What is an NFT?
In simple terms, NFT is a digital asset that is rare, unique, and appreciates over time in value as you trade or auction. It is an asset deemed as a “collectible.” NFT stands for Non-Fungible Token; it proves authenticity and ownership of the digital goods.
The artwork associated with an NFT is stored on a decentralized file system and gives the collector the value of owning a unique collectible that no one else in the world has.
It is also traceable on the Blockchain, which is an immutable decentralized ledger of information.
Once created, the artwork starts its life on the given blockchain, where a fan or collector can purchase it and where it can be subsequently exchanged, traded, or held by collectors like any other rare artifact.
When an NFT is sold, it is directly transferred to the buyer’s wallet, while the corresponding price in cryptocurrency is moved to the seller’s wallet.
Thanks to the blockchain, each transaction is cryptographically secured and peer-to-peer, meaning neither the funds nor the asset is ever held by the gallery or any other third party.
This uniqueness is what gives NFTs their impressively high values, which saw digital art by artists Beeple to Justin Lau to be sold for millions of dollars.
Every day artists and collectors trade NFTs they own and make millions of dollars in the western countries. This is why both fans of an artist, as well as crypto art collectors, buy and store them up as high-value items.
NFTs have their place in the history of blockchain as well as the world of art, and this exclusive 1/1 artwork by Bollywood’s premiere legend will go down in history as the first high profile NFT to come out of India.
Do you want to make it big in India?Own an NFT