What is an NFT?

Fungible things, like dollars or bitcoins, are interchangeable, while a non-fungible token is one of a kind and cannot be swapped equally for another. NFTs are usually created on blockchains such as Ethereum, where the record of who owns each token is public and hard to alter. The token typically points to a file like an image, video or music track, but owning the NFT does not automatically grant copyright. NFTs boomed in 2021, when a digital collage by the artist Beeple sold at Christie's auction house for about 69 million dollars. The market later collapsed sharply, with trading volumes falling more than 90 percent from their peak.