{"id":59896,"date":"2023-08-09T13:25:40","date_gmt":"2023-08-09T13:25:40","guid":{"rendered":"https:\/\/kinesis.money\/pro\/?p=59896"},"modified":"2024-12-04T13:30:54","modified_gmt":"2024-12-04T13:30:54","slug":"non-fungible-tokens-digital-ownership","status":"publish","type":"post","link":"https:\/\/kinesis.money\/pro\/articles\/non-fungible-token\/non-fungible-tokens-digital-ownership\/","title":{"rendered":"Non-Fungible Tokens (NFTs): Revolutionising Digital Ownership"},"content":{"rendered":"\n<p>No longer a niche concept exclusive to the tech space, the strange and wonderful world of NFTs has expanded way beyond the online space since they were first introduced in 2014.<\/p>\n\n\n\n<p>Non-Fungible Tokens, often referred to as NFTs, are rapidly shifting our understanding of ownership and value as their continue to leave a lasting impact in the art, music and gaming industries.&nbsp;<\/p>\n\n\n\n<p>You might wonder how you could have possibly overlooked the supposed value of a pixelated ape selling for $3.4 million in April of this year. Or maybe, you\u2019ve questioned the mechanics (and reasoning) behind <a href=\"https:\/\/www.marca.com\/en\/technology\/2022\/10\/11\/6345a88ce2704ed4498b45cc.html\">Logan Paul\u2019s small fortune spent on a hand-drawn image<\/a> that shortly plummeted to be worth $10.&nbsp;<\/p>\n\n\n\n<p>With the <a href=\"https:\/\/markets.businessinsider.com\/news\/currencies\/nft-market-41-billion-nearing-fine-art-market-size-2022-1#:~:text=NFTs%20ballooned%20to%20a%20%2441,the%20global%20fine%20art%20market&amp;text=The%20market%20for%20non%2Dfungible,about%20%2450%20billion%20in%202020.\">NFT market worth a staggering $41 billion in 2021<\/a>, the market for non-fungible tokens is catching up with the total size of the global fine art market.&nbsp;<\/p>\n\n\n\n<p>In this article, we\u2019ll ask what an NFT is, uncover the nuances of NFT ownership and explore the relevance of NFTs in the world of art.<\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"137952b605efa315abf1d3ea22a1c01a\" class=\"section-title\">\n\t\t\t<h2 class=\"neutral sm text-brand-primary-midnight-500 !mb-4 md:!mb-6\">What is an NFT?<\/h2>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>An NFT is a unique, one-of-a-kind digital asset that represents ownership of physical or digital items.&nbsp;<\/p>\n\n\n\n<p>In short, \u2018non-fungible\u2019 means that the asset cannot be replaced, one for another. Think of a concert ticket or a rare <em>Pokemon<\/em> card that only comes into circulation once in a blue moon, garnering value from their scarcity, uniqueness of specific attributes and information.<\/p>\n\n\n\n<p>For a more in-depth overview of NFTs, check out this article here: <a href=\"https:\/\/kinesis.money\/blog\/what-is-nft\/\"><em>What is an NFT and where can I get one?<\/em><\/a>.<\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"3bb307c4130aa5230eceaad369574d9b\" class=\"section-title\">\n\t\t\t<h3 class=\"neutral sm text-brand-primary-midnight-500 !mb-6 md:!mb-8\">What do you actually own with an NFT?<\/h3>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>In the world of crypto, owning an NFT means that you are acquiring a unique piece of data linked to one blockchain address. Each token can only ever have one owner, which is secured through ownership information that is available publicly.&nbsp;<\/p>\n\n\n\n<p>Returning to our ape example, the <a href=\"https:\/\/www.cnet.com\/culture\/internet\/bored-ape-yacht-club-nfts-explained\/\">Bored Ape Yacht Club<\/a> is a collection of 10,000 cartoon NFTs may look like a bunch of primates on the surface, but each has features that make them unique as a stand-alone asset potentially worth millions of dollars.&nbsp;<\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"7b4b0582115bdbe05c5afda834a82158\" class=\"section-title\">\n\t\t\t<h2 class=\"neutral sm text-brand-primary-midnight-500 !mb-4 md:!mb-6\">NFT ownership rights explained\u00a0<\/h2>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>To grasp the concept of NFT ownership rights, we should consider:&nbsp;<\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"b28e623c44264ccd32d2859a41f7a697\" class=\"section-title\">\n\t\t\t<h3 class=\"neutral sm text-brand-primary-midnight-500 !mb-6 md:!mb-8\">Confirmation of NFT Ownership<\/h3>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>The blockchain provides unequivocal confirmation of NFT ownership &#8211; each NFT corresponds to a specific blockchain address, with the current NFT owner the individual controlling that address.&nbsp;<\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"87db5ba9e8cc7667a9eb0e141854aec6\" class=\"section-title\">\n\t\t\t<h3 class=\"neutral sm text-brand-primary-midnight-500 !mb-6 md:!mb-8\">Unique Identification<\/h3>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>Every NFT is unique, with specific attributes that set it apart from other tokens such as cryptocurrencies like Bitcoin or Ethereum. These examples are unlike NFTs since they are designed to be fungible and identical &#8211; they can be traded as equivalents.&nbsp;<\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"1549786952576182ce1125c5c6cc3fdb\" class=\"section-title\">\n\t\t\t<h3 class=\"neutral sm text-brand-primary-midnight-500 !mb-6 md:!mb-8\">Transferability<\/h3>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>An NFT owner can buy, sell or trade NFTs on a wide range of platforms, with each transaction recorded on the blockchain. The blockchain offers a clear record of the token\u2019s ownership history.&nbsp;<\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"1909eab1cea017c1c96a9200c9527483\" class=\"section-title\">\n\t\t\t<h2 class=\"neutral sm text-brand-primary-midnight-500 !mb-4 md:!mb-6\">How to Verify NFT Ownership<\/h2>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>Verification of NFT ownership is relatively straightforward due to the permanent and transparent nature of blockchain records. The transaction history of the NFT is available, offering a crystal-clear record of ownership.<\/p>\n\n\n\n<p>Since most NFTs are Ethereum tokens that are securely stored on the Ethereum blockchain. You can verify ownership using <a href=\"http:\/\/etherscan.io\/\">Etherscan<\/a> by entering a public wallet address, transaction hash, block, or token and then viewing the transaction data. You can see who currently owns the token where it reads: \u2018<strong>Tokens Transferred From and To\u2019.<\/strong><\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"b9ce66d42a44dc82342128faffe6823b\" class=\"section-title\">\n\t\t\t<h3 class=\"neutral sm text-brand-primary-midnight-500 !mb-6 md:!mb-8\">What is NFT fractional ownership?<\/h3>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>NFT fractional ownership allows multiple individuals to own a share in a single, high-value NFT.&nbsp;<\/p>\n\n\n\n<p>Th idea of fractional ownership has ushered in a new era of digital asset management, making ownership more accessibility and affordable for a wider pool of investors to own these digital assets.&nbsp;<\/p>\n\n\n\n<p>Fractional ownership also has a role in enhancing market liquidity as the increased volume of transactions facilitates price discovery and can offer a more accurate picture of an asset\u2019s value.&nbsp;<\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"6222ac255f5f4042a7182002cc2224e0\" class=\"section-title\">\n\t\t\t<h2 class=\"neutral sm text-brand-primary-midnight-500 !mb-4 md:!mb-6\">What Are Your Rights &#038; Benefits as an NFT Owner?<\/h2>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>As an NFT owner, you can expect the following:<\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"8238f9aa2fbd27a811af4e2ca1edf463\" class=\"section-title\">\n\t\t\t<h3 class=\"neutral sm text-brand-primary-midnight-500 !mb-6 md:!mb-8\">NFT Proof of Ownership<\/h3>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>Indisputable proof of ownership backed by blockchain technology. The blockchain provides an NFT owner with a transparent and permanent record of ownership, leaving no room for disputes.<\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"aa5e842fdbc0b329eec9ba9b2cc8e2d8\" class=\"section-title\">\n\t\t\t<h3 class=\"neutral sm text-brand-primary-midnight-500 !mb-6 md:!mb-8\">Potential for Profit<\/h3>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>While it is notoriously difficult to predict, NFTs have a potential for profit through sale and trading on the market. These assets can value simply when someone is willing to pay more for them than the previous owner. When considering their long-term value and sustainability, their utility and added perks or feature for NFT holders can increase the value of these tokens over time.<\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"97362489315eb930e80647fa3b06aced\" class=\"section-title\">\n\t\t\t<h3 class=\"neutral sm text-brand-primary-midnight-500 !mb-6 md:!mb-8\">Involvement in the New Economy<\/h3>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>Becoming an NFT owner offers you a unique opportunity to engage in the emerging digital economy. This new landscape is characterized by decentralisation, transparency, and the ability to monetise digital assets.<\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"39dcb2c01ffb5fe6127c232156d08d66\" class=\"section-title\">\n\t\t\t<h2 class=\"neutral sm text-brand-primary-midnight-500 !mb-4 md:!mb-6\">What is NFT Art?<\/h2>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>NFT art is digital artwork transformed into NFTs.&nbsp;<\/p>\n\n\n\n<p>Through blockchain technology, the uniqueness and ownership rights over these digital artworks are preserved, with the token representing a kind of ownership deed much like a traditional art dealer who would authenticate a physical piece of art.<\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"324839c9863e45a1dff648f2af0b983a\" class=\"section-title\">\n\t\t\t<h2 class=\"neutral sm text-brand-primary-midnight-500 !mb-4 md:!mb-6\">Defining NFT Art: What Does NFT Mean in Art?<\/h2>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>In the realm of art, an NFT represents irrefutable proof of ownership that cerfities authenticity &#8211; it cannot be duplicated, replicated or destroyed. (Although, it seems that the value of art knows no bounds, with the dramatic destruction of art, at times, leading to a further increase in sale price, as seen in the case of <a href=\"https:\/\/www.washingtonpost.com\/nation\/2021\/10\/15\/shredded-banksy-painting\/\">Banksy\u2019s shredded painting<\/a>).<\/p>\n\n\n\n<p>This concept not only ensures artists\u2019 rights over their creations but also offers art collectors an avenue to invest in digital art with verifiable provenance.&nbsp;<\/p>\n\n\n\n<p>Needless to say, NFTs are opening up the art industry to new opportunities for expansion, for artists and investors alike.&nbsp;<\/p>\n\n\n<div class=\"ktp-block ktp2_0-block\">\n\t\t\t<div id=\"1cbeb87f60cb4b35b62f342639df9841\" class=\"section-title\">\n\t\t\t<h2 class=\"neutral sm text-brand-primary-midnight-500 !mb-4 md:!mb-6\">Examples of NFT Art<\/h2>\n\t\t<\/div>\n\t<\/div>\n\n\n\n<p>To truly grasp how NFTs are redefining the art world, there are several case studies that prove just how powerful this concept can be.&nbsp;<\/p>\n\n\n\n<p>For instance, notable works such as Beeple&#8217;s &#8220;<a href=\"https:\/\/www.beeple-crap.com\/everydays\">Everydays: The First 5000 Days<\/a>&#8220;, which sold for an astonishing $69 million at a Christie&#8217;s auction, placing NFT art firmly in the mainstream.&nbsp;<\/p>\n\n\n\n<p>Many collections like the <a href=\"https:\/\/www.larvalabs.com\/cryptopunks\">CryptoPunks<\/a> are certainly at the top of the most popular tokens of all time, selling for record-breaking prices again and again. Launched in 2017, this project was inspired by the London punk scene and music artists like Daft Punk. The CryptoPunk #5822 token sold for $23.7 million to Deepak Thapliyal, the CEO of <a href=\"https:\/\/chain.com\/\">Chain<\/a>.<\/p>\n\n\n\n<p>For more examples of the most valuable NFTs of our time, see our article here.<\/p>\n\n\n\n<p>Navigating the burgeoning world of NFT ownership can initially seem complex and overwhelming, but with understanding and appreciation of the potential these digital assets hold, the journey becomes significantly more rewarding.&nbsp;<\/p>\n\n\n\n<p>In the new digital economy, understanding NFT ownership is more than just being ahead of the curve\u2014it&#8217;s about participating in an unprecedented technological revolution.&nbsp;<\/p>\n\n\n\n<p>As more sectors recognise and embrace the potential of NFTs, it becomes increasingly clear that we are just beginning to tap into the vast possibilities that NFTs can offer to the digital world.&nbsp;<\/p>\n\n\n\t\t\t<section class=\"ktp-block ktp2_0-block\">\n\t\t\t<div class=\"\">\n\t\t\t\t<div class=\"ktp-container\">\n\t\t\t\t\t<div class=\"ktp-grid\">\n\t\t\t\t\t\t<div class=\"col-span-4 md:col-span-8 lg:col-span-10 lg:col-start-2  pb-4\">\n\t\t\t\t\t\t\t<div class=\"p-container body-2xs neutral text-brand-primary-midnight-275 \">\n\t\t\t\t\t\t\t\t<p><i data-stringify-type=\"italic\">This publication is for informational purposes only and is not intended to be a solicitation, offering or recommendation of any security, commodity, derivative, investment management service or advisory service and is not\u00a0<\/i><b data-stringify-type=\"bold\"><i data-stringify-type=\"italic\">digital asset or cryptocurrency\u00a0<\/i><\/b><i data-stringify-type=\"italic\">trading advice. This publication<\/i>\u00a0<i data-stringify-type=\"italic\">does not intend to provide<\/i>\u00a0<i data-stringify-type=\"italic\">investment, tax or legal advice on either a general or specific basis.<\/i><\/p>\n\n\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t<\/div>\n\t\t<\/section>\n\t","protected":false},"excerpt":{"rendered":"<p>Non-Fungible Tokens, often referred to as NFTs, are rapidly shifting our understanding of ownership and value as their continue to leave a lasting impact in the art, music and gaming industries.\u00a0<\/p>\n<p>You might wonder how you could have possibly overlooked the supposed value of a pixelated ape selling for $3.4 million in April of this year. Or maybe, you\u2019ve questioned the mechanics behind Logan Paul\u2019s small fortune spent on a hand-drawn image, that shortly plummeted to a worth $10.<\/p>\n","protected":false},"author":45,"featured_media":60048,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":true,"footnotes":""},"categories":[9],"tags":[],"class_list":["post-59896","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-non-fungible-token"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Non-Fungible Tokens (NFTs): Revolutionising Digital Ownership - Kinesis Pro<\/title>\n<meta name=\"description\" content=\"Discover what an NFT is, uncover the nuances of digitial NFT ownership and explore the relevance of NFTs in the world of art.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Non-Fungible Tokens (NFTs): Revolutionising Digital Ownership in 2023\" \/>\n<meta property=\"og:description\" content=\"Discover what an NFT is, uncover the nuances of digitial NFT ownership and explore the relevance of NFTs in the world of art.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/kinesis.money\/pro\/articles\/non-fungible-token\/non-fungible-tokens-digital-ownership\/\" \/>\n<meta property=\"og:site_name\" content=\"Kinesis Pro\" \/>\n<meta property=\"article:published_time\" content=\"2023-08-09T13:25:40+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-12-04T13:30:54+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/kinesis.money\/pro\/wp-content\/uploads\/sites\/3\/2023\/08\/feature-image-non-fungible-tokens-nfts.png\" \/>\n\t<meta property=\"og:image:width\" content=\"960\" \/>\n\t<meta property=\"og:image:height\" content=\"529\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Alex Boast\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"Non-Fungible Tokens (NFTs): Revolutionising Digital Ownership in 2023\" \/>\n<meta name=\"twitter:description\" content=\"Non-Fungible Tokens (NFTs): Revolutionising Digital Ownership in 2023\" \/>\n<meta name=\"twitter:image\" content=\"https:\/\/kinesis.money\/pro\/wp-content\/uploads\/sites\/3\/2023\/08\/feature-image-non-fungible-tokens-nfts.png\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Alex Boast\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"6 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/kinesis.money\\\/pro\\\/articles\\\/non-fungible-token\\\/non-fungible-tokens-digital-ownership\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/kinesis.money\\\/pro\\\/articles\\\/non-fungible-token\\\/non-fungible-tokens-digital-ownership\\\/\"},\"author\":{\"name\":\"Alex Boast\",\"@id\":\"https:\\\/\\\/kinesis.money\\\/pro\\\/#\\\/schema\\\/person\\\/9c30049c0bbc9df0183a2f31d4716036\"},\"headline\":\"Non-Fungible Tokens (NFTs): Revolutionising Digital Ownership\",\"datePublished\":\"2023-08-09T13:25:40+00:00\",\"dateModified\":\"2024-12-04T13:30:54+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/kinesis.money\\\/pro\\\/articles\\\/non-fungible-token\\\/non-fungible-tokens-digital-ownership\\\/\"},\"wordCount\":1129,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\\\/\\\/kinesis.money\\\/pro\\\/#organization\"},\"image\":{\"@id\":\"https:\\\/\\\/kinesis.money\\\/pro\\\/articles\\\/non-fungible-token\\\/non-fungible-tokens-digital-ownership\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/kinesis.money\\\/pro\\\/wp-content\\\/uploads\\\/sites\\\/3\\\/2024\\\/01\\\/feature-image-non-fungible-tokens-nfts.png\",\"articleSection\":[\"NFTs\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/kinesis.money\\\/pro\\\/articles\\\/non-fungible-token\\\/non-fungible-tokens-digital-ownership\\\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/kinesis.money\\\/pro\\\/articles\\\/non-fungible-token\\\/non-fungible-tokens-digital-ownership\\\/\",\"url\":\"https:\\\/\\\/kinesis.money\\\/pro\\\/articles\\\/non-fungible-token\\\/non-fungible-tokens-digital-ownership\\\/\",\"name\":\"Non-Fungible Tokens (NFTs): Revolutionising Digital Ownership - 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