The union between blockchain and digital art is a match made in heaven. Their darling child is a new type of asset known as non-fungible tokens, or NFTs for short. In the first half of 2021, NFTs have generated $2.5 billion in sales, up exponentially from the $13.7 million in 2020. When “EVERYDAYS: The First 5000 Days” became the first purely digital art piece to ever be auctioned by a major house, it sold for $69 million. “Crossroads,” a 10 second video clip, sold for $6.6 million last February. Most collectors of NFTs are using the art as an investment, hoping the value will increase over time. Let’s learn the basics of NFTs.
What is the Appeal of NFTs?
Digital files can be copied and downloaded by anyone, so why attempt to own one? The secret lies in the blockchain element of an NFT. Digital keys secure NFTs using the same technology that allows cryptocurrency to operate.
