Understanding NFTs

What does NFT stand for?

• Non-Functional Token

• Networked Financial Transaction

• Non-Fungible Token

• New Found Technology

What makes an item non-fungible?

• It can be easily replaced

• It cannot be replaced

• It is a physical object

• It is a common item

How are most NFTs represented?

• Physical paintings

• Digital artwork

• Sculptures

• Printed photographs

What technology do NFTs use to ensure uniqueness?

• Artificial Intelligence

• Quantum computing

• Blockchain

• Cloud storage

What is the role of blockchain in NFTs?

• To store data in the cloud

• To print physical copies

• To keep a public ledger of transactions

• To create digital art

Where are NFTs typically bought and sold?

• Online marketplaces

• Auction houses

• Physical stores

• Art galleries

What is required to purchase an NFT?

• A credit card

• A digital wallet with cryptocurrency

• A physical wallet

• A bank account

How is the price of an NFT determined?

• By the number of copies available

• By the artist's reputation

• By the demand and supply of the artwork

• By the size of the digital file

What is NFT flipping?

• Using NFTs in video games

• Creating multiple copies of an NFT

• Exchanging NFTs for physical art

• Buying an NFT and selling it for a higher price

What are some future applications of NFTs?

• Physical art galleries

• Video games, movies, and more

• Only digital art

• Traditional banking