NFTs are Non‑Fungible Tokens.
They are digital certificates of someone's ownership of a physical or digital asset. They come attached to something: a piece of music, art or a file (to name a few) and are totally unique in their digital make-up. Read on to understand what a Non-Fungible Token is, and our favourite artists currently using them to sell their art.
Non‑Fungible = items that cannot be traded with anything else as they are all intimately different ‑ instead they can only be sold or bought as their value is subjective. For example, two houses are for sale; both are houses and may even be the same price and size ‑ but their 'value' is different according to whoever is looking at them - different people may value certain aspects of the houses differently. Compare this to a pound coin: there is no subjective difference in value to 2 different pound coins, making them fungible items.
Token = a signal that they use block chain technology. A simplification of this is that each owner is registered to the asset ‑ even the transactions are registered. This means authenticity can be tracked all the way back to the creator. Perfect for the art world and verify value.
NFTs have gained a lot of press in the recent weeks since artists have been selling them attached to their art, with musicians like Kings of Leon making £2,000,000 on selling their latest album as NFTs - read how they did it here. Special platforms such as Nifty Gateway and Foundation App are dedicated platforms for selling these works ‑ check them out! It's fun.
Essentially, it's all about ownership of an original file. You could screenshot a photo of a digital artwork that someone else owns the NFT too, but you wouldn’t own the artwork itself, would you? The more exclusive something is, the more it sells. With The Music Trip, an artist could sell an immersive VR experience as an NFT, giving their fans the chance to own a virtual experience with an artist - with the ability to sell it on and on according to the perceived value of other buyers. Authenticity of the NFT can be traced through the block chain, and depending on the popularity of the artist at any given time, the price of the NFT would fluctuate greatly.
Here's a bunch of our favourite visual artists on Instagram who create and sell NFTs of their work. Ahead of the curve, and making thousands of pounds through just one sale, we say well done to these digital-savvy creatives!
1. Jeremy Booth
2. Slime Sunday
12. Mad Dog Jones (right)
13. Trevor Jones
14. Boss Logic
So…. When will you start selling your art as NFTs? Get in touch to find out more about how The Music Trip are working with groundbreaking companies to sell 360˚ experiences at NFTs.