An NFT is like buying a car…
When you buy a car, you get a title that legally states you are the owner right? That transaction requires two things:
title = your identity + the car’s identity
You have to register your car…
All of these titles are being stored by the government to ensure that they don’t get lost. This way, if someone steals your car, you have proof that it is yours. If you want to sell your car, then that title is then transferred to the next owner.
Easy concept right?
Cryptocurrency is like your local DMV
Now, imagine this. You buy a new car. Instead of battling the DMV to get it registered, the transaction is simply published to a public ledger that everyone in the world can see. Now your title is published in a public place forever.
Its really easy to prove that you are the owner now right? That is how this cryptocurrency works, it’s called Ethereum.
An NFT is like the title for your car
NFT is simply a way to claim ownership of creative content. By owning an NFT, you have the title that claims that you are the owner.
Imagine the creator of the smiley face wanted to sell the rights to it. You buy his NFT. (nice one!) From now on, no matter how many times people use that image across the internet, you are the true owner of it. Do as you will.
Ethereum, it’s safer than using your Social Security Number
The public ledger never contains your personal information. It is simply a list of numbers. Rather than using your name to sign the title, you have a unique number, called a wallet.
It’s a little weird to think about but your wallet is not only your ID but also quite literally, what you use to pay for it.
Make sense?
An NFT can never get lost
When an NFT is posted to be sold, the item is assigned its own unique ID, just like the VIN number on your car. Once you own it, you can choose to sell it again and all of these transaction will be recorded to the public ledger.
No matter how many times an NFT has been sold, all transactions are tracked in the public ledger forever.
So much room for activities!
A lot of people see the concept as a novelty, but it’s a technology that offers so many opportunities. And there have been some weird ones! From NBA stars selling their own video footage to famous memes being sold, people continue to find ways of bringing innovation beyond novelty.
That’s why we started this project.