What is an NFT? Is it really going to be the next big trend after Bitcoin?

The NFT Phenomenon That Is Transforming the Digital World

In the past few years, the NFT market has shown astonishing growth signals, becoming a hot topic among both new and veteran crypto investors. Some say this is a bubble that will burst soon, while others believe it’s a revolution in digital asset ownership. If you’re still confused about what NFTs are, why they’re worth so much, and how they can be just as hot as cryptocurrencies like Bitcoin, we’ll provide the answers here.

What Do NFTs Mean? A Complete Understanding

NFT stands for Non-Fungible Token, a digital token built on blockchain technology similar to digital currencies. But the difference is that NFTs are not interchangeable assets. (Non-Fungible) means each NFT is unique and has no identical counterpart.

This uniqueness makes NFTs fundamentally different from Bitcoin or Ethereum, where each unit has the same value. It’s like one banknote versus another—no difference. But an NFT is like a masterpiece painting—no other piece is exactly the same.

###Key Features of NFTs You Should Know

• Digital Assets: Image files, videos, audio, or any documents can be turned into NFTs.
• Built on Blockchain: Mostly on Ethereum, but other blockchains like Solana and Flow also support NFTs.
• Non-Interchangeable: Each NFT contains specific data that cannot be replaced by another.
• Indivisible: Unlike Bitcoin, which can be divided into 0.5 BTC, NFTs must be whole units.

Clear Difference: NFTs vs. Digital Currencies

When you use fiat currency like baht (Fungible), lending 100 baht to a friend, no one asks which banknote it is because all are equal. But if you lend a painting of a cathedral, everyone will ask, “Which piece?” because each one is vastly different.

That’s the core of NFTs—non-fungible (Non-Fungible)—unlike digital currencies that are interchangeable. The rarity factor is what attracts collectors and artists to invest.

Real example: Jack Dorsey’s first tweet was just a digital post, but once sold as an NFT, it fetched $2.9 million.

Advantages of NFTs You Should Know

Confirm Authenticity

Foreign artists can easily prove ownership without calling in experts or examining thick documents.

Prevent Misuse

Once recorded on the blockchain, NFTs cannot be edited, deleted, or tampered with.

Smart Contracts Enable New Possibilities

Artists can set conditions to receive royalties every time their NFT is resold.

Disadvantages Investors Should Consider

Market Full of Speculation

NFT values depend solely on buyer satisfaction, making it difficult to determine fair long-term prices.

Original Files May Not Be Authentic

While NFTs cannot be altered, the original files may be copies or forgeries of other artworks.

Risk of Hacking

NFT security depends on the safety of the marketplace and digital wallets.

Future Taxation Possible

NFT transactions may be taxed similarly to regular goods.

Step-by-Step Guide to Creating an NFT

Step 1: Prepare Your Digital Work

Find what you want to create—images, music, videos, or even tweets. Ensure it’s your original copyright.

Step 2: Choose the Right Blockchain

Popular blockchains for NFTs include Ethereum, Solana, and Flow. Each has different communities and fee structures.

Step 3: Set Up a Digital Wallet

Download apps like MetaMask, Coinbase Wallet, Ledger Nano X, which support your chosen blockchain.

Step 4: Select a Marketplace Platform

OpenSea is the largest platform, with over $20 billion in trading volume and more than 2 million NFT collections.

Step 5: Upload and Mint Your NFT

1. Register an account on OpenSea or other platforms.
2. Connect your digital wallet.
3. Purchase Ethereum from an exchange to cover gas fees (around $20-40).
4. Upload your work and fill in details.
5. Pay gas fees to mint the NFT.

Step 6: List for Sale

After minting, you can set a price or auction. OpenSea charges a 2.5% fee on sales.

Where Can NFTs Be Used?

Event Tickets

NFT tickets prevent counterfeiting, theft, and allow transaction history tracking.

Fashion Items

Authentic luxury goods can be easily verified via embedded, encrypted NFTs.

Collectibles

Collectors can own digital assets that are one-of-a-kind in the world.

Game Items

The gaming market is huge; NFTs enable players to own rare items and resell them.

Digital Art

Artists can sell unlimited works like GIFs, short videos, through blockchain networks.

Most Famous NFT Projects

• Mutant Ape Yacht Club (MAYC): An extension of Bored Ape Yacht Club offering exclusive benefits.
• Parallel Alpha: An NFT card game where players can collect and compete.
• THAI GHOST: Thai ghosts turned into rare collectibles.
• BitToonDAO: Thai crypto cartoons sold out in 5 minutes.
• 3Landers: Thailand’s top artist project on OpenSea.

Important Information Before Investing

Check NFT Attributes

On OpenSea, look at the collection, rarity, and current trends.

Verify Seller Identity

Verified sellers have a blue checkmark, but always review their sales history.

Calculate Fees

Besides the NFT price, you need to pay transaction fees (Gas fee) about 0.22 ETH and a 2.5% marketplace fee.

Study Other Sellers’ NFTs

Observe how the artist’s other works are priced, which can indicate future value.

How to Buy NFTs

1. Register: Create an account on OpenSea or other platforms, connect your digital wallet.
2. Search for NFTs: Find works you like, check prices and history.
3. Pay: Buy immediately or make an auction bid.
4. Confirm: Approve the transaction via your digital wallet.
5. Transfer Complete: Usually within 10-30 minutes, and you can see the NFT in your collection.

Copyright Issues to Watch Out For

In Thailand, NFT copyright regulations are not yet clear. But generally:

• The creator owns the original copyright.
• Buyers only get the right to display online.
• Other rights depend on the “licensing agreement” of each NFT.

Example: When artist Banksy creates an NFT of a painting and then burns the original, the copyright on the physical artwork is gone, leaving only the NFT, which sold for $380,000.

Regulatory Oversight by the SEC

After banning NFT trading on general digital exchanges, the SEC has authorized NFT art marketplaces, with the following conditions:

• Digital art NFTs are not considered digital tokens.
• Not classified as digital currencies.
• Managed by marketplace providers.

The Future of NFTs: Uncertain

NFT markets are expanding rapidly, but they are still very new and risky. What’s clear is:

• Existing NFT data cannot be deleted because it’s recorded on the blockchain.
• Even if the trend fades, NFTs themselves remain intact.
• Investors must continue to monitor market developments.

Summary: Now Is the Time to Understand NFTs

Yes, buying and selling NFTs is very easy today—just need crypto coins, a digital wallet, and a marketplace account to get started. But that doesn’t guarantee profit.

NFTs are high-risk, uncertain investments due to their novelty. Valuation is difficult, and prices depend entirely on market demand.

If you’re interested, consider investing with an amount you can afford to lose, and choose NFTs that hold value in your eyes. Even if prices drop, NFTs can still be resold in the future.

The reality is that NFTs come with both opportunities and risks. This market is more about exploration than certainty. Those who want to participate should prepare well and invest cautiously.