Examples of digital items include digitized documents and digital files images and other media files such as audio or music and videos and digital artworks among others.

What are non fungible tokens used for. Today blockchain use has extended from P2P payment to supply chain IoT and now its popularly used to tokenize real-world assets. A regular ERC-20 token can be interchanged with any other ERC20 token. Similarly you can say the same thing for OmiseGO tokens they are fungible.

Again ERC-721 tackles this exact property. The NFTs are digital assets that are unique creating digital scarcity. While digital assets now benefit from a clearer legal framework since the PACTE law legal analysis of the NFTs reveals that they remain outside the framework.

This makes them different from fungible tokens like cryptocurrencies which are identical to each other. Non-Fungible Token NFT The last token on the list is the non-fungible token ie the non-exchangeable token. Real-estate NFT tokens can be used in real-estate here the ownership of properties lands houses etc can be recorded in an NFT token.

Fungible in the crypto world means you can exchange 1BTC for another 1BTC or any other tokens. Non-fungible token doesnt mean it can be sold. For that reason non-fungible tokens solve the interchangeability problem.

Non-fungible tokens have been around for a long time however NFTs have become increasingly. But Non-Fungibles cannot carry the same value. For example a banknote is fungible in that it can be exchanged for other banknotes carrying the same value however a plane ticket is non-fungible as it carries unique information and cannot be used in place of another passengers ticket.

Tokens on Ethereum must follow a set of rules or protocols complying with different ERC Ethereum. Hence bitcoins and altcoins are used for medium size commercial transactions. For Non-Fungible Tokens real-world applications of smart-contracts lie ahead.