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Book

      Naturally, this book explains the basics of NFTs, but we also touch on smart contracts and blockchain technology to explain how NFTs are secured and how they operate. Additionally, we touch on various economic and legal themes to convey the rich possibilities of what might be achieved through NFTs.

      This book is written to satisfy a diverse array of interests — ranging from lighthearted games to thought leadership in future NFT use cases to more technical explanations that cover the inner workings of the smart contracts that power NFTs and the blockchain technology that secures them.

      You don’t have to read the book in its entirety to understand the separate topics. This book intends to provide a customizable journey for all audiences — whether you’re simply curious to learn the NFT lingo, interested in buying and selling NFTs, or filled with a burning desire to code up and deploy your own ERC-721 non-fungible token.

Foolish Assumptions

      The biggest assumption we make about you is that you’re interested in learning about NFTs. We mean it!

      We do make additional assumptions in writing our how-to guides that are peppered throughout this book. Although we assume no prior knowledge or experience in programming, blockchain technology, or cryptotrading, we do assume that you

       Have a computer and access to the Internet.

       Know the basics of navigating your computer and the Internet, and know how to download, install, and run programs.

       Recognize that some web addresses or long hashes may be split across two lines of text. Keep in mind that these web addresses and large numbers should be copied verbatim as though the line break doesn’t exist.

       Understand that things move quickly, especially in the world of crypto, and that some of our illustrated guides may no longer represent ongoing conditions on the ground by the time you read this book.

      Finally, we assume that you know we are not fiduciaries, and we do not provide investment advice. The marketplaces we describe and the step-by-step guides we provide for buying and selling NFTs are meant to be demonstrative and informative.

Icons Used in This Book

      Throughout this book, we use the following icons to guide your expectations and direct your attention to certain pieces of information.

      

The Tip icon is used to draw your attention to potential shortcuts or easy adaptations that can be made without breaking an entire system. (Yes, you will learn what we mean by this!)

The Remember icon is used to highlight information that’s particularly important to know or that can help clear up possible confusion later.

      

The Technical Stuff icon is used to direct your attention away (if you’re a nontechie) or to draw your attention to (if you’re an aspiring techie) bits of more technical information that aren’t required to understand the main points.

      

The Warning icon tells you to watch out! It marks important information that may save your time, sanity, tokens, or even friendships.

Beyond the Book

      In addition to the material in the print or ebook you’re reading right now, this book comes with a free access-anywhere Cheat Sheet with some additional tips for your learning pleasure as well as access to copy-and-paste-able code that should prove helpful in your pursuit to join the nifty world of NFTs. To get this Cheat Sheet, simply go to www.dummies.com and type NFTs For Dummies Cheat Sheet in the Search box.

Where to Go from Here

      As obvious as this sounds, we recommend that you begin with Chapter 1. From there, you can choose your own adventure based on whether you’re more interested in trading, minting, or thinking up imaginative uses of NFTs.

      You don’t have to read the entire book to understand select topics. We guide you as appropriate if certain sections or chapters require knowledge from an earlier section or chapter in the book.

      Let’s get started!

Part 1

      Getting Started with NFTs

IN THIS PART …

      Discover the world of non-fungible tokens.

      Meet the very first NFT: CryptoKitties.

      Find out how to own your own NFTs.

      Learn about current and potential uses for NFTs.

Chapter 1

      Introducing Non-Fungible Tokens

      IN THIS CHAPTER

      

Defining non-fungible tokens

      

Introducing NFT use cases

      

Understanding how NFTs work

      

Learning about NFTs as an investment

It all starts with Bitcoin: the original blockchain-based cryptoasset. With the latest run-up in Bitcoin prices (see Figure 1-1), the Internet is buzzing about crypto again. In fact, Google search trends within the US show that Googlers are now as curious about Bitcoin as they are about the country’s new president (see Figure 1-2), and interest in NFTs has naturally surged with the Bitcoin tide (see Figure 1-3).

      With wild and exciting accounts of art-burning ceremonies and million-dollar NFTs, a mix of amazement, confusion, and even disdain surrounds this mostly “normal” but misunderstood digital creature.

      In this chapter, we walk you through the basics of NFTs — what they are, how they work, and what they’re used for. The purpose is to provide you with a roadmap to decide which aspects of NFTs you would like to learn more about so that you can customize your reading selections in the chapters that follow.

      From https://coincap.io/assets/bitcoin.

FIGURE 1-1: Bitcoin price chart.

      FIGURE 1-2: Google Trends comparison of

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