Manufacturing Scarcity on the Blockchain
Non-fungible tokens, otherwise commonly known as their acronym NFTs, are digital representations of assets on a blockchain. These assets are unique and not restricted to digital or physical forms.
The term was coined by Larva Lab in 2017, the creators of Crypto Punks (one of the top NFT collections in the world). There are 2 types of NFTs - collections and “one-of-a-kinds”. Some examples of NFTs include collectibles and randomly generated profile pictures (PFP). Recently popular NFTs include Moonbirds; pixelated owl avatars with unique combinations of physical traits.
The most commonly-used blockchain for NFTs is the Ethereum network, where over 90% of NFTs are created. They can be bought on marketplaces, with the most popular platform being OpenSea.
