Non-fungible tokens (NFTs) are the latest advancement in the
ongoing evolution of the blockchain market. To help put this new
phenomenon into context, the BakerHostetler Blockchain team has
prepared a series of papers that examine NFTs from various
perspectives. In the first paper in the series, we introduce NFTs
from the technological and market perspectives. Forthcoming papers
will rely on the concepts in this introduction as we analyze the
multiple legal issues arising from this new technology.
What is an NFT?
An NFT is a digital collectible. An NFT is a cultural
phenomenon. An NFT is digital art. An NFT is a digital signature on
art. An NFT is a new asset class. There are, for better or worse,
many, many ways to answer the question "What is an NFT?"
Sometimes, the answer's simplicity is inversely proportional to
its accuracy. But even the more jejune answers to the question
"What is an NFT?" provide insight into what an NFT
actually is.
