Non-Fungible Tokens: GIFs being sold for millions?

Your digital existence, in the form of tweets, art, music or literally anything can now be monetized through Non-Fungible Tokens or NFTs, as they are lovingly known.

To be frank, your digital existence has already been monetized and sold off by Big-Tech; but this time, you can reap the dividends. All the cash will (hopefully) go into your pockets instead of the likes of Google or Microsoft.

Jack Dorsey did exactly the same. He sold his very first tweet as an NFT for $2.9 million.

Now you can do the same, provided that you end up building something akin to Twitter so that you can justify the sky-high price of your ‘trolling-expertise’.

The tweet which was sold as an NFT for $2.9 million

Disclaimer

You can sell your tweets if they are witty or funny enough, but this editorial just talks about the economic significance, or insignificance of NFTs. This is by no means a guide to create/buy/sell NFTs. Do your own research. PLEASE. You have been warned.

With that out of the way, let’s get going.

What does an NFT even mean?

Before that, lets understand what fungibility means.

In economics, fungibility is essentially a measure of the interchangeability or exchangeability of assets or liabilities.

Fungibility isn’t a black and white metric and it can’t be classified binarily, it rather exists on a spectrum; with Gold being pretty fungible, cash being fungible to a good extent, cryptocurrencies being less fungible due to their digital traceability and NFTs being NOT AT ALL fungible, unsurprisingly.

Simply put, NFTs are digital collectibles which cannot be exchanged or counterfeited because no 2 NFTs are identical, just like trading cards.

Except that these trading cards are digital, and through some technology (read ahead) you can verify their originality and diagnose whether they’re the real deal or not.