# Background

While NFTs are not a new concept, in their most current form they have risen from an obscure Ethereum blockchain standard to a crypto-mainstream expression of digitally tradable assets. They are used to trade everything from digital ‘punks’, breeds of cats, to one-off pieces of digital and sometimes physical art and assets.

NFTs are based on a series of robust token standards and enable a multitude of functionality to be exchanged by users in the crypto ecosystem. They have risen nearly overnight to a USD 2.5 billion[\[1\]](https://www.reuters.com/technology/nft-sales-volume-surges-25-bln-2021-first-half-2021-07-05/) industry in just the first quarter of 2021, with sales topping USD 208 million in August alone the highest ever recorded[\[2\]](https://www.reuters.com/technology/nft-sales-volume-surges-25-bln-2021-first-half-2021-07-05/https://markets.businessinsider.com/news/currencies/nft-sales-volume-record-highs-nonfungible-token-price-crypto-markets-2021-8).