NFTs (Non-Fungible Tokens) are tokens that can be used to represent ownership of unique items. They allow things like art, collectibles, even real estate or securities to be tokenised. They can only have one official owner at a time and they’re secured by the Ethereum blockchain – no one can modify the record of ownership or copy/paste a new NFT into existence.
Non Fungible V Fungible
Non-fungible is an economic term that you could use to describe things like your furniture, a song file, or your computer. These things are not interchangeable for other items because they have unique properties.
Fungible items, on the other hand, can be exchanged because their value defines them rather than their unique properties. For example, dollars are fungible because $1 USD is exchangeable for another $1 USD.