What is a Non-Fungible Token (NFT)?
Non-Fungible Tokens (NFTs) are unique digital items such as artwork with blockchain-managed ownership. that is stored on a blockchain (a digital database that is publicly accessible). There are many kinds and applications of NFTs – but before we dive into the details, let’s learn about a key term:
What is fungibility?
If something is fungible, it is easily exchanged with something of equal value. Don’t get overwhelmed by the idea of fungibility; it’s just the ability of a good or item to be interchanged with other individual goods or items of the same type.
Fungible items like a dollar bill, gold – even cryptocurrencies like Bitcoin and Ethereum – can be substituted with one another without losing value. They are fungible.
Non-fungibility and NFTs
If something is non-fungible, it means that it cannot be replaced. It represents something unique in value – and that’s what an NFT is!
The token part of Non-Fungible Token refers to a digital certificate stored on a publicly verifiable distributed database, also known as a blockchain.
The information on this digital certificate, also known as a smart contract, makes each NFT unique. No two NFTs can be swapped, and this makes them non-fungible. Examples of NFTs include digital art, collectibles, virtual reality items, crypto domain names, ownership records for physical items, and more!
Different types of NFTs
1/1 NFTs – known as ERC-721 tokens on Ethereum and Polygon, KIP17 on the Klatyn blockchain.
Semi-fungible NFTs – known as ERC-1155 tokens on Ethereum and Polygon, KIP37 on Klatyn.
1/1 NFTs, known by their token standard as ERC-721 on Ethereum, are the classic definition of Non-Fungible Token’s that we’ve described above. Each NFT is unique and distinct from other NFTs.
Semi-fungible NFTs, known by their token standard ERC-1155 on Ethereum, are slightly different. Because they are semi-fungible, the items themselves are distinct from other NFTs. However, they might have a quantity greater than one.
What is ERC-721?
The ERC-721 introduces a standard for NFT, in other words, this type of Token is unique and can have different value than another Token from the same Smart Contract, maybe due to its age, rarity or even something else like its visual. Wait, visual?
Yes! All NFTs have a
uint256 variable called
tokenId, so for any ERC-721 Contract, the pair
contract address, uint256 tokenId must be globally unique. That said, a dapp can have a “converter” that uses the
tokenId as input and outputs an image of something cool, like zombies, weapons, skills or amazing kitties!
The ERC-721 (Ethereum Request for Comments 721), proposed by William Entriken, Dieter Shirley, Jacob Evans, Nastassia Sachs in January 2018, is a Non-Fungible Token Standard that implements an API for tokens within Smart Contracts.
It provides functionalities like to transfer tokens from one account to another, to get the current token balance of an account, to get the owner of a specific token and also the total supply of the token available on the network. Besides these it also has some other functionalities like to approve that an amount of token from an account can be moved by a third party account.
If a Smart Contract implements the following methods and events it can be called an ERC-721 Non-Fungible Token Contract and, once deployed, it will be responsible to keep track of the created tokens on Ethereum.
find more information about ERC-721 https://ethereum.org/en/developers/docs/standards/tokens/erc-721/
How do NFTs work?
NFTs live on the blockchain, which is also the underlying technology that powers cryptocurrency. Bitcoin may be the best-known cryptocurrency, but most NFTs are purchased with ether (or eth) and exist on the Ethereum and Polygon blockchain.
You can purchase NFTs through online marketplaces such as OpenSea or etc. But first, you need a crypto wallet that allows you to store the various types of cryptocurrency used to purchase NFTs. You can purchase cryptocurrencies through major exchanges like Binance and Coinbase or through investing apps such as Robinhood or etc.
Attention to any fees and limitations involved. Some crypto providers charge fees for buying cryptocurrency. And some apps don’t let you move your crypto outside the app and into an external digital wallet. This would make it impossible to use that crypto to buy NFTs.
What is freezing metadata?
Freezing your metadata will permanently lock and store it on decentralized file storage, which allows your data to be accessible for other clients to view and use. This means, your item will forever be safely stored and will never be lost or missing.
you can confirm that your metadata is frozen is on the public item page. In the “Details” section, you can view the status of your metadata.
What is Polygon?
Polygon is a layer 2 Ethereum powered blockchain protocol that allows building faster and scalable solutions via autonomous smart contracts. This stable protocol permits the functionality of this blockchain to work on enhancing the efficiency of NFTs. Polygon has been used to create various NFTs that can be accessed via a marketplace such as OpenSea by selecting the blockchain. Since it is based on the protocol of Ethereum, Polygon can be compatible with all blockchain networks with efficiency.
Polygon is a blockchain that provides scalable, secure, and instant transactions with Ethereum currencies like ETH, USDC, and DAI.
There are many advantages to buying NFTs on the Polygon blockchain, including:
There are no more costly wallet initialization fees
Selling and buying NFTs is gas free
Gas fees are only required when transferring ETH funds to the Polygon network
Buying an NFT on Polygon requires using Polygon ETH. In order to spend your Ethereum currencies on Polygon, you must first “bridge” them across to the Polygon blockchain.
More detail about the Polygon network…
Polygon (previously Matic Network) is the first well-structured, easy-to-use platform for Ethereum scaling and infrastructure development. Its core component is Polygon SDK, a modular, flexible framework that supports building multiple types of applications.
Polygon effectively transforms Ethereum into a full-fledged multi-chain system (aka Internet of Blockchains). This multi-chain system is akin to other ones such as Polkadot, Cosmos, Avalanche etc. with the advantages of Ethereum’s security, vibrant ecosystem and openness.
The $MATIC token will continue to exist and will play an increasingly important role, securing the system and enabling governance.
Polygon (formerly Matic Network) is a Layer 2 scaling solution backed by Binance and Coinbase. The project seeks to stimulate mass adoption of cryptocurrencies by resolving the problems of scalability on many blockchains.
Polygon combines the Plasma Framework and the proof-of-stake blockchain architecture. The Plasma framework used by Polygon as proposed by the co-founder of Ethereum, Vitalik Buterin, allows for the easy execution of scalable and autonomous smart contracts.
Nothing will change for the existing ecosystem built on the Plasma-POS chain. With Polygon, new features are being built around the existing proven technology to expand the ability to cater to diverse needs from the developer ecosystem. Polygon will continue to develop the core technology so that it can scale to a larger ecosystem.
Polygon boasts of up to 65,000 transactions per second on a single side chain, along with a respectable block confirmation time of less than two seconds. The framework also allows for the creation of globally available decentralized financial applications on a single foundational blockchain.
The Plasma framework gives Polygon the potential of housing an unlimited number of decentralized applications on their infrastructure without experiencing the normal drawbacks common on proof-of-work blockchains. So far, Polygon has attracted more than 50 DApps to its PoS-secured Ethereum sidechain.
MATIC, the native tokens of Polygon, is an ERC-20 token running on the Ethereum blockchain. The tokens are used for payment services on Polygon and as a settlement currency between users who operate within the Polygon ecosystem. The transaction fees on Polygon sidechains are also paid in MATIC tokens.
What Makes Polygon Unique?
Polygon is self-described as a Layer 2 scaling solution, which means that the project doesn’t seek to upgrade its current basic blockchain layer any time soon. The project focuses on reducing the complexity of scalability and instant blockchain transactions.
Polygon uses a customized version of the Plasma framework which is built on proof-of-stake checkpoints that run through the Ethereum main-chain. This unique technology allows each sidechain on Polygon to achieve up to 65,536 transactions per block.
Commercially, the sidechains of Polygon are structurally designed to support a variety of decentralized finance (DeFi) protocols available in the Ethereum ecosystem.
While Polygon currently supports only Ethereum basechain, the network intends to extend support for additional basechains, based on community suggestions and consensus. This would make Polygon an interoperable decentralized Layer 2 blockchain platform
How Is the Polygon Secured?
As a Layer 2 solution utilizing a network of proof-of-stake validators for asset security, staking is an integral part of the Polygon ecosystem. Validators on the network will stake their MATIC tokens as collateral to become part of the network’s PoS consensus mechanism and will receive MATIC tokens in return.
Members of the network who do not wish to become validators can delegate their MATIC tokens to another validator, but will still take part in their staking process and earn staking rewards.
In addition to the proof-of-stake checkpointing, Polygon uses block producers at the block producer layer to achieve a higher degree of decentralization. These block producers give finality to the main chains using checkpoints and fraud-proof mechanisms.
How do I purchase NFTs on Polygon blockchain at OpenSea?
To find items on Polygon, check Polygon under the Chains section on the left panel when browsing NFT items.
Polygon items can be identified by the purple hexagon logo on the lower-right corner of each NFT item.
Buying NFTs on Polygon is just like buying NFTs on the Ethereum mainnet. Once you’ve found your item, click the Buy now button.
If this is your first time purchasing an item on Polygon, you’ll be asked to unlock Polygon trading on your wallet. This only needs to be done once.
OpenSea supports typed signatures on Polygon, the same as they do on Ethereum, making it easier for users to understand what they are signing. In order to complete the signature request, you’ll be prompted to switch your wallet network to Polygon.
Once you’ve signed, your NFT purchase should be processed quickly!
Also, you can buy NFT with card payments on OpenSea via MoonPay.
What is MoonPay?
MoonPay is a financial technology company that builds payments infrastructure for crypto. on-and-off-ramp suite of products provides a seamless experience for converting between fiat currencies and cryptocurrencies using all major payment methods including debit and credit card, local bank transfers, Apple Pay, Google Pay, and Samsung Pay.
MoonPay is active in more than 160 countries and is trusted by 250+ leading wallets, websites, and applications to accept payments and defeat fraud.
find more information about Polygon on https://polygon.technology.