Web3 is an often confusing world full of new terms. However, this does not mean that it is impossible to understand its intricacies. We tell you everything you need to know about NFTs to join the community. If you enjoy feeling adrenaline, you can always test your luck by joining Hellspin Casino and feel another life of digitalization.
The gaming landscape is undergoing a significant transformation fueled by blockchain technology. At the forefront of this change is the convergence of NFTs and Web3, ushering in the era of Web3 gaming. This new paradigm is shaking the foundations of traditional gaming by empowering players with true ownership of in-game assets.
What is NFT?
NFT (non-fungible token or non-fungible token) is a record of a unique object in the digital space. It is stored on the blockchain. At the moment, the most popular use of NFTs is to confirm ownership of a digital asset (picture, video, text) for subsequent resale at a higher price. However, in the future, the technology may be useful in more useful areas. It can be found in driver’s licenses, birth certificates, and other digital documents.
To simplify it, an NFT is a confirmation of the uniqueness of something on the Internet. It allows us to say that it is exactly that picture or that video, and not one of countless copies. The whole concept is reminiscent of certificates of authenticity for paintings by famous artists but in the digital world. This is what people give money for.
Crypto wallet
A crypto wallet in this case is the place where the NFT you purchased or created will be stored. Any of the well-known wallets is suitable for these purposes. It is worth considering that there are both multi-currency and single-currency options. Typically, in the descriptions of platforms for buying and selling non-fungible transformation tokens, which network the NFT is located on.
ERC-721
According to analytics company Nansen, the most stable tier for NFTs is still Ethereum. Even despite its high fees, which we are still talking about in this article. The standard for non-fungible tokens in the Ethereum network was developed in 2017, ERC-721. It was with him and the game CryptoKitties that the NFT fever began. The main difference between ERC-721 and standard ERC-20 tokens is non-fungibility or, more simply put, uniqueness. While Ethereum coins are random to each other, NFTs on Ethereum are not.
Since Ethereum is an open-source project, any user can propose a new standard or improvement for the network. It could later become a weakness. This is exactly what happened with ERC-721, which became part of Ethereum a year after its creation.
Cryptoart
Crypto art refers to any work created for sale in the NFT format. It so happened that in the fine arts, the revolution began to correspond to the trend associated with this industry. Because of this, it is now possible to determine that a particular painting is being sold as an NFT simply by looking at it. Traditionally, crypto art consists of bright, catchy pictures that catch the eye either by their scale or by their content.
Generative art
Generative art is images and videos created by a computer with human participation. They occupy a special place in the world of crypto art. The geometric development of artificial intelligence allows artists to find a new place for self-expression: neural networks. Computer algorithms are used, and the author sets new parameters step by step to obtain the desired result. Artificial intelligence is responsible for the visuals. Such images are highly valued in the NFT market, as the personification of the symbiosis of man and computer and the first step towards the full automation of the future.
Whitelist and pre-sale
It is almost impossible to buy a large NFT project at a low price at the start. Those who want to do this ten or even a hundred times more than the actual tokens. This is why whitelists appeared. Essentially, being whitelisted gives you the right to mint an NFT of that project at a minimum set price as part of a pre-sale. Each community has its own rules, but usually to enter the list you need to promote the project on social networks and show yourself as an active participant in events.
Mint
For your file, be it a picture, video, or something else, to become an NFT, it must be minted. It creates a corresponding record on the blockchain. It is after the mint that a unique token is created that has value.
Drop
Drop is a specific date and time for the release of one non-fungible token or an entire collection. This is usually preceded by warming up the audience, purchasing advertising, and using other tools to attract attention.
Swap
A valuable NFT can not only be sold for cryptocurrency but also for other non-fungible tokens – such an exchange is called a swap. To carry out a swap, the consent of both parties to the transaction is required.
Conclusion
If someone is willing to start doing or creating something new, there should be lots of information read. Tons of experience, whether it will be bad or good, should be achieved. Only after hard work, you will be able to feel like a shark in a deep deep ocean.
