>>4883988Imagine I borrowed a dollar from you, and we agreed that I will pay it back tomorrow. When tomorrow arrives and I give you a dollar, you won't check to look if that us the same exact dollar bill you gave me the day before. What matters is I gave you money equivalent to a dollar. I could have legally given you four quarters or ten dimes. What matters is I gave you a dollar. That means a dollar is interchangable and exchangable with money of equal value. This 'exchangeability and interchangeability' is what makes it 'fungible'. Stocks are also fungible.
Now imagine something that isn't changeable, like a title deed, or a Mona Lisa painting or my shoes. If you borrow my shoes, you should give me back my EXACT shoe or I will call my cousins and run a train on your sister. This lack of exchangeability and interchangeability makes those shoes non fungible.
Now imagine if you sent a file to another computer, and for that file to be truly sent, every computer on that computer network had to verify that you indeed have sent that file. After verifying, they update their file database to reflect this. And one can't copy and send the file twice because it's illegal and every computer acts as a police to prevent this. That is an extremely shallow analogy of what a blockchain is. This 'file' is cryptocurrency.
Now imagine if this cryptocurrency was a picture or a url to a picture and I sent to you in exchange for money, and this picture is unique, like the Mona Lisa. This is an NFT.
There you go. I am mostly right, so someone correct me where you see any errors.
