This presentation provides an overview of non-fungible tokens (NFTs), including their technical aspects. It discusses how NFTs work and are created through a process called minting, which records unique digital assets on the blockchain using smart contracts. The presentation covers the pros and cons of NFTs, how they relate to blockchain technology, examples of NFT marketplace platforms like OpenSea, and how smart contracts are used to assign ownership of NFTs. It provides details on how NFTs can be bought and sold, how creators can make money from NFTs, and concludes with thanks.

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2. NON-FUNGIBLE---
TOKENS (NFTS)
• Submitted to:
Sir Burhan
Nazir
• Submitted by:
Hunaina Abdul
Salam,
Areeha
Kaleem.
• Roll No:
S23RINFTMO1014
S23RINFTMO1010
• SUBJECT:

3. TECHNICAL ASPECT
• Introduction To
NFTs
• Pros and Cons
• Block Chain &
NFTs
• Creation of
NFTs
• Marketplace
Platforms
• Smart
Contracts
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4. INTRODUCTION
• Non-fungible tokens are digital
assets that contain identifying
information recorded in smart
contracts.
• NFT is a digital unique token that
cannot be directly
replaced/interchanged by another
token.
• Non-fungible tokens (NFTs) are
cryptographically unique tokens
that are linked to digital (and
sometimes physical) content,
providing proof of ownership.
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5. INTRODUCTION
Although NFTs have been around
since the early 2010s (the
prototypes of NFTs were
experimental assets created on the
Bitcoin network in 2012 named
colored coins), NFTs have recently
been gaining popularity in the
crypto community. Therefore, NFTs
are becoming an increasingly nifty
way to buy and sell digital items.
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NON-FUNGIBLE
TOKEN
Process
NFTs are produced
by a process called
minting.
Conversion
Anything can be
converted
to NFT including
audio, video, art,
memes, content, etc.
Platforms
Online platforms
offer the
facility of
NFT minting.

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11. PROS AND CONS

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PROS AND CONS OF
NFT
• NFTs help to improve
market efficiency.
• They can be used to
fractionalize physical asset
ownership.
• The Blockchain Technology
Underpinning NFTs Is
Extremely Secure.
• NFTs Can Add
Diversification to an
Investment Portfolio.
• NFTs are volatile and
illiquid.
• NFTs generate no revenue.

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BLOCK CHAIN AND
NFTS
What is a block chain
technology and how does
it relate to NFTs?
• A blockchain is a distributed software
network that functions both as a digital
ledger and a mechanism enabling the
secure transfer of assets without an
intermediary. Just as the internet is a
technology that facilitates the digital
flow of information
• Blockchain is a technology that
facilitates the digital exchange of units
of value.
• Non-fungible tokens, often referred to
as NFTs, are blockchain-based tokens
that each represent a unique asset like
a piece of art, digital content, or
media. An NFT can be thought of as an
irrevocable digital certificate of
ownership and authenticity for a given

14. CREATION OF NFTS
HOW ARE NFTS CREATED
AND STORED ON BLOCK
CHAIN?
NFTs are created through a process
called minting, in which the information
of the NFT is recorded on a blockchain.
At a high level, the minting process
entails a new block being created, NFT
information being validated by a
validator, and the block being closed.
NFTs are powered by smart contracts on
the Ethereum blockchain.
NFTs are minted through smart
contracts that assign ownership and
manage the transferability of the NFT's.
When someone creates or mints an NFT,
they execute code stored in smart
contracts that conform to different
standards, such as ERC-721. This
information is added to the blockchain
where the NFT is being managed.
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WORKING OF NFT
HOW DO NFTS WORK?
NFTs are different from ERC-20 tokens, such
as DAI or LINK, in that each individual token
is completely unique and is not divisible.
NFTs give the ability to assign or claim
ownership of any unique piece of digital
data, trackable by using Ethereum's
blockchain as a public ledger. An NFT is
minted from digital objects as a
representation of digital or non-digital
assets. For example, an NFT could
represent:
Digital art,gifs,collectibles,music,videos,
real world items

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• OPENSEA'S MOBILE APP IS THE
EASIEST WAY TO KEEP TRACK
OF YOUR NFT COLLECTION AND
DISCOVER NEW ASSETS THE
WORLD'S FIRST AND LARGEST
DIGITAL MARKETPLACE FOR
CRYPTO COLLECTIBLES AND
NON-FUNGIBLE TOKENS
(NFTS).OPEN SEA IS THE
LEADER IN NFT SALES.
• OPEN SEA HAS ALL
SORTS OF DIGITAL
ASSETS AVAILABLE ON
ITS PLATFORM, AND IT'S
FREE TO SIGN UP AND
BROWSE THE EXTENSIVE
OFFERINGS.
• IT ALSO SUPPORTS
ARTISTS AND CREATORS
AND HAS AN EASY-TO-
USE PROCESS IF YOU
WANT TO CREATE YOUR
OWN NFT (KNOWN AS
"MINTING").
• AN NFT MARKETPLACE
IS A DIGITAL
PLATFORM FOR BUYING
AND SELLING NFTS.
THESE PLATFORMS
ALLOW PEOPLE TO
STORE AND DISPLAY
THEIR NFTS PLUS SELL
THEM TO OTHERS FOR
CRYPTOCURRENCY OR
MONEY.
NFT MARKETPLACE
PLATFORMS

17. HOW ARE NFTS
BOUGHT AND SOLD?
• THEY CAN BE BOUGHT
AND SOLD JUST LIKE
OTHER PHYSICAL TYPES OF
ART. NFTS' UNIQUE DATA
MAKES IT EASY TO VERIFY
AND VALIDATE THEIR
OWNERSHIP AND THE
TRANSFER OF TOKENS
BETWEEN OWNERS.
• WHEN A DESIRABLE COLLECTION AND
AN NFT MARKETPLACE ARE CHOSEN,
COLLECTORS NEED TO CREATE AN
ACCOUNT ON THE MARKETPLACE IN
ORDER TO BUY NFTS. BEFORE DOING
SO, HOWEVER, THEY WILL NEED TO
CONNECT THEIR CRYPTOCURRENCY
WALLET TO THE CHOSEN NFT
PLATFORM, AS UNTIL THEN, THEY
WON’T BE ABLE TO BUY OR SELL
ANYTHING.
• A CRYPTO WALLET AS A PLACE TO
SECURELY KEEP DIGITAL ASSETS IS AN
ESSENTIAL PART OF ANY BLOCKCHAIN
SYSTEM. CRYPTO COMMUNITY MEMBERS
NEED WALLETS TO USE BLOCKCHAIN
SERVICES, ACCESS VARIOUS
PLATFORMS, SIGN TRANSACTIONS AND
MANAGE THEIR BALANCES ACCORDING
TO BLOCKCHAIN FUNDAMENTALS.
• BEFORE SETTING UP A
WALLET, IT IS CRUCIAL
TO ENSURE THAT THE
WALLET MATCHES THE
CRYPTOCURRENCY USED
ON THE PLATFORM THE
BUYER INTENDS TO USE.
AS MOST OF THE NFT
SERVICES ARE
ETHEREUM-BASED, THEY
ACCEPT ETHEREUM’S
NATIVE
CRYPTOCURRENCY ETHER
(ETH) AS A VIABLE
PAYMENT.
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• HOW DO NFT
CREATORS MAKE
MONEY?
1. SELLING NFTS ON
MARKETPLACES.
2. CREATING EXCLUSIVE
CONTENT FOR NFT
HOLDERS.
3. PARTNERING WITH
BRANDS.
4. OFFERING NFT-BASED
SERVICES.
5. HOSTING NFT EVENTS.
6. HOSTING NFT
AUCTIONS.
7. SETTING UP
MEMBERSHIPS.
8. MONETIZING
SECONDARY MARKET
SALES.
• SMART CONTRACTS ARE
USED FOR NFTS'
MINTING PROCESS
(CREATION) AND TO
ASSIGN OWNERSHIP OF
THE TOKEN. WHEN A
NEW NON-FUNGIBLE
TOKEN IS MINTED, THE
SMART CONTRACT
AUTOMATICALLY SETS
THE CREATOR AS THE
OWNER. NFT SMART
CONTRACTS CAN
TRANSFER THE TOKEN
TO NEW OWNERS WHEN
A SALE IS MADE.
NFT SMART
CONTRACTS

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23. THANK YOU