NFWHAT?

What the heck is an NFT?

To put it in simple words that are not so simple, it is a Non Fungible Token, or a non interchangeable unit of data on a blockchain. It is a way to protect intellectual property and digital property such as collectibles. In 2021 people went crazy with NFT's. Some selling for millions and millions of dollars. Teenagers are making tens of thousands of dollars a week with their digital art.

But what is making these NFT's so collectible and expensive. Its just an image that may vary very little or have a limited amount to be minted. Again, what makes them so expensive? Baseball cards, football cards, pokemon cards, Marvel or DC cards, all of these are the exact same thing but different. You see, most of the collectibles coming out now in NFT form do not have a story, background, or lineage. Just an artist that became popular. Yes it is wonderful that an artist can actually make money from its digital art, but the hype has set prices so high that bring people's expectations into unrealistic situations. The same way investing in a new meme token does, becoming an overnight millionaire.

Most of the NFT's from now will become worthless with time, some will survive, and others will be just like the Ty Beanie Babies phase, a now, very specific niche in the market. Although, the metaverse still has to play out in the long run. By this time, NFT's will be extraordinarily valuable and play an important role here.

But then again, don't think that an NFT is just a digital image. This could also be audio or video, and large streaming companies can take advantage of an NFT smart contract to protect their content, or even, globalize it. You see, Disney Plus and Netflix for example have a specific version for Latin America. Utilizing a blockchain, smart contracts, and minting their material into an NFT could allow for Latin American viewers to have access to American content and vice versa.

To conclude, sometimes older generations really do not understand much of how new tech is moving, and by not understanding, the basic answer is rejection. Try to keep an open mind, for what is being worked on right now on cryptocurrencies and blockchain, is like a black and white TV when it came out. Something amazing, but we don't know color tv's are coming, flat screens, plasmas, LCDs, OLEDs, clear screens. We are just witnessing the beginning of a new digital era. An era in which kids are being taught about finance via games on a cell phone and coins that can be used to buy clothes for an avatar. An era in which a digital finance, collectibles, art, music, and even real estate, could be owned by simple coins on a mobile device.