Amid the Internet’s buzz about cryptocurrency and Bitcoin, a new contender has emerged: NFTs. These cyber resources have caused quite a stir online–mostly because very few people understand what it truly is.

What does NFT stand for?

NFT stands for non-fungible token.

Essentially, an NFT is a digital asset that belongs solely to its owner–it is not interchangeable, nor can it be copied or replaced. It is not the same as a dollar bill (or even Bitcoin) in that one NFT is equivalent to another. Rather, it is a unique digital property to invest in, similar to real estate or an art collection, except entirely computerized.

What are some examples of NFTs?

In theory, anything that manifests itself online (and that is supposedly valuable) can be an NFT: graphics, avatars, icons, music, and more. You could even upload a selfie and consider it an NFT, though that doesn’t guarantee it will make you millions.

Famous NFT sales include Beeple’s “Everydays: The First 5,000 Days” for $69 million, actor William Shatner auctioning 125,000 moments of his film career in the form of NFTs, or Jack Dorsey, CEO of Twitter, autographing his first Tweet and selling it for $3 million.

When someone owns an NFT, they technically become the owner of the work, able to reproduce and redistribute at will. Though people can still download most of the material and keep a copy of, say, Beeple’s $69 million piece, there is still only one person who owns it, and who can legally profit off of it.

So, what’s the point?

Perhaps the hardest part to grasp, even after all this explanation, is what could possibly be the point of NFTs? Though comparable, real estate and fine art at least have some inherent value within them. NFTs–and all Internet regalia, for that matter–are simply a deliberate assortment of pixels.

It might be helpful to view NFTs as a branch of abstract art, in which the meaning is implicit, rather than assigned. The confusion surrounding them is certainly part of the draw, as people start to invest in what could potentially be a hugely profitable venture. (Or not.)

Ultimately, the general consensus is that it’s too soon to tell what the future of NFTs are. They could be like most Internet fads, in that they experience an inflated sense of popularity for a while before disappearing almost completely, or they could evolve alongside the digital marketplace and possibly become the next economic frontier.

If nothing else, NFTs demonstrate that the virtual era of economics has only just begun, and it waits for no one.