How to Buy A Fluf Part I — Your Guide To NFTs
Welcome to our How To Buy A Fluf series! We’ve written this for beginners and newcomers, who need a bit of help understanding the NFT space before venturing down the rabbit hole to buy their first Fluf.
Part I – Your Guide To NFTs
Part II – Buying Your First Fluf
Feel free to jump straight to Part II if you’re already up to speed!
For those who need some background first, let’s hop right in…
Part I – Your Guide to NFTs
All this talk of NFTs, crypto, blockchains & the metaverse got your head swirling?
We don’t blame you. When you’re new to the world of Blockchain technology and DeFi (Decentralised Finance), these terms can be downright confusing; especially if your first introduction to them was in the context of Elon tweets, dogecoin, wen moon/lambo and getting rekt.
But jargon aside, we believe this industry is the most exciting space in the world right now and for good reason. From blockchain and play-to-earn gaming, to AI integrations with VR, we’re literally shaking at the possibility, and you should be too!
And the even better news? If you’re reading this, you’re early. Like super early.
So whether you have a bit of background, or are the new kid on the block(chain), keen to dive in and start stacking Flufs, read on.
Part I — Your Guide to NFTs
It all starts and ends with the blockchain…
So, what the FLUF is a blockchain?
Put simply, it’s the technology that makes all of this possible.
A blockchain is a shared database, managed by a network of global computers. Information that’s held inside the database is distributed and reconciled by computers in the network, referred to as nodes, miners, or peers.
Any new piece of data that enters is validated and transmitted by ‘members’ of this blockchain. In the case of a cryptocurrency, this is essential to how currencies like Bitcoin operate.
If Nicki sends Tama one Bitcoin, an entry is published into the Bitcoin blockchain. The computers in the blockchain validate this transaction, verifying that the data representing the currency has been sent. Nicki’s account is debited, Tama’s is credited and this transaction is perfectly accounted for across this shared network. Order is restored.
But what makes blockchains truly unique is the fact that they don’t have a central authority. All the entries are viewable by the whole network and when data enters a blockchain, it’s there forever. Blockchains agree on this history of transactions without a central server. They’re decentralised, which is part of what makes them so innovative when compared to traditional finance. No one single entity has control, and so it can’t be controlled! Vive la revolution!
If you’ve made it this far… bear with us. Next, we’ll tell you how this all relates to NFTs.
What is an NFT?
So what exactly is an NFT?
First, let’s explore the definition.
Non-fungible surprisingly isn’t a made-up word, or a Harry Potter spell. In economics, it refers to an asset that is unique and unable to be interchanged.
A dollar bill, for example, is a fungible asset. You can swap it for another one, and essentially have the same item.
Something non-fungible can’t be directly replaced with another asset. It is one-of-a-kind, or has qualities that differentiate it from others, like an artwork, a rare trading card, a piece of land, or a diamond.
And this is where the blockchain comes in. What if there was a way to verify ownership of these unique items digitally? From physical, real-world items to digital products like art and music? A computerised ledger system that stored this information perfectly, showing every transaction over the life of this item, who has owned it, who they’ve sold it to, while verifying its authenticity? Impossible I tell you!
Until NFTs hopped on the scene.
An NFT, or Non-Fungible Token, is a one-of-a-kind asset, represented in tokenised form on the blockchain.
The implications of this technology are only just starting to be realised. From gaming, art and music, to ticketing, real estate and royalties for artists in perpetuity with each sale of their original creations on the blockchain, there are countless applications for seamless and authentic digital verification of ownership of a unique item. Throw smart contracts into the mix and the possibilities grow even further. But that’s a whole other rabbit hole…
Still with us?
You’re probably thinking ‘get to the damn point’, so we’ll wrap up soon. The key takeaway is, blockchain technology has enabled a digital trading system that verifies unique ownership. The implications are huge, and like the trading cards you remember as a kid, they’ve spawned digital collectible ecosystems where unique pieces can be owned, traded and used to participate in digital events.
Enter FLUF World, our own exciting NFT universe, or metaverse (we’ll get to this later) and home to 10,000 3D animated rabbits on the blockchain. Unique and of varying rarity, a Fluf is your ticket to our community and world of creativity, inclusivity and opportunity. From using your Fluf as an avatar in a virtual world, to trading, collecting, breeding and producing derivatives with your Fluf that you own the full rights to, FLUF World is an NFT rabbit hole, just waiting to be explored.
With so much in the works, you’re going to want to grab one… and quick.
In Part II of the How to Buy a Fluf series, we’ll guide you step by step through the process of buying yours.
