NFTs have emerged as the most likely candidate for mass crypto adoption. The technology’s recent catapult to the mainstream was both impressive and, for the most part, unexpected.

The past year’s Cambrian explosion may lead many to believe that non-fungible tokens are a brand new innovation. However, the concept has been decades in the making.

Who Created NFTs?

The idea of NFTs has naturally existed for far longer than the technology itself. The technology we see today is the result of enduring research, discussions, and tireless iterations. This makes the history of non-fungibles a constant source of debate. 

It may come as a surprise that the first recorded NFT marketplace was created by artist Kevin McCoy in 2014. Nine years ago, McCoy collaborated with tech entrepreneur Anil Dash to launch Monegraph on the Namecoin blockchain. 

Monegraph introduced verifiable, immutable NFTs under the moniker of “monetized graphics”. Users were able to create digital files and mint NFTs. To showcase this brand new tech, McCoy’s abstract gif, Quantum, was transferred to Dash for a price of $4. 

While Quantum is widely considered to be the first ever NFT, earlier precursors still challenge the title. Ethereum’s co-founder Vitalik Buterin references early NameCoin NFT domains in Ethereum’s whitepaper. 

Indeed, NFTs ranging from domains to pfp (profile picture) avatars were hosted on Namecoin well before Quantum’s creation.

A timeline of digital collectibles tokenized on the Namecoin Blockchain (HarryBTC)

When were NFTs created?

Implementations of the technology predate most cryptocurrencies available at present. However, the term “NFT” was first coined in 2017 with the release of Ethereum’s ERC-721 token standard. ERC-721 has since been adopted as the primary token standard for the creation of NFTs.

The NFT space made incredible strides in 2017. CryptoKitties was among the first projects to utilize ERC-721. The early blockchain breeding game briefly thrust NFTs into the limelight as CryptoKitties’ volume infamously clogged Ethereum’s blockchain.

CryptoPunks also launched in 2017, prior to the release of ERC-721. The collection of 10,000 pixelated NFTs was created by LarvaLabs by tweaking Ethereum’s ERC-20 token standard. 

LarvaLabs claims that CryptoPunks inspired the creation of ERC-721. While this may be the case, CryptoPunks are far from the first NFTs built on Ethereum. 

How long have NFTs been around?

The idea of decentralized digital collectibles has been discussed for decades.

Late blockchain developer Hal Finney first toyed with the concept over 30 years ago. Finney was the first person ever to receive a BTC transaction from Satoshi Nakamoto. Many consider him a likely candidate for the digital currency’s still-unknown creator. 

Hal Finney discussing “crypto trading cards” in 1993 (CryptoSlate)

Early NFT Projects

Prior to the launch of Ethereum, NFT creators were forced to build primarily on top of Bitcoin. This was made possible through the development of a BTC protocol that enabled increased network utility, called Counterparty. 

Despite Counterparty’s innovations, Bitcoin’s limitations hindered further NFT development on the network. 

As a result, artists turned to Namecoin, which allowed for greater flexibility in terms of asset creation and exchange. Namecoin’s popularity as a digital art hub made the chain a hotbed for early NFT innovation. 

However, Ethereum’s smart contract functionality has afforded builders the freedom to innovate consistently. Ethereum has since become the primary base for NFT projects despite the network's high gas fees. Thankfully, ETH 2.0 and layer-2 scaling solutions are building intensively to increase scalability.

Colored Coins: 2013

Colored Coins emerged in 2013 as a precursor to NFTs, pioneered by Vitalik Buterin and eToro CEO Yoni Assia. 

Colored Coins sought to represent broader asset classes on the Bitcoin network. This required the implementation of metadata, which now forms the backbone of the NFT space.

Specifically, Colored Coins overlaid Bitcoin’s base layer. This allowed specific BTC tokens to be colored according to the type of asset they represent. The project envisioned coins for smart property, traditional finance shares, contracts, and more. 

However, Colored Coins was heavily limited by Bitcoin’s blockchain. The pressure the complex architecture imposed on the network made it far less viable than smart contract-based implementations seen today. Despite not fully realizing its vision, the project laid the foundations for future NFTs.

Colored Coins (The NFT Magazine)

Etheria: 2015

Etheria claims the title of the first NFT project launched on the Ethereum blockchain. The decentralized virtual world comprises tradable, hexagonal tiles that players may purchase to build on. 

The project deployed in October 2015, just months after Ethereum launched.  At launch, Etheria’s plots were sold at a fixed purchase price of 1 ETH (<$1) per tile.

After being quickly abandoned, Etheria resurfaced in 2021 as collectors hunted for historically significant NFTs. A tile from the collection sold for 70 ETH (~$130k) following the collection’s rediscovery.

The Etheria metaverse (Etheria)

Spells of Genesis: 2015

Long before Axie Infinity broke into the mainstream, Spells of Genesis was developed by EverdreamSoft. The March 2015 project was the first blockchain trading card game, built on top of Bitcoin using Counterparty. 

SOG features highly detailed trading cards, and blends TCG mechanics with point-and-shoot gameplay. The GameFi pioneer is still available for download on Android, iOS, and desktop.

Spells of Genesis (youmeandbtc)

Rare Pepes: 2016

Launched in 2016, Rare Pepes was an early pioneer of digital collectibles. The collection of 1,800 cards is uniquely crypto, detailing characters and abilities based on the industry’s most popular meme. 

Rare pepes were developed on Bitcoin, and have become deeply embedded in crypto culture. Bitmex founder Arthur Hayes regularly punctuates his analyses with editions of Rare Pepe cards.

The rarest item in the collection, last sold for 111 ETH (Opensea)

Autoglyphs: 2019

Generative NFT collections are by far the most popular form of art-based NFTs at present. Autoglyphs claims the title of the first ever generative art collection, minted on Ethereum.

The collection comprises 512 items of randomly generated, abstract line art. Due to their historical importance, Autoglyphs have maintained an impressive 340 ETH floor price throughout the current bear market.

Autoglyphs can be considered the forefather of today’s most prominent collections – CryptoPunks, Bored Ape Yacht Club, Fidenzas, and more. 

Autoglyph #463, sold for 460 ETH ($1.7m) in September 2021 (Opensea)

NBA Top Shot: 2020

Despite only launching in 2020, NBA Top Shot gave rise to another popular narrative – tokenizing historical moments on the blockchain. The collection was launched by Dapper Labs in partnership with the NBA. Minting an NFT gave holders the opportunity to own historical basketball milestones and collect cards from their favorite players. 

This form of NFT has been adopted widely by world-class athletes aiming to foster a deeper connection with their fans.

NBA Top Shot packs (USA Today)

What Was The First NFT?

Many NFT researchers point to Kevin McCoy’s Quantum as the first NFT ever created. It may be true that Quantum was the first iteration of NFTs as we know them. However, the first artwork tied to a digital asset emerged three years prior on Namecoin.

BitDomains launched in April 2011 as a collection of 11,894 .bit domains, a predecessor to the ubiquitous Ethereum Name Service (ENS). The first domain, d/bitcoin, was minted on April 21, 2011, and is rumored to have been minted by Satoshi himself.

Perhaps the first ever NFT? (HarryBTC)

FAQ

Who was the first person to create an NFT?

Kevin McCoy was the first person to create an NFT platform to sell NFTs. His artwork, Quantum, is widely considered the first ever NFT. However, McCoy is far from the first person to create NFT art. 

How can I start creating NFTs?

Anyone can create and sell an NFT on generic marketplaces like Opensea and Looksrare. These platforms offer free minting services and require minimal gas fees.

Origin Protocol develops native, white label NFT marketplaces to serve specific projects and NFT creators. Creators looking to launch their own platforms can reach out by contacting [email protected]