Content
NFT is not a symbol of a certain project. Like DeFi, NFT is also a subdivision of blockchain technology. If cryptocurrencies such as Bitcoin and Ethereum are more currencies and tokens used for trading purposes, then NFTs are more like corresponding to the concept of assetization in the real world.
The full name of NFT is NonFungibleToken, translated into Chinese is non-homogeneous token, and the corresponding is FT--FungibleToken homogenization token. Ethereum and Bitcoin are common examples of FT. 1 Bitcoin and another The 1 Bitcoin can be replaced with each other, and each NFT has its own characteristics and cannot be replaced with each other.
There is a huge difference between NFT and FT. If you put a bunch of NFTs together, it's like paintings listed in an exhibition, or putting together some pictures with different patterns, colors, and sizes, it's easy to distinguish them. . And if a pile of FT is placed in one place, it is like different sand grains in a pile of sand. The "shape" may be slightly different, but the essence is the same.
Using real-world examples may make it easier for people to understand.
A stack of 100 yuan in face value not only looks the same, but also has the same value. If it is replaced by a stack of tickets, although the holder can be boarded, different tickets correspond to different cabin seats and destinations, and their value is also different, and the holder’s name and identity are marked on the ticket information.
On the blockchain, each NFT has its own unique attributes and numbers, and is inseparable. You can hold 0.1 Bitcoin, but you cannot get 0.1 NFT.
The development of NFT is still in the early stage. NFT wants to obtain a wider range of uses, it is inseparable from the emergence of standard protocols.
Different blockchains have their own different NFT standards. On Ethereum, the common NFT standards are the ERC721 and ERC1155 protocols, while on the WAX blockchain, the SimpleAssets and AtomicAssets protocols are more common. However, the competition between the agreements is far from being a winner.
Similar to the DeFi protocol, the total NFT value of using different protocols will determine which one or several types of NFT protocols are more competitive and easier to produce more uses.