NFT: an ephemeral hype or a big revolution?

Where in history has any other technology achieved a market size of over $10 billion in less than 4 years? Let's face it, what we are experiencing right now is nothing short of historic. So, what is an NFT? Is it a passing fad or a global revolution?

nft

What is an NFT?

NFTs (or Non-Fungible Tokens) are digital assets that represent real objects such as a photograph, a song, a painting, a video game item, etc. To ensure their authenticity, NFTs are always attached to a digital certificate of authenticity.

NFTs are bought and sold on specialized online marketplaces such as Opensea. If you buy an NFT, you obtain an exclusive ownership!

How do NFTs work?

NFTs are unique cryptographic tokens that exist on a blockchain and cannot be replicated. Similar technology used for cryptocurrencies is used to guarantee the uniqueness of each NFT. However, you can freely create, buy and sell NFTs. In a more prosaic way, we can compare an NFT to an authentic piece of art on display that everyone can admire but that is owned by one individual.

We are now witnessing the emergence and democratization of NFTs Marketplaces. Some of the most popular are Opensea, Rarible, Superare and Mintable. It should also be noted that transactions to buy and sell NFTs are typically conducted via virtual currencies (Bitcoin, Ethereum...). These transactions are decentralized and saved on the Blockchain.

NFTs market: a mix of dynamism and trustworthiness issues

For the time being, NFTs are most often associated with pop art, digital sports or gaming objects. These " entertaining " NFTs products have contributed a lot to the dazzling popularity of the concept. But in the coming years, this trend is likely to change dramatically! We will see NFTs being used for important purposes such as data control, identification, certification...

As for the limitations, some investors have concerns about NFTs' reliability. They are concerned about losing their hard-earned NFTs. Despite the fact that NFTs are "immortalized" on the Blockchain, such an inconvenience has already occurred several times. The surging popularity of NFTs and other related technologies suggests a bright future for executives specializing in Blockchain, cryptocurrencies, artificial intelligence and Big Data.

As this industry involves buying and selling operations, there is a growing need for innovative and bold salespeople who are also skilled in using new technologies. If you are interested in such a career choice, you can follow the programs of the American Business School of Paris.

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