NFT: NEXT FUN THING?

NFTs HAVE OUR BOLLYWOOD STARS, MUSICIANS AND ARTISTS ENAMOURED, BUT WHAT ARE THEY?

- Jaishree Kumar

What do Amitabh Bachchan and Sunny Leone have in common? Celebrity apart, they are both profiting off NFTs. While Big B is expected to launch his NFT collection in November, Sunny Leone has launched one already. The answer to the question you’re asking—What’s an NFT, anyway?—is simple and also complex.

An NFT (non-fungible token) is a digital asset. Examples include art, music, memes, video games, and so on. NFTs are bought and sold digitally through platforms like OpenSea, Foundation and WazirX, to name a few. You cannot buy an NFT in everyday currency like rupees or dollars. Every time an NFT is sold, its creator gets paid in cryptocurrency. But unlike cryptocurrencies like Bitcoin that have the same value overall, each NFT represents a unique value. Put simply, if you were to exchange bitcoin with someone else, you can do it easily as they are all replicas of each other, but the same, of course, can’t apply to NFTs.