Australia's first Non-Fungible Token (NFT) gallery recently
opened in Hobart with an exhibition showing digital artists from
around the world. NFTs have exploded in popularity during the
COVID-19 pandemic. In Australia, platforms such as OpenSea and
Nifty Gateway are becoming much more popular for selling and
purchasing NFTs. So you might be asking, what exactly are NFTs? And
what is all the hype about? This article will explore what NFTs are
and some legal considerations for this new digital asset. The legal
considerations are relevant to anyone interacting with NFTs,
whether it be trading platforms, creators, buyers, creators or
sellers.
What Is an NFT?
An NFT is a non-replicable digital certificate of a digital
asset. 'Non-fungible' means unique and cannot be exchanged
on a like for like basis in contrast to fungible assets like money.
Each NFT cannot be divided or replaced but can be re-sold. In some
ways, it is
similar to Bitcoin. However, Bitcoin has units
