A NFT (Non-Fungible Token) is an item in a game or virtual world that is unique and cannot be traded or exchanged with other items of the same type. In other words, they are one-of-a-kind and cannot be substituted by another token or item. Can Mp4's be NFTs?
While mp4's can be traded and exchanged for other items of the same type, one-of-a-kind mp4s cannot. In order to qualify as an NFT, it must not be possible to trade or exchange that token with another item of the same type.
MP3 files are a good example; they're both fungible (tradeable) and interchangeable within their "type" while video game characters provide non fungible tokens in some games like Overwatch where you have different skins available but those can't replace each other at all because there is no such thing as trading between players on different servers right?
The main difference between fungible and non fungible tokens is that the fungible tokens are exchangeable with other items or assets of the same type. In other words, fungible tokens are interchangeable with each other. This does not mean that all non-fungible tokens cannot be exchanged for another type of token; it just means that they cannot be exchanged for a token of the same type.
Non-fungible tokens are unique and cannot be substituted by another token of the same type because they have different properties or characteristics. For example, a collectible card is a non-fungible asset because each card has a different value depending on its rarity.
