- 1 NFTs can be sold on online platforms named as a marketplace.
- 2 They are worth a different kind of amount as they are unique in nature.
- 3 NFTs can be the artwork of the people which is supported by Ethereum.
NFT- Non-Fungible Tokens
Is turning digital assets into a kind by creating a unique digital signature that defines the ownership of the user assets which can be bought and sold for real physical money?
In this sense, they are not interchangeable and represent unique assets by the users whereas fungible tokens are exchangeable and can be divided into smaller units to form the same values. And each NFT contains distinguishable information regarding the ownership of the digital assets and who sold it before.
The crypto winter
It is an extended time period of falling prices. Is also known as the bare phase of the crypto market which lasts more than 6 months. The term was used in the year 2018 in the crypto winter which is inspired by the series, The Game of Thrones. And is more like a warning. That is the decrement in the prices, reducing market capitalization, and also decrement in the trading volume.
It lasts from January 2018 to December 2020. The crypto market in the year 2018 was full of ICO which is broadly termed Initial Coin Offers at the same time people instead of projects without the knowledge of it. Which later failed, and disturbed the wealth of the crypto investors. Also, Bitcoin lost half of its Market cap, and the others were dropped.
The long-term crypto winter cleans out the small and young start-ups and also provides an opportunity for the top companies to mature and showcase their products.
The Hype of NFT
Non Fungible tokens have created hype because of which the large no. of new projects have been created. After this, the Image industry faced a large loss because of no buyers in the marketplace.
The NFT is real and the total volume of trading increased by approximately around 704% from the second to the third quarter of 2021. Whereas the chairman of the HYT and co-founder of Origyn stated in an interview that “What is over, which I think is good news, is the NFT hype.” He further added that “My point is, there was some rubbish and that will never come back. So now the need for the serious projects is critical”.
Per Statista, globally, the revenue from the NFT sector is expected to reach US$1,601.00 million in 2023. And it is shown the highest revenue reached in the United States which was about US$ 781,900.00k in the year 2023.
The NFTs sales boosted to $2 billion in the Feb month and this figure made it the best month got the NFT market. The sales were a positive figure that came up after the red hot NFT market. Which was low but is possibly increasing.
Although after the crypto winter, the NFT was continuously affected. But in recent years NFT sales have shown positive figures for the sales. Which were about $2 billion in the month of Feb.
Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.