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No, they can't just copy what you own. The double spend problem is one of the core problems solved by blockchain. You can't copy and paste a Bitcoin. A blockcha
by chrisco255 5y ago
No, they can't just copy what you own. The double spend problem is one of the core problems solved by blockchain. You can't copy and paste a Bitcoin. A blockchain is a ledger. The ledger is validated by a network of thousands of nodes using deterministic logic and cryptographic signature verification.
Likewise, NFTs are records in a smart contract that has been deployed to a Turing-complete blockchain. Following the ERC721 standard (which is the most popular but not the only example), the contract must implement an interface consisting of several methods that define how rules for ownership transfer are handled and what metadata defines the NFT.
An NFT could be better than a certificate of ownership, due to the ease and universality of on-chain verification. You can observe the entire chain of ownership of something if it begun as an NFT. You can also use an NFT in software programs to provide token-gated content, or to customize the user experience. Another major benefit is worldwide markets with 24/7 liquidity. It's also trivial to fractionalize or place into the custody of a DAO (on-chain organization). By no means is this list exhaustive, but there is a few.