It is defined under the ERC721 standard.

Non fungible token mean. The token itself has no value. These things are not interchangeable for other items because they have unique properties. To understand what this means it is perhaps easier to first start with what a fungible token might be.

It draws its value from the asset that it represents. If you are an artist you can sell it as per the value you want. The principle of the non-fungible token Now lets look at the opposite principle.

Each unit is identical in nature and value. But whereas a bitcoin is like a dollar billinsofar as each one is worth as much as every other making them fungibleNFTs are individually unique. Digital collectibles are a great example of this concept and are best demonstrated with trading card games such as CryptoKitties.

Note that it is based on the same digital ledger technology called blockchain that forms the foundation of cryptocurrencies such as Bitcoin and Ethereum. There can only be one. A non-fungible token is a token that is unique to itself and therefore not interchangeable.

Fungibility is a term of art from economics. NFTs or non-fungible tokens share some similarities with cryptocurrencies like Bitcoin. The world is going bananas over this new term for over a year now.

What Is a Non-Fungible Token NFT. NFT stands for non-fungible token. What Does Non-Fungible Mean.