ELP Podcast Series - Non-Fungible Tokens (NFTs):Understanding the Basics

 While nowadays one keeps hearing about cryptocurrency, the concepts of non-fungible tokens and smart contracts have also become quite popular. But there remains a lot of ambiguity as regards what exactly are NFTs and Smart contracts, how do they actually work and how are they practically used and applied in the real world? Only once these fundamental questions are answered, can someone truly attempt to rationalize about the taxation and regulatory framework governing these technologies. Keeping this in mind, in this part of the podcast, we will delve on the technology behind Non-Fungible Token or what is commonly known as NFTs, which will help in contextually understand the recent taxation introduced by the Indian Government on Virtual Digital Assets, as also, the possible regulatory framework which one can imagine may apply to this technology in the future. In the second part of this podcast, we will use the same lens to examine the concept of Smart Contracts, the application of smart contracts and the potential complications that could arise when the existing legal framework is sought to be applied to this technology.