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Writer's pictureSaxon Tang

What on earth is NFT? It's valued as $69.3M

Updated: Sep 28, 2021

The most expensive NFT artwork ever was sold for US$69.3 million (approximately HK$539 million) at Christie’s in March 2021, which is the first time that the venerable auction house has ever sold a digital artwork.


(The most expensive NFT artwork: "Everydays - The First 5000 Days" by Mike Winkelmann, known professionally as Beeple)


NFT (non-fungible token) is a unit of data stored in blockchain, which can represent unique digital items such as artwork, music and copyright, and is a non-interchangeable encrypted token. By uploading a file to the NFT auction market, a copy of the file recorded on the distributed ledger will be created as NFT. Buyers can use cryptocurrency to buy and resell, and register the ownership of various digital items on blockchain in the digital world. Such ownership information is NFT. This emerging market allows artists to sell NFTs representing their works, but still retain their copyrights.



NFT has become a guarantee mechanism to ensure the uniqueness of encrypted artworks, and has also raised the awareness and appreciation of digital art. It is therefore regarded as a new category worthy of investment.


About NFT:

  • Every NFT must have an owner and this is of public record and easy for anyone to verify.

  • NFTs are compatible with anything built using Ethereum. For example, an NFT ticket for an event can be traded on every Ethereum marketplace, for an entirely different NFT. A piece of art can be traded for an event ticket.

  • Content creators can sell their work anywhere and can access the global market.

  • Creators can retain ownership rights over their own work, and claim resale royalties directly.

  • Items can be used in various ways. For example, you can use digital artwork as a collateral in a decentralised loan.

Source:

ethereum.org, Wikipedia





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