Quick Answer 🔍How many NFTs are there in the world in 2023?
NFT sales grew 21,0350% from $82.5 million in 2020 to over $17 billion in 2021.
How many NFTs are there in the world in 2023?
We all know that cryptocurrencies are continually growing, but there is more to them than just being digital assets.
The place where these digital assets reside, the blockchain offers other real-world uses.
One of those uses is NFTs, non-fungible tokens, which now inhabit the blockchain as a digital asset.
NFTs are created from digital artwork, audio recordings, and other media formats like Tweets, social posts, Word documents, and PDFs.
The digital art NFT market happens to be popular right now with social posts and Tweets gaining some ground.
How Many NFTs Are There in The World in 2023?
According to NFT statistics, NFTs are commonly built on the Ethereum network, but some non-fungible tokens use different blockchains or are built on special NFT platforms.
Because of this, there are countless singular NFTs that represent videos, music, video game content, artworks, and other forms of media.
As more content creators and artists enter the NFT creator realm, the more NFTs will be created.
It’s hard to pin down a specific number since this market is newer and continually growing in numbers and NFTs.
If the global 21,0350% growth from $82.5 million in 2020 to over $17 billion in 2021 is anything to go by, you can imagine the countless NFTs out there.
What Are Non-Fungible Tokens, NFTs?
It’s important to know that NFTs aren’t technically cryptocurrencies in terms of Bitcoin.
Cryptocurrencies use blockchain technology for its tracking of financial transactions between entities or parties, designed as a digital currency to use online.
NFTs are built on a blockchain as well, but are utilized as a guarantee of asset ownership like a certificate that shows legal ownership of vehicles or real estate.
The difference is that NFTs offer a digital form of proof of ownership. Usually, NFTs are based on the Ethereum blockchain network, but not all are.
NFTs are each unique digital asset that cannot be replaceable with any other digital asset, which is where the term non-fungible enters the scene.
There are many forms of physical assets that fall under the non-fungible category such as real estate since every property has its own unique traits.
In contrast, a fungible token is one that can be replaced with another one that is identical.
Ether is an example of a fungible token trading on the Ethereum network where one Ether is identical to another.
Bitcoin is the same. Bitcoin can be exchanged for Bitcoin since they are of the same value.
Likewise, physical money is fungible as one can be replaced/exchanged by another. Each NFT has its own traits making it unique and unlike any other NFT available.
We hope that explains the difference between non-fungible and fungible and between cryptocurrencies and NFTs.
What Makes Non-Fungible Tokens so Important?
Aside from the fact that NFTs offer a method of monetization for artwork for creators, they are considered an evolution of art collecting and investing along with being part of a new form of cryptocurrency, or digital currency investment asset class.
Because NFT is so unique, there is that small chance of a collection of NFT works ballooning in value.
For art collectors, NFTs are easy to sell and buy on marketplaces like OpenSea. Binanace is soon to launch a marketplace for NFTs as is Coinbase Global.
To the average investor, NFTs are very speculative, so they will usually avoid them.
NFTs don’t get their value based on their usefulness, but on the value of the media represented (music, video, audio, digital art, etc).
Investors view putting value on a piece of art as unlikely and subjective compared to stock valuation that represents ownership in the claim of forthcoming profits and a stake in a business.
How does all this relate to the importance of non-fungible tokens?
Well, NFTs blur those lines between virtual and physical artworks and represent a new method for tracking digital asset ownership and its online distribution.
Additionally, NFTs being blockchain tokens have the potential to upset financial intermediaries, lowering the costs of buying and selling large-ticket items like real estate and automobiles.
In the meantime, that doesn’t mean you should go willy nilly investing in wildly speculative NFTs, but the development of said assets are worth monitoring and tracking.
There are NFT skeptics that think this blockchain digital asset ideal is unsustainable, but there are also those who see its value and potential.
It all depends on the market and the value of a piece of media attached to NFTs.
How Do Non-Fungible Tokens Work?
Now that we’ve discussed NFT numbers, what NFTs are, and their importance, we will cover how NFTs work.
One way NFTs are used is for digital art collections. One NFT represents an image. Whoever buys said image now owns the digital work. Some NFTs are worth millions now.
NFT creators and owners may also collect royalties for its use. The whole concept behind NFTs is a way to not only prove but to enforce trademark and digital copyright laws.
The real-world uses are virtually endless in the NFT realm. One of these uses could eliminate the need for expensive processes in the real estate or personal property markets by replacing digital documentation via tokens that prove ownership.
There will likely be even more usage ideas coming as NFTs grow and evolve on the blockchain.
We have answered the question of how many NFTs are there in the world with the most current and accurate data online.
Some of this comes from The Motley Fool and some from NFT websites.
If you’re an investor, this data is crucial to making decisions for investing in NFTs. If you’re a creator, this information is vital to what you create and if it’s worthy of the production costs.
Based on this information, will you invest in NFTs, create NFT images/art, or wait it out and just keep your eye on the market?