What is NFT in Simple Words? Best NFT Projects

NFT in Simple Words

An NFT (Non-Fungible Token) is a digital asset that uses blockchain to provide unique identification and proof of ownership of various forms of digital content such as images, videos, audio recordings and other files. What sets NFTs apart from cryptocurrencies such as Bitcoin or Ethereum is their uniqueness and individual value, while cryptocurrencies are fungible and have the same value.

The essence of NFT is to provide uniqueness to digital content, confirmed by the blockchain. Each NFT has its own unique digital code, which is recorded on the blockchain and serves to confirm its authenticity, ownership history and other important information. This allows digital objects to be created and traded as unique and genuine, as well as to track their history and ownership.

NFTs have become especially popular in the arts and entertainment industries, becoming a platform for selling and collecting a variety of digital works and content, including digital paintings, memes, video clips, in-game items and more. The NFT trading process takes place on specialized platforms where people can buy and sell these unique digital assets using cryptocurrency.

Please note that the mere presence of an NFT does not provide copyright or ownership rights to the original content. They serve only to confirm ownership of the digital asset and its authenticity, but do not affect the content itself or its use.

When Did the First NFT Tokens Appear?

The first NFT tokens and NFT platforms appeared in 2017 with the launch of the platform Ethereum and the implementation of the ERC-721 standard. At the time, their use remained relatively unnoticed and NFTs did not attract much public attention.

However, in 2021, NFTs have exploded in popularity and become a phenomenon of mass interest. This became possible due to several factors. First, there has been a growing need for digital assets that can be unique, genuine and have proven value. Second, the Ethereum blockchain and smart contracts provided the infrastructure for creating, recording, and exchanging NFTs.

The arts and entertainment industry has become one of the most active areas where NFTs have seen widespread adoption. Artists, musicians, photographers and other creatives have begun creating and selling their unique digital works as NFTs. Objects such as digital paintings, videos, audio recordings, in-game collectibles and more have become valuable and sought-after assets.

Specialized platforms have been developed where users can purchase, sell and trade NFTs. These platforms provide access to different categories of NFTs and offer tools to verify authenticity and ownership history. Payments for NFTs are typically made using cryptocurrencies, opening up new opportunities for investors and collectors.

Despite their popularity, NFTs have also raised discussions and questions regarding market sustainability, environmental aspects and copyright. Overall, however, NFTs remain an exciting and innovative development in the digital asset space that continues to attract attention and inspire creativity.

How are NFTs Used?

NFTs (Non-Fungible Tokens) have applications in many areas and are used to uniquely identify and exchange digital assets. Their applications are becoming more diverse and attractive. Here are a few ways NFTs are used:

• Art and collecting. NFTs have revolutionized the art world, allowing artists to sell digital works such as nft art, illustrations, sculptures and photographs as unique tokens. Collectors purchase these NFTs to own original and exclusive digital works, support artists, and build valuable collections.
• Music and audio. NFTs provide musicians with the ability to create and sell music, albums, audio recordings and sound effects as digital assets. Artists can create unique releases, rare tracks or exclusive content that fans can purchase through NFTs. This allows musicians to establish new monetization models and engage in direct interaction with their audience.
• Video games and virtual worlds. Virtual worlds and games use NFTs to create and trade unique in-game items, characters, real estate and other virtual assets. Players can purchase, sell and collect these NFTs, giving them the opportunity to participate in the game's economy and differentiate themselves from other players. It also allows game developers to create limited edition digital items that may have rare or collectible value.
• Virtual real estate and worlds. With the use of NFTs, there are opportunities to create and sell virtual plots of land, houses, offices and other virtual real estate. This opens up new avenues for the development of virtual ecosystems and the creation of digital worlds where NFT owners can interact and transact virtual assets. It also provides the ability to create virtual spaces for events, exhibitions and social gatherings.
• Fan art and curiosities. NFTs have also become a platform for selling and collecting fan art, memes and other popular digital content. This allows content creators to monetize their creative works and offer unique and limited editions for fans. Fans have the opportunity to support their favorite creators and own exclusive digital items related to their passions.

These are just a few examples of how NFTs are used in various industries. As technology advances and interest in digital assets increases, the use of NFTs is expected to continue to expand and attract more innovation and opportunities.

Although NFTs are used in many areas, their use is still actively evolving, and the opportunities for using NFTs will only increase in the future. This technology enables the creation of unique, digital assets and provides new ways to own, sell and collect digital content.

NFT — How to Create?

NFT creation — a process that allows you to personalize your digital content and register it on a blockchain platform. To do this, you will need to follow a few important steps:

1. Choose a blockchain platform. There are several blockchain platforms such as Ethereum, Binance Smart Chain, Flow and others that support the creation and trading of NFTs. Choose a platform that suits your needs and requirements.
2. Create a wallet. To work with NFTs, you will need a wallet that supports the chosen blockchain platform. Create a wallet and store your private keys in a safe place.
3. Get cryptocurrency. To create an NFT, you will need cryptocurrency, which you can use to pay fees and commissions on the blockchain platform. Purchase the necessary cryptocurrency through exchange platforms or cryptocurrency exchanges.
4. Select a marketplace or platform. There are specialized marketplaces and platforms such as OpenSea, Rarible and others where you can create and list your NFTs. Register with your chosen platform and familiarize yourself with their tools and functionality.
5. Upload your digital content. On the platform, you will be able to upload your digital content, be it an image, video, audio recording or other format. Provide a title, description, keywords, and other relevant information about your NFT.
6. Set your options and create your NFT. Choose the parameters of your NFT, including the number of copies produced, price, license type, and other additional terms. Some platforms also allow you to set up royalties or commissions on subsequent NFT sales.
7. Submit the transaction. After filling in all the required data and verifying the information, submit the transaction to the blockchain platform. You may be required to confirm the transaction and pay fees associated with the blockchain network.
8. Share and promote your NFT. Once the transaction is successfully submitted, your NFT will be created and registered on the blockchain. Get a unique ID for your NFT and actively share it through social media, communities and other channels to attract potential buyers and collectors.

Each blockchain platform or marketplace may have its own specifics and requirements, so it is important to review the instructions and guides provided by your chosen platform for more specific information about the NFT creation process.

Best NFT Projects

• CryptoPunks — is an outstanding and original NFT project, widely known for its collection of 10,000 unique pixel characters. They have become coveted by collectors and NFT holders, with trade reaching impressive amounts.
• Art Blocks — is a platform where artists create exceptional digital works of art that are later turned into NFTs. There is a wide range of styles and formats available, including static images and generative art.
• NBA Top Shot lets you collect and trade digital highlights from National Basketball Association (NBA) games. Users have the opportunity to own and trade video clips that capture exciting game moments, bringing fans closer to their favorite teams and players.
• Decentraland — is an innovative virtual world built on the blockchain, where participants have the opportunity to purchase and sell virtual plots of land, develop and trade digital items, and interact with other users in this digital space. This unique project combines blockchain technology with virtual reality, creating a new form of social and economic interaction.
• Bored Ape Yacht Club: Bored Ape Yacht Club (BAYC)—is a collection of unique characters in NFT format, each with their own unique visual characteristic. Owners of Bored Ape receive exclusive access to private chats, special events and other benefits, creating a unique community and an elite ecosystem around this collection. Bored Ape Yacht Club combines art, collecting and a unique community, attracting the attention and interest of collectors and NFT enthusiasts from around the world.
• Axie Infinity — is a unique game developed on the Ethereum blockchain where players enter a world of gathering, training and combat with the help of unique digital creatures called Axies. Each Axie is a non-fungible token (NFT) with unique characteristics and abilities, making them valuable and interesting to collectors and players. The Axie Infinity platform allows you to sell and trade Axies, creating a dynamic and economic ecosystem within the game. This project is one example of the many and exciting NFT projects and collections out there, and it's important to consider that their popularity and success may change over time. When choosing a project, you should pay attention to your own interests and preferences, conducting research and evaluating the opportunities they offer.

NFT Games

There are a huge number of exciting games on the market today that are based on innovative NFT technology. These games offer players unique and immersive gaming experiences, as well as the ability to collect and trade digital assets. Here are just a few popular examples of games that make extensive use of NFTs:

• “Axie Infinity”. Built on the Ethereum blockchain, this game allows players to own and battle unique digital creatures known as “Axies”. Each Axie is a unique NFT token with its own characteristics that influence the player's gameplay and strategies. Players have the opportunity to collect, train and equip their Axies, as well as participate in battles and tournaments, creating a dynamic and exciting gaming community.
• “Crypto Kitties”. “Crypto Kitties” —is a unique collection game built on the Ethereum blockchain, where players are immersed in the world of breeding and collecting digital cats. Each cat represents a unique NFT token with individual genetic characteristics that determine their appearance and behavior. Owners can purchase, sell and trade these digital cats, creating unique combinations of genetics and becoming part of this popular collectible game. “Crypto Kitties” offers a fun and immersive experience where collecting cat NFTs becomes a key element of the gameplay.
• “Gods Unchained”. “Gods Unchained” —is a unique collectible card game where players can collect and battle non-fungible tokens (NFTs) in the form of cards depicting gods and creatures from a fantasy world. Each card has unique abilities and characteristics, allowing players to develop and implement different strategies in game battles. “Gods Unchained” offers an immersive gaming experience where collecting and using NFT cards become key factors to achieve success in the game. Be a part of this unique collectible card game and battle other players to become the supreme god in “Gods Unchained”.
• “The Sandbox”. “The Sandbox” —is a unique virtual metaverse built on the blockchain where players can develop their creativity by creating, trading and interacting with non-fungible tokens (NFTs) in the form of objects. In this immersive virtual environment, players have the opportunity to bring their ideas to life, build unique virtual worlds, place objects and interact with other participants in this virtual ecosystem. “The Sandbox” offers not only a platform for developing creativity, but also the opportunity to create virtual businesses and enjoy a unique experience in the world of NFTs and virtual reality.
• “Decentraland”. “Decentraland” — is a virtual metaverse where players own plots of virtual land in the form of non-fungible tokens (NFTs). In this immersive virtual world, users have the opportunity to create and customize their own virtual environments, bringing their creative ideas to life in digital reality. By owning plots of land, players can build and customize virtual spaces, host events, interact with other members, and even trade their NFT assets. “Decentraland” offers an immersive experience where users can live out their virtual fantasy and create their own unique digital world.

This is just a small portion of the NFT games currently available. Every day new projects and opportunities appear, expanding the boundaries of the gaming world and allowing players to immerse themselves in unique and exciting virtual adventures.

Where Can You Purchase NFTs?

There are several platforms where you can find and purchase non-fungible tokens (NFTs) — unique digital assets. Here are just a few of them:

• OpenSea. It is the leading NFT trading platform where you can find a wide selection of digital items including art, music, videos, games and more.
• Rarible. This platform allows users to create, sell and buy NFTs. Here you will find a variety of collectibles and can participate in the process of creating your own NFTs.
• SuperRare. It is a dedicated digital art platform where you can find unique and exclusive digital works from talented artists.
• NBA Top Shot. This platform offers collecting and trading of digital highlights from National Basketball Association (NBA) games.
• Mintable. It is a platform where artists and content creators can create and sell their own NFTs. Here are the different categories of digital assets.

Of course, these are just some of the popular platforms where you can purchase NFTs. It is important to ensure your safety, ensure the authenticity of assets and do your own research before making a purchase on any of these platforms.

Star NFTs

In the world of NFTs, collections and projects representing stars and celebrities are flourishing. These big names are creating unique digital assets, be it trading cards, artwork, videos or music, available in NFT format. Fans can own these stellar NFTs by owning exclusive digital items related to their idols. But this is not the only role of celebrities in the NFT world. Many of them also create their own NFT projects, where they offer their unique digital collections, merchandise or access to exclusive content. As a result, fans get the opportunity to enjoy not only the creativity of celebrities, but also become part of their digital world, surrounded by unique digital assets.

Here are some unique examples of celebrities who are actively involved in the world of NFTs or have created their own projects in this area:

• Shakira. Famous singer Shakira released her own NFT collection called “Shakira In NFTs”. In this collection, fans had the opportunity to purchase unique digital items, including exclusive photos and videos.
• Tim Berners-Lee. Known as the creator of the World Wide Web, Tim Berners-Lee auctioned the original source code of the World Wide Web as an NFT. This was a significant event in the world of NFTs and internet history.
• Greta Thunberg. Swedish activist Greta Thunberg used NFTs as a means of raising funds for her charity. She created a series of NFT images that were sold at auction, with funds going towards supporting the fight against climate change.
• Lily Collins. Actress and model Lily Collins announced the release of her own NFT collection as part of the project “Lily Collins Genesis”. The collection featured digital art created by Lily herself, as well as exclusive content and merchandise.
• Leonardo DiCaprio. Famous Hollywood actor Leonardo DiCaprio announced the creation of his own ecological NFT collection called “The Eco-King”. This collection featured digital artwork and other environmental initiatives.

These are just some examples of celebrities who are actively involved in the NFT world and using it in their projects. Every day, more celebrities are joining this trend, opening up new possibilities and uses for NFTs.