Simply put, NFT’s (or “tokens”) are digital assets. Various examples include movies, drawings, music, and digital artwork.
By their very definition, NFT’s are non-fungible, meaning that they cannot be traded for something else. For example, Da Vinci’s original Mona Lisa is non-fungible; only one original version exists, and there will only ever be one. Contrarily, U.S. dollars are fungible—trade one dollar for another dollar and you end up with the same thing.