After the initial flurry of niche the crop collective blockchain cryptocurrency NFT project in 2021, a few catalysts helped push NFTs into the mainstream. First, CryptoKitties took off, becoming one of the most popular games on the Ethereum blockchain with non-fungible digital collectibles based on cartoon cats. Its success pushed NFTs into the public consciousness and spurred many others to follow suit.

In the past two years, we’ve seen everything from classic Internet memes like Nyan Cat to real-life cultural events turn into NFTs. These unique tokens can be bought, traded, and sold, enabling artists behind the creations to finally get paid for their work. For example, the NFTs of Twitter founder Jack Dorsey’s first tweet and Tim Berners-Lee’s original source code for the world wide web have both been sold for millions.

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Moreover, major brands have started using NFTs to reach new markets and engage their audiences with fun, interactive experiences. Lamborghini, Coachella, and Time all embraced the technology by launching their own NFTs in 2021.

NFTs can be bought and sold on a variety of exchanges, but the most common is the Ethereum blockchain. NFTs are represented by unique identifiers called tokens that hold data that can be validated on the blockchain. Ownership of a token can be transferred between players on the same platform or from one game to another.

NFTs can be used in video games as a way to represent items and skins that can be moved between platforms on a unified blockchain. This is one of the key features of blockchain gaming, which will eventually enable users to have a single digital representation for their entire virtual identity that can be moved between games and across platforms. NFTs are also starting to be used in other virtual realities as well, including virtual art galleries and esports betting platforms.