Definition

Non-Fungible Token. A unique digital asset stored on a blockchain that represents ownership of a specific item such as digital art, music, collectibles, virtual real estate, or other media.

Why It Matters

NFTs have created new models for digital ownership, creator monetization, and verifiable scarcity, with applications beyond art including gaming, identity, and real estate.

Example

An artist creates a digital painting and mints it as an NFT on Ethereum, selling it on OpenSea for 2 ETH.

Related Terms

Token
Ethereum
Web3
Digital Ownership