What are the key terms to know in NFTs and Web3, the internet of things, cryptocurrencies and much more terms and technologies are now the trend- NFTs - How to Make NFT Collection
NFTs, web3.0, internet of things, cryptocurrencies… and much more terms and technologies are now the trend on online talks and innovative technologies, and we all want to get into these industries and know more about them, but first, you should review and know some terms before you get started.
In this article, we’ll share with you all the main and essential terms of NFTs.
Non-Fungible Tokens (NFTs) are unique, digital items with blockchain-managed ownership. Examples of NFTs include digital art, collectibles, virtual reality items, crypto domain names, ownership records for physical assets, and more. For further information on NFTs Read: What are NFTs and how do they work?
A blockchain is a distributed database that is shared among the nodes of a computer network.it is a digitally distributed ledger that facilitates the process of recording transactions and information across a network. You can think of it as a decentralized or distributed database. OpenSea supports the following blockchains: Ethereum, Klatyn, Polygon.
A crypto wallet is an application or hardware device that allows individuals to store and retrieve digital Items, like cryptocurrency and NFTs.
Ethereum is a blockchain, and ETH is the currency used to make transactions on the Ethereum blockchain.
Also known as "public key". a wallet address is unique. It’s the address people will use when they are sending cryptocurrency or NFTs. NFTs and cryptocurrency do not live in a wallet—they exist on the blockchain, under a wallet address. a software or hardware wallet only contains the key to that address. On Ethereum, an address starts with a "0x".
A smart contract is a computer program or a transaction protocol that is intended to automatically execute, control, or document legally relevant events and actions according to the terms of a contract or an agreement.
Think of this as an acronym for decentralized finance., to know more about this term check our article: Defi and Cefi what’s the difference?
A collection is a body of work, like a store or gallery. If you see someone refer to an OpenSea collection as a store or gallery, don’t get confused – it’s all the same. We use the term collection to keep things simple.
it is something that has value or rarity, such as mini-figures or special edition sneakers.
This is an event where users receive free tokens for holding onto certain types of assets. ex: if you own an NFT you can get their children for free.
Think of gas fees as Ethereum blockchain transaction costs or fees. OpenSea has no say in setting gas fees – they are determined by supply/demand across the network (blockchain).
To mint, an NFT is a process of creating NFTs on a blockchain.
If you need to make a transaction without going through an exchange, then you’ll use P2P trading instead. It’s also known as person-to-person or direct trade.
Items with different rarities get assigned with a certain number on the Ethereum blockchain. They’ll have unique IDs and metadata and get labeled as “Legendary” or “Mythic.”
A programming language for Ethereum-based crypto token smart contracts. It stands for “Secure Interoperable Datamarketplace,” which is what this language does when people design any new NFT on the blockchain, including illustrations and 3D models with metadata underneath to describe each asset’s unique history or story.
Now that you’re armed with some of the most important terms, it’s time to get out there and have fun in the exciting world of NFTs.
If you’d like to know more about NFT or get into the field: you can read our blog articles on the Genfty blog
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