What is NFT

What is NFT? Let's Get To Know How It Works

What is NFTWhizmates, a few days ago, the name Ghozali became a trending topic on Twitter. This happened after Ghozali's collection of selfies collected over five years was sold as Non-Fungible Token (NFT). In fact, one of Ghozali's photos was sold at the highest price of 66,346 RH or Rp. 3.1 trillion.

Wow, anyone want to buy it? Turns out there are! 

So, this NFT is really being talked about because the selling value is very high. In addition, NFT is also expected to become a digital asset trend in the future, you know. But, what exactly is NFT? Then how does it work? Well, let you not out of trend, the Whiz Financial Application has an explanation for you.

Also Read: 7 Ways to Save on Clothes Shopping, No Worries!

What is NFT?

NFT or Non-Fungible Token is a digital asset that is connected to the system blockchain, a kind of digital ledger similar to a network that supports Ethereum, Bitcoin, and other cryptocurrencies.

What is NFT

Quoted from bbc.com, NFTs are assets in the digital world that can be bought and sold like property, but have no tangible form. The digital token is considered a certificate of ownership for the virtual asset.

It's easier, when you buy land or shares. You will definitely need a certificate to show your ownership. With NFT, when you buy a digital work, you will get a line of code that runs automatically on the blockchain. It also shows that the digital work is authentic or genuine.

How Does NFT Work?

Paintings such as the Mona Lisa are invaluable because there is only one original type of painting in the world. However, digital works, such as photos, animations, videos, etc., can be easily duplicated or copied.copy. 

NFT is here as a solution to ensure the authenticity of digital works, validate ownership of digital works, and appreciate the value of digital works. You can tokenize your digital works by connecting them to blockchain. The network that is commonly used in NFT is Ethereum. 

When NFT is encrypted in blockchain, then the registered work cannot be replicated or duplicated. Now, with NFT, digital artwork can be made "tokens" in the form of digital ownership certificates. Then the tokens can be traded and guaranteed authenticity.

What's in the NFT Marketplace?

You can't do NFT transactions anywhere, right? There are several international as well as local platforms that can be used to make NFT transactions. Let's see what's going on!

International Marketplace

There are several international marketplaces that you can use. One of them is OpenSea, the largest marketplace with 200 categories and around six million items. In addition, OpenSea can also be used by anyone and combines NFT from other marketplaces.

Besides OpenSea, there is also Rarible. Rarible is a beginner-friendly platform, has royalty options, and items that are cross-listed on OpenSea.

Then, there is Super Rare, which is a marketplace that has a function like a darling art gallery. Not only that, there are many more FYI other international marketplaces, such as Known Origin, Nifty Gateway, and Makerspace.

Local Marketplace

Not only in international circles, now there are many FYI Indonesian youth who created their own NFT marketplace. Some of them are Kolektibel, which is a local marketplace suitable for IBL (Indonesian Basketball League) fans and Eventi that can help influencers interact with their fans.

What is NFC

In addition to the two marketplaces, there is also TokoMall which is the originator of NFT in Indonesia with the concept of being a bridge between the digital world and the real world.

Paras.id is also one of the local marketplaces that offers digital scarcity and permanent ownership and Bliola, which sells products by Balinese artists and incubated by the Denpasar Creative Agency.

Can Children Join NFT?

The answer, of course, is yes! Not long ago, Benjamin Ahmed, a 12 year old boy from London managed to sell his digital work with NFT. Ahmed spends his school holidays creating digital art called “Weird Whales”, which are pixelated whale emojis.

Ahmed's digital works, which totaled 3,400 emojis, were sold for £290,000 or equivalent to Rp. 5.7 billion as NFT.

If you look at Ahmed's case, children can also start creating digital works and selling them with NFT. However, they must really understand and understand the intricacies of NFT well. After that, you can only work in it.

Also Read: Low Financial Literacy? Whiz Is The Solution!

So that's some information related to NFT which is trending in Indonesia. If you are looking for a solution to manage your finances, you can use the Whiz Finance Application, you know. There are so many interesting features that you can use.