Non-fungible
token.
An irreplaceable award, often described in the music industry to label a physical trophy distributed by an artist to one lucky winner.
“Non-fungible”, meaning unique and one-of-a-kind. “
Token”, as in an award or trophy
Not all NFTs are
free or involved in a giveaway. An NFT may be used in a raffle or bidding. However, the highest bid nor total raffle amount determines the value of the NFT. After all, it is meant to be the only existing one of its kind.
Person 1: Yo, my favorite artist is
dropping an NFT. We should enter to win.
Person 2: If I
don’t need to
pay to enter then I’m down, let’s win this!