The etymology of this term remains unclear. The OED (nifle) notes several possible suggestions: a Latin etymon (nichil); a derivation from nefle or a parallel with niule. Each proposed etymology is problematic.
s.
1nifle, worthless object:
(
s.xiii1/4; MS: s.xiiim
)
Cele baptisterie ne valt une nife (l. nif[l]e)2115
(
1463
)
Que nulle persone [...]vende en ascune part dedeinz cest Roialme ascune lavne, Nifels, umple, ou ascun autre manere dez couverchiefs dount le price dun plite passera x s.
ii 401
nifel (s.xiii1/4)