NFTs
An NFT is a unit of data stored on a digital ledger, called a blockchain, which can be sold and traded.
A famous NFT is the rainbow cat, Nyan Cat. Which sold for $690,000
The NFT can be associated with a particular digital or physical asset (such as a file or a physical object) and a license to use the asset for a specified purpose. NFTs (and the associated license to use, copy or display the underlying asset) can be traded and sold on digital markets.
NFTs can be sold on sites such as:
Blockchain and the technology enabling the network have given the opportunity for musicians to tokenize and publish their work as NFTs. This has extended the list of options for musicians and artists alike to monetize and profit from their music as well as other content surrounding the themes of the music and the artists public image. In addition, NFTs have provided the opportunity for artists and touring musicians to recuperate lost income due to the 2020 COVID 19 pandemic which resulted in music industry revenues falling nearly 85%.
NFTs were utilized by artists to increase revenue during the pandemic . In February 2021, NFTs reportedly generated around $25 million within the music industry (in an industry with annual revenue of over $20 billion or .125%).On March 3, 2021, rock band Kings of Leon became the first to announce the release of a new album, when you see yourself in the form of an NFT which generated a reported $2 million in sales. Other musicians that have used NFTs include the rapper Eminem.
At a very high level, most NFTs are part of the Ethereum blockchain. Ethereum is a cryptocurrency, like bitcoin or dogecoin, but its blockchain also supports these NFTs, which store extra information that makes them work differently from, say, an ETH coin. It is worth noting that other blockchains can implement their own versions of NFTs.