The most common question I get besides “What is an NFT(Non-fungible Token)?”, is “What’s the point of an NFT if you can make a copy?”
It’s true, I could just take a screenshot or duplicate any of the art works and most digital files online. Well, that’s fine and I can enjoy digital assets that way. But I couldn’t sell it at the value of the original.
This is one advantage of an NFT. Via a blockchain ledger it can be validated as a unique digital asset. Once validated as unique, one can exchange it for an agreed upon value of the original piece.
Logically it makes no sense to be able to own a digital asset that can be copied on a whim but if blockchain can verify it is an original digital asset with its ledger system then the asset can prove its identity and be exchanged for its perceived value.
In the physical world, I can take a photo or screenshot of Leonardo DaVinci’s Monalisa. Print it out and hang it on my wall. I couldn’t sell this for what the original is worth, of course.
If a digital version of the Monalisa was minted as an NFT, by the owner of the piece, one could have a validated digital asset and all the perceived value the original comes with.
The value of collectables and art are subjective in the physical and digital world, but this ledger system gives a digital file authenticity. Blockchain technology and NFT’s extend beyond art and collectables and will touch all industries. This is just where it is showing it self in the main stream.
Hopefully this answers a common question that often blocks people from looking further into blockchain technologies.
🙂