to collectors. The utility can also be a gaming experience which engage the user on a deeper level with the creator or a brand for example.

Why creating NFTs for a brand?

Creating digital assets for a brand can provide several benefits, such as generating new revenue streams, increasing brand awareness, and engaging with the community. Non-Fungible Tokens also allow brands to offer unique and exclusive experiences, products, or services to their customers, which can increase loyalty and retention. More than that, using blockchain technology can ensure brands the authenticity and provenance of their products and protect their intellectual property rights.

Read more: 6 mistakes a brand must avoid when launching an NFT collection

Benefits of Non-Fungible Tokens for businesses

NFTs offer several potential benefits for businesses and brands, including creating new revenue streams and monetizing digital assets. Businesses can also use an NFT activation to increase engagement and build a community around their brand. This can happen through rewarding fans and building loyalty with the limited edition digital collectibles or access to exclusive experiences. It is particularly useful for brands which have a strong online presence and social media.

Non-Fungible Tokens provide a way for businesses and brands to prove authenticity and ownership of their digital assets. This is particularly useful in industries where intellectual property rights are important, such as in luxury.

NFT landscape

The NFT landscape has rapidly evolved and expanded in recent years, with new use cases and types of unique digital assets emerging all the time. Initially, NFTs were primarily used for art and collectibles, but now they encompass a vast array of digital assets, including media, gaming, sports, even virtual real estate.

As more brands and celebrities enter the space, we can expect to see even more diverse and creative use cases for Non-Fungible Tokens. The development of decentralized marketplaces and infrastructure has made it easier for creators and collectors to buy, sell, and trade NFTs, further fueling the growth of this landscape.

The different Blockchain to mint NFTs

There are several blockchains that support the creation and minting of NFTs. Here are some of the most popular ones:

  • Ethereum: It is currently the most popular blockchain for Non-Fungible Tokens. It has been the go-to platform for creating and selling Non-Fungible Tokens since the birth of the concept. It offers a robust and flexible smart contract infrastructure that enables the creation and transfer of unique digital assets.
  • Binance Smart Chain: This one is a relatively new blockchain that has gained popularity among NFT creators and collectors. It is known for its low transaction fees and high speed, which makes it an attractive alternative to Ethereum.
  • Flow: It is a blockchain specifically designed for Non-Fungible Tokens and gaming. It is the blockchain behind NBA Top Shot, a popular platform for buying, selling, and trading basketball NFTs.
  • Polygon: Formerly known as Matic Network, is a Layer 2 scaling solution for Ethereum. It offers faster and cheaper transactions than the Ethereum mainnet, making it an attractive platform for minting and trading Non-Fungible Tokens.
  • Tezos: This blockchain focuses on governance and self-amendment. It offers an easy-to-use smart contract language and a flexible governance model that makes it a suitable platform for NFTs.

These are just a few of the many blockchains that support the creation and minting of NFTs. Each blockchain has its own advantages and disadvantages, and the choice of which one to use ultimately depends on the specific needs of the project, brand or creator.

Most popular NFT marketplaces

When it comes to purchasing those digital assets, businesses can buy and sell them on various NFT marketplaces, such as OpenSea, Rarible, SuperRare, Foundation or  Blur. These marketplaces offer a range of unique digital assets at different price points, making it easy for businesses to find digital assets that align with their needs and budget.

OpenSea is one of the largest NFT marketplaces, offering a wide range of Non-Fungible Tokens across different categories such as art, music, and gaming. Rarible is another popular platform that allows users to create, buy, and sell Non-Fungible Tokens easily. SuperRare is known for its curated collection of high-quality digital art, while Foundation is popular among artists and collectors for its unique auction model.

What is the most expensive NFT?

Until the end of 2021, Beeple’s “Every day” artwork was the most expensive NFT art sold, but that title was later claimed by Pak’s “The Merge” which was sold on Nifty Gateway for an incredible $91.8 million. What sets “The Merge” apart is that it was not purchased by a single buyer, but rather by 29,983 individuals who bought a total of 312,686 coins that represent the Non-Fungible Token.

The Merge Pak NFT
The Merge Pak NFT

What is the most successful type of NFTs?

This depends on various factors such as the popularity of the collection, the reputation of the creator or brand, and the demand from buyers. However, some of the most successful Non-Fungible Tokens are gaming items and Utility NFTs.

Artworks, collectibles and sports-related NFTs were the most profitable before the end of 2022. However, the latter have seen high sales and demand in recent years, but new trends are emerging, including utilities .

Will Non-Fungible Tokens last?

NFTs are here to stay, as they offer a new and innovative way to create, own and trade digital assets. They provide a new revenue stream for creators or brands while giving owners a new way to invest in unique assets.

Currently, the market is cooling off as the novelty wears off. With utilities and new usages of digital assets popping, the point is to witness how big their impact will be on the digital landscape.

Creating and purchasing Non-Fungible Tokens

To create an NFT, brands can work with a blockchain developer or use a platform that simplifies the process. However, the best option is to rely on the platform METAV.RS. It is an end-to-end SaaS solution to allow brands to create their own story through Non-Fungible Tokens and the Metaverse.

What is to come with NFTs?

NFTs are a new and exciting technology offering businesses a range of various benefits. From creating new revenue streams to increasing engagement and building a community around their brand, Non-Fungible Tokens have a lot to offer. By experimenting  the use of them, businesses can unlock new opportunities for monetizing their digital assets.

Check out our content on this topic or get in touch with us to learn more about NFTs and how they can benefit your business.