When you are done reading this article, you will understand NFTs, blockchain, and cryptocurrencies and how they can affect you and your business.
Everything You Need to Know About Cryptocurrency and NFTs
Are you still in the dark as to what NFTs are?
Still don't know what NFTs are? Why does everyone seem to be obsessed with them?
When you are done reading this article, you will understand NFTs, blockchain, and cryptocurrencies and how they can affect you and your business. You will see why you should pay attention to them because these digital currencies are here to stay and can change the way music, media, intellectual property and property are managed.
- What is an NFT?
- How to Know If An NFT Is Real?
- How Does Blockchain Influence?
What is an NFT?
An NFT is a non-fungible token. A non-fungible token is described as "the use of relatively nascent technology that certifies the authenticity and ownership of a token through a digital ledger of all its past transactions." In other words, a blockchain, which is the backbone of the cryptocurrency.
What this means is that any object can be "wrapped" in a digital package and authenticated with a unique signature that certifies its authenticity and rarity.
What it means to you is that you have the opportunity to certify that a unique object or work of art is authentic. Can be used for any alarm for easy transfer of ownership. There are an infinite number of applications for NFT.
This technique is gaining enormous popularity because it is so flexible in determining and proving ownership of an asset.
The digital world is exactly like the physical world in that certain things are more valuable than others. It is also a medium for great creativity. The entire music industry has moved into the digital world.
Traditional record stores are rare because it is not a convenient way to test music, but with digital platforms like iTunes and Spotify it is very easy to try and download whatever you want instantly.
The rules that govern property in the physical world do not apply in the digital world. Creators of physical things have been at risk in the digital world because it's easy to copy anything.
How to Know If An NFT Is Real?
NFTs are a digital version of the property.
The word "non-expendable" means one of a kind. On the other hand, the most expendable thing in the world is a US $ 100 bill. If you look at world trade, 85% of all transactions are in US dollars because it is fungible. With $ 1 you get something, no matter where you are.
Non-expendable is the opposite because there is only one of them. You may have copies, but ownership resides with one person.
Here's how digital artist Beeple sold his NFT at Christie's for $ 69 million.
How Does Blockchain Influence?
Without blockchain, you don't have tokens or non-fungible assets because you can't prove who the owner is. The blockchain is absolutely crucial. You had to have it in the digital world or there would be chaos because you would have no way of proving the authenticity of a "unique".
In accounting, we use a dual accounting system that determines where the money comes from or where it is spent. All transactions of a company are tracked. In blockchain, there is a unique address that determines where something came from and where it is going. That blockchain is replicated and thousands or even millions of computers, so it cannot be faked. One of the reasons cryptocurrency is so powerful is because neither it nor the black chain where all records are kept can be easily faked.
Some of the practical applications are if you own a digital asset, there is now a mechanism where you can set up a rule on the blockchain to monetize contracts.
For example, every time someone views a piece of art, the owner could get a fraction of a penny per view. If someone listens to a song that is owned by someone, he receives a fraction of a penny. A digital contract governs the rules and makes this happen automatically.
For a creator, this is a gift from heaven. If a digital artwork is embedded in the wall of a museum or website, or a service like Apple Music or Spotify triggers a listening event, a smart contract can be set up to schedule a daily payment directly into your bank account. That means no more shenanigans and manipulations that have taken place since the dawn of time in the world of music, film, literature, or art.
Let's say you are a music artist or any kind of creator of intellectual property. You can go digital and say, “I'm looking for partners. I'm going to create something that you can invest in. "On the blockchain, every time someone reads it, they'll pay you. You basically become a business owner.
This is going to turn the entire money-raising world upside down. You could build this mechanism to pay your partner's dividends and it won't go through Wall Street anymore. This will eventually happen to practically everything.
I think it will change the licenses, patents, ownership and use of computer and music software.
There is also the Second Earth. The best way to describe it is that they have divided a digital version of the Earth into trillions of squares where property can be purchased. What does this mean and why is it important? I recently bought a “land” that my son told me about and its value increased 20% in one week. People are going crazy buying virtual real estate right now.
Why should you care? Because virtual real estate, virtual billboards, advertising and games are going to start using the properties. You will be able to play games on "Earth" that you can see through augmented reality glasses or virtual reality in real life.
These are universally accepted properties in which "Applications" will be built and in the very near future with augmented reality glasses (which are just around the corner) instead of putting billboards on physical streets, there will be virtual billboards on the streets. that will be able to LEASE. Anyone wearing glasses will see them, but they will not exist in the physical world. No pollution advertising.