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NFTs are unique assets that are registered in a cryptocurrency database(blockchain).
NFT: Non Fungible Token
‘non fungible’ = unique/one of a kind. A signed baseball is ‘non fungible’. A new baseball is fungible; it is identical to the other new baseballs.

A token is an unit of value. A crypto coin(Bitcoin,Ethereum) is a fungible token, just like a penny is fungible. A NFT digital asset is a 1:1 token that has a unique ID.
NFTs are part of the cryptocurrency system. NFTs only exist on a blockchain(secure encryption database).
Common uses for NFTs include:
art https://opensea.io/collection/beeple-everydays
collectibles https://nbatopshot.com/
gaming https://axieinfinity.com/
utilities https://veefriends.com/
investing https://dclblogger.com/
NFT buzzwords: rare, scarce, unique
What can be a NFT?
What is an art NFT?
More Reading:
https://hedera.com/learning/what-is-a-non-fungible-token-nft
What is the difference between a token, a coin, and cryptocurrency?
https://medium.com/unstoppabledomains/what-is-the-difference-between-tokens-and-coins-8ab0b605b8d0
https://coinrivet.com/guides/guide/why-is-a-token-different-to-a-cryptocurrency/