Non-Fungible Tokens or what we often hear as NFT are tokens that cannot be exchanged.
NFT is a digital asset that is often used by Artists, Content creators or businessmen to take advantage of selling their art such as images, videos, photos, songs, etc. on OpenSea or other marketplaces with values that cannot be replaced or exchanged. NFT functions as proof of ownership of goods that can be purchased with crypto currency. Each NFT will have transaction record data in the blockchain, the data contains the creator, price, and ownership history
The way NFT works is like we do transactions in general, only through digital platforms or available marketplaces. Not only in the OpenSae marketplace, there are other digital marketplaces such as CryptoPunks and Rarible. The currency used in NFT payments is cryptocurrency, which generally uses Ethereum.
Advantages of NFT
1. NFT cannot be erased, destroyed, or engineered.
2. The level of NFT duplication can be said to be 0, no random person can commit fraud because the unique code is neatly maintained.
3. Artists have a special space to offer their work at a reasonable price. Moreover, works of art do not have absolute value. The more famous the artist, the higher the NFT sold will be.
disadvantages of nft
1. NFT can be stolen. If the marketplace where you bought it closes, there is no guarantee that the assets you own are safe because the assets from NFT are digital assets.
2. NFT Including Speculative Market
3. Not User Friendly