SAN JUAN, PUERTO RICO - November 12, 2020 - It stands for non-fungible token, and some have already sold for millions. NFTs are a new kind of collectible, and like any collectable worth owning, their valuation is based on scarcity. NFTs are one-of-a-kind digital assets that can represent anything from art to music, and some speculate they could be the future of collectibles.
NFTs are sold and stored on blockchains, the same technology that powers cryptocurrencies like Bitcoin and Ether. Blockchains record ownership of an NFT once a transaction has settled, and this can’t be disputed, even if the NFT’s original creator wants to reacquire or remove the asset.
These digital assets have existed for some years, but have only recently made headlines. Part of the reason for this is the money now changing hands: an NFT featuring the famous Nyan Cat recently sold for $580,000. Now celebrities and brands are taking notice, including YouTuber Logan Paul, Linkin Park’s Mike Shinoda and the NBA, all of whom have or are planning to offer their own NFTs.
Partyhat Group currently has no stake in NFTs, but is watching the space for further developments.