Explained: Fractional NFTs (F-NFTs) and How They Work

NFTs, or non-fungible tokens, represent a new era of asset ownership that’s decentralized and transparent. One of the key defining features of NFTs is their guaranteed exclusive ownership. An NFT can’t be replicated or forged; it’s essentially a one-of-a-kind token. 

However, this exclusivity severely limits what NFT holders can do with their assets. This has led innovators in the space to push the boundaries of what’s possible for NFTs, including opportunities for fractional ownership. 

Fractionalization allows crypto investors to own a fraction of a big pie with little to no chances of getting ripped off. The concept is similar to owning shares of a company. It opens up NFT ownership to small- and mid-tier investors, instead of just whales with fat bank accounts. 

So, what exactly are fractional NFTs, how do they work, and what are their benefits for investors? Read on to find out. 

What Is a Fractional NFT?