Digital Art NFT has been a rage since Beeple sold a digital art NFT for $69 million as Christie's first NFT auction. Let us first understand what NFT is.
What is NFT?
NFT stands for Non Fungible Token. These are based on an existing blockchain like Ethereum or EOS. Hence they are called tokens. Most of the tokens based on existing blockchain, like BAT and PAX (and there are many more) are fungible which means that they can be mixed together. To illustrate this, if you had 100 BAT and you received another 100 BAT, it would now be impossible to identify which of those 200 BAT were originally yours. Non-fungible means that you can individually identify each token and they cannot be mixed together. NFTs are very small amount tokens that are registered on a blockchain, usually with some asset eg art, music, contract that can be passed around without mixing them together.
Digital Art NFTs are just digital art that have been codified on a blockchain.
Why would people buy digital art NFT?
This a very basic questions. Unlike regular art you cannot display them on your walls (yet, future technologies may make it possible). Another thing is that you can easy download an art from Internet and save it, however legally you may not have a right to own or display them. Digital Art NFTs provides a way to own and display an art with certificate of authenticity. As they are on a block chain you can easily identify how created it and who owned it.
Is digital art NFT worth investing?
This important question is something that each one has to answer for their own. I do not know nor do I claim to know that digital art will increase in value. It may or it may not. You should considering putting your money in digital art knowing that the outcome is binary, either you will make lot of money in future or it becomes a junk. You can create the art knowing the same thing. I think that there may be some value to these art pieces and beauty is in the eye of beholder. So I decided to create some art myself and put them for sale. I will also consider buying digital art NFT in future as my risk tolerance increases.
Do checkout and support my art on rarible.com at https://rarible.com/zoplaska. I will keep updating you guys with how it goes, so watch out this space.
