NFTs are Fast Becoming a Wildfire in the Crypto Community

NFTs are a form of a Crypto asset like bitcoin, only that they contain real assets like art and music and possess no tangible form of their own.

Consequently, because these tokens are non-fungible, it further means they have unique properties so it cannot be interchanged with something else.

Most NFTS are Ethereum-based tokens though a growing number of these tokens adopt the Solana, Binance Smart Chain Blockchain network mainly for authenticity, ownership, and provenance of anything physical such as artwork, collection card.

Data collated from Statista, a top statistics portal, revealed from April 12 to June 15, 2021, the number of sales involving non-fungible tokens (NFTs) in the art sector improved significantly.

As of April 12, 2021, roughly twenty-four thousand NFTs were sold in the art sector alone during the past 30 days. As of June 15, 2021, the aggregated number of sales over 30 days rose to approximately ninety-three thousand.

In contrast to physical pieces of art which can be broken, lost, or destroyed, NFTs cannot be destroyed.

The relative scarcity of some NFTs has really helped some of them appear quite valuable, as clips of NBA star Lebron James dunking are selling for as much as $225,000.

These digital assets are getting more global crypto attention with several websites like NBA Top shot Foundation, Nifty Gateway and Opensea selling these tokens. Also, leading crypto exchanges like FTX now have an NFTs market.

The biggest risk remains its considerably low entry-level as any individual with internet capability can create non-fungible tokens out of literally anything, which often means there are many bad tokens out there that will take a crypto professional to weed out what’s worth collecting or investing in.

In addition, because most of these blockchain transactions are anonymous and irreversible, NFT collectors should take precautionary measures when fulfilling a transaction coupled with using well-known and trusted wallets to associate with your collection of NFTs.