While the NFT business has seen a boom during the pandemic, players should realize that no bubble business is sustainable.
A young man named Ghozali has been in the spotlight over the last few weeks for ushering innovation by selling his selfies as non-fungible tokens (NFT) on some online marketplaces, such as OpenSea.
The selfies were taken in 2017-2021 and sold for an accumulated NFT trading volume of up to 284 Ethereum, a cryptocurrency, an equivalent of around US$930,000 today.
What is NFT in layman’s terms?
Fungibility is the ability of an asset to be interchanged with other individual assets of the same type. For example, if X gives $50 to Y and Y gives X two $20 notes and a $10 note or any other combination of notes totaling $50 in return, these assets are fungible. On the other hand, if A lends his favorite poetry book to B and a few days later B tries to return the newest edition of the same book after losing the originally borrowed copy, A might not accept it. So the book, as an asset, is non-fungible with respect to ownership.
This article was published in thejakartapost.com with the title "". Click to read: https://www.thejakartapost.com/opinion/2022/01/20/nft-bubble-how-long-will-it-last.html.