10 Misconceptions Regarding NFTs

Non Fungible Tokens (NFTS) are arguably the most interesting product in the blockchain space at the moment. Since the first-ever NFT, Quantum – sold last year for $1.4 million – was minted by Kevin McCoy in 2014, no one would have predicted, even with the clearest of a crystal ball, that the total value of all NFT transactions would significantly increase by 21,350% to more than $17 billion in 2021, from $82.5 million within the last one year from 2020 – 2021. What is NFT? Non-fungible tokens or NFTs as it is mostly called are unique decentralized tokens stored on the blockchain (mostly on the Ethereum blockchain) and cannot be exchanged with something else like fungible tokens like Bitcoin. They are digital versions of physical assets that can be sold and traded on the public blockchain. There are over 5 million NFTs traded daily under different categories. Some of the categories include music, artwork, collectible items/trading cards, sport, fashion, gaming, memes, and more. Last year, the average price of an NFT rose from around $150 to $4,000 as interest in the digital world of art auctions exploded. To paint a more vivid picture of the burgeoning NFT market, 2.4 million NFT were sold on the OpenSea platform alone, the biggest NFT marketplace, in January. Examples of NFTs include CryptPunk, the popular digital collectibles of unique characters, NBA Top Shot, collectibles of top Basketball videos, collections of digital art...