NFTs As New Forms Of Investment

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Report Thread starter 4 months ago
Is anyone familiar with non-fungible tokens? Can anyone start investing in it? And what is the difference between NFTs and cryptos?
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Report 4 months ago
Yes anyone can invest in NFT's but they are very speculative at the moment. NFT's and cryptocurrencies are similar in a way that you can own both and its yours to keep.

The difference is that NFT's are designed to assign everything a unique ID, so that people can see who owns what. For instance, let's say the Mona Lisa was scanned and put in a digital form. That original scan can be a NFT and has a unique code attached to it that proves it is the original piece. Anyone else can screenshot those scans and claim that it is theirs however the unique code would be prove that the screenshots are not the original. So in very simple terms, it is a way to verify something is yours.

At the moment NFT's in my opinion are used in the wrong way through **** arts and jpegs. The real value of NFT's would start kicking in once they start implementing it to real world problems like having a NFT for the deed of your house to prove that your house is actually yours.

On the other hand cryptocurrencies (in very simple terms) are like owning a share of a company. If a crypto project is solving a real world problem and you own some of their cryptocurrency then you would make profits because the value of their cryptos appreciated. A hypothetical example would be 'company A' solving a real world problem. They will develop cryptocurrencies specific to their company (they are like fuels to an engine). So when people want to use company's A services they would need to pay with the cryptocurrency developed by the company. The more people want to use company A, the higher the price of the cryptocurrency (supply and demand).

This is a very generic brief, there is a lot more information on the internet to have a solid understanding of the whole industry.

Hope that gave you some insights into the industry .

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