NFTs: How do they work?

the Nifty, or non-fungible token (NFT), is a new digital asset class that has caused a considerable stir in the art, fashion, and music worlds.

Investors with a more traditional approach are fooling themselves if they believe this new asset class is a passing fad, says Nigel Green, CEO and founder of deVereGroup, an international financial advisory and fin-tech company.

“They may be a novelty at the moment, but it makes sense with the blistering pace of the digitalisation of our world; digital assets will become increasingly valuable.”

NTFs are verified through blockchain technology, giving buyers certificates of authenticity and ownership. They produce unique, non-interchangeable digital tokens, and can be bought and sold like any other asset, however not in a physical form.

Digital artist Mike Winkelmann (Beeple) created quite the stir