If you have any questions about NFT art, we have the answers (Image: GETTY • EXPRESS-ZEITUNGEN)
You’ve probably seen the headlines about NFTs making huge sums of money for digital artists, the real people behind some of the internet’s biggest memes, and celebrities like Emily Ratajkowski and Eminem. But what is an NFT? Luckily, we have answers to all of your questions about the bizarre new trend that includes models, rap artists, memes from the mid ’00s and millions of dollars …
What is an NFT?
Well, NFT stands for Non-Fungible Token. But let’s be honest to know that probably isn’t that illuminating.
In short, NFTs work just like a Certificate of Authenticity. When you buy a well-known work of art, antique, or celebrity signature at auction, you are given a Certificate of Authenticity to prove that what you have on your wall is the real deal. Unique.
It’s not that easy with digital works of art. Digital files can be reproduced in seconds – either by the artist saving another copy of their hard drive or by anyone else who has access to the file by simply duplicating it. In the world of digital art, how can you prove you own the original?
Well, this is where NFTs come in.
In business, when something is a “fungible asset” it can be easily interchangeable. Like money. When you swap one £ 20 note for one £ 10 note and two £ 5 notes, what you have in your hand changes – but the value stays the same.
If something is not fungible, it is impossible for something else to change it and keep its value. The value arises from the fact that it cannot be exchanged or changed.
So if you’ve purchased an NFT of your favorite digital artwork, you own this unique file. It cannot be exchanged or exchanged. The value comes from the fact that you own the original – just as if you had an original painting by John Constable in your collection.
NFT stands for Non-Fungible Token, but it is a little more complicated (Image: GETTY)
How do NFTs work?
NFTs use a technique similar to that of cryptocurrencies like Bitcoin. A record of who owns what is kept in a ledger that is shared worldwide. Thousands of computers keep the ledger making it impossible to simply tweak the records to take ownership of something you don’t have – as there are thousands of witnesses to the contrary.
These machines manage and update the ledger as this is one of the only ways to mine cryptocurrencies. By authenticating transactions with these digital coins and registering ownership of digital artwork through NFTs, these machines can slowly work towards earning a small chunk of Bitcoin for free.
While this was a pretty straightforward task that anyone with a semi-capable desktop PC could do in the early years of cryptocurrency and bitcoin, these coins are so in demand – not to mention the fact that there are a limited number of these coins – this means some serious processing power is now required to get results from this general ledger maintenance.
Even if you don’t have the NFT, can you just copy a digital file?
Yes, please. When you see a picture online, you can take it as a screenshot and set it as your desktop wallpaper. The fact that someone spent a small fortune on the NFT of this image is not going to physically stop anything on your computer.
You will never own this picture, however, as the rightful owner is recorded in the millions of bitcoin and cryptocurrency transactions that take place in the shared ledger every day.
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How much do NFTs cost?
Well, that’s what we’re finding out right now. In theory, anyone can symbolize their work to sell as an NFT now. Do you have an old draft of this novel that you have been working on for the past decade? An old résumé? The only limit is whether bidders are interested.
This year has been enormous for NFT sales. Back in February, an animated GIF of Nyan Cat – a popular 2011 meme of a flying cat with the body of a pop tart shooting down a rainbow – sold for more than $ 500,000.
A few weeks later, musician Grimes, who is married to SpaceX billionaire Elon Musk, sold some of her digital art for more than $ 6 million. Twitter founder Jack Dorsey got involved in the promotion and sold an NFT of the very first tweet posted on the social media website. The bids reached $ 2.5 million.
Digital artist Beeple set a new record of $ 69 million (£ 50 million) for his entire collection of digital art, which he produces and shares on Instagram every day.
Emily Ratajkowski and rapper Eminem have announced plans to auction NFTs. The model confirmed the news on Twitter, writing, “In a step in my ongoing efforts to regain and control my image, I am excited to announce my first conceptual artwork ever to hit the market, an NFT with the Title “Buying Myself Back: A Model” on redistribution.
“The digital terrain should be a place where women can freely share their likeness, control the use of their image, and receive the potential capital. Instead, the internet has more often served as a place where other images of women can use and distribute bodies without their consent and for the benefit of another.Art has functioned similarly historically: works by unnamed muses sell for millions of dollars and build careers of traditionally male artists while the subjects of those works receive nothing.
“As a model, I’ve become all too familiar with this narrative, as in my 2020 essay for @ NYMag, I’m buying myself back. With the newly introduced medium of the NFTs, I hope to symbolically set a precedent for women and online property that enables women to continue to have authority over their image and to receive legitimate compensation for its use and dissemination.
“This work will be auctioned @ChristiesInc Post War and Contemporary Art Day Sale on May 14th. “
