Elon Musk recently joined the criticism of Non-Fungible Tokens (NFTs) by calling out the idea that many of them are not stored on-chain. He suggested that artwork should at least be encoded in the blockchain in order to avoid the risk of losing it if the company housing the image goes out of business. This criticism is not true in all cases, as some projects on Ethereum store their artwork on-chain. NFTs are not the artwork itself, but rather a receipt or proof of ownership connected to something, whether it be digital artwork, a game item, or a physical item. On the other hand, the Ordinals protocol on Bitcoin does ensure that all artwork and media is fully on-chain, and as long as the Bitcoin network is live, these NFT-like assets will remain. Bitcoin advocates responded positively to Musk’s comments, emphasizing the superiority of Ordinals over traditional NFTs. #ElonMusk #NFT #Ordinals #Bitcoin #Crypto
You can read more about this topic here: Decrypt: Elon Musk Blasts NFTs—And Bitcoin Fans Love It
