Do No-Follow backlinks work in SEO?

Nofollow is html tag that website owners, add to links in their website for the search engines not to crawl, notice, or acknowledge a link. While a nofollow link is ignored, but popular social networking site like Twitter, Facebook, LinkedIn, Myspace sites are nofollow, but they do provide a lot of other benefits.
 
No follow links don’t pass any link juice, they don’t help increase PageRank and doesn't help the site/page it’s pointing to rank any higher. Is this mean? Well no, not when you consider the alternative The no follow tag was introduced to help cut down on and prevent spam. You see, when people learned of the importance of links “pointing” to a site, some sites went overboard and started getting them by any means necessary. They would buy them, pay people to mass link to their site, abuse comments (by spamming their links), etc. just so they could increase their search engine ranking.
 
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