Top 10 Types Of NFTs-Here’s The List
NFTs, or non-fungible tokens, have taken over the world. These are the newest digital-asset fad that has exploded in the year 2021, and celebrities have jumped on board by creating their own NFT collections.
They may appear complex, especially given the technical jargon used to explain them, but in simpler terms, they are indeed a unique and non-interchangeable unit of data stored on the blockchain that is a type of digital ledger, and the owner of the NFT receives a proof of ownership certificate from the blockchain.
NFTs are commonly connected with non-physical art, but there are various other forms of NFTs, which are discussed in this guide.
1. Artworks
As previously noted, it is the most common type of NFT. These are mostly digital artworks that are accompanied by a public certificate of authenticity and ownership provided by the digital ledger on which they have been housed. The most expensive NFT sold was the digital artwork ‘The First 5000 Days’ by artist Beeple in March 2021 at a Christie’s auction for a whopping $69.3 million.
2. Collectibles
Collectibles were the very first category of NFTs to be released. They are digital versions of tangible artefacts such as Pokemon cards or antique mint condition toys. Curio Cards was the first significant NFT collectibles to be released, and since then, various more collectibles such as the Bored Ape Yacht Club, Cryptopunks, Cat Colony, Meebits, and others have taken off.
They are a collector’s dream, and Bored Ape Yacht Club has proven to be one of the most expensive digital collectibles available.
3. Sports Memorabilia
Sports Memorabilia is one of the most popular NFT categories, and the NBA Top Shot is the most well-known NFT in this category. This form of NFT typically contains a short video of a noteworthy sporting event.
The LeBron James Dunk, Throwdowns (Series), a clip showing Lakers star LeBron James dunking the ball, is one of the most well-known NFTS in this category. It sold for more than $380,000, making it one of the most valuable Sports Memorabilia NFTs ever sold.
4. Video-Game Assets
These are NFT-based games in which players compete for incentives such as bitcoin, digital assets, or other NFTs. The game Axie Infinity was the first NFT video-game asset, and games like CryptoKitties, Gods Unchained, Sorare, and others quickly gained popular among video game players.
5. Virtual Land
This encompasses both territory in video games and in the Metaverse. It may appear to be a completely useless item with no real-world uses, yet it has enormous potential. The virtual land may be used to display adverts within video games, construct virtual objects, and so on.
6. Memes
No one could have imagined a few years ago that memes might have any financial value tied to them, yet in the middle of the NFT boom, memes have become a valuable digital commodity. In June 2021, the original Doge meme sold for $4 million. Memes such as Disaster Girl, Bad Luck Brian, Success Kid, NyanCat, and others have been highly valued and sold for a lot, making the meme producers wealthy and the meme market lucrative. The catastrophe girl meme sold for more than $470,000.
7. Domain Names
These are crypto domains that have been created on a blockchain, such as Binance Smart Chain or Ethereum. They have around 500 domain extensions, the most popular of which is.eth. Crypto domains are a sought-after asset since they do not rely on any centralised authority.
Furthermore, they may be used to connect crypto-wallets, which is not a characteristic of non-NFT domain names. The most significant limitation of Cryptodomains is that the most of the browsers do not yet support them.
8. Music
This is a relatively recent phenomenon in the NFT craze. Artists pre-release their album on NFT markets before releasing them on standard streaming platforms, and purchasers may purchase a portion of the record, such as a share, and then when the album is published through established means, the buyers receive a portion of the album’s revenues.
This model is not yet a well-established method of trading Musical NFTs, but it accounts for a significant volume of transactions. In March 2021, for example, Kings of Leon’s album ‘When You See Yourself’ was offered as several NFTs in a similar fashion.
9. Ticketing
The introduction of NFTs has resulted in several improvements in the manner that day-to-day transactions are carried out, and ticketing has not been left behind. Event tickets may now be issued on blockchain systems and auctioned off by event organisers.
NFT tickets can also be purchased for a set fee. Because these tickets may also be preserved and resold as souvenirs, this would dramatically minimise frauds while also adding a feeling of nostalgia.
10. Real World Assets
You could be thinking at this time that NFTs are solely related with digital and virtual assets. However, NFTs have uses in the real world as well. A Real World asset NFT (rwANFt) is a token that represents virtual possession of a real thing.
The token associated to a rwANFT, like digital NFTs, verifies ownership as well as forms legal contracts of warranty, insurance, enforceability, and so on. Because the tokens cannot be falsified, rwANFTs have an added degree of security, and the digital ledger enables transparency to avoid fraud.
NFTs are commonly linked with digital and virtual assets, but with recent technological advances, novel real-world uses of NFTs have also been developed to make operations more transparent and safe.
