Ready to dive into the world of NFTs? In this article, we’ll be discussing these digital creatives, which are especially relevant in the market of using technology to sell digital art. Without further ado, let’s discuss how to make, sell and buy them.
What are NFTs?
NFTs are non-fungible tokens, which refer to something that is one of a kind or very rare. NFTs are usually part of the Ethereum blockchain (cryptocurrency) which supports the storage of extra information. This sets them apart from others, though other systems can have their own versions of NFTs.
Let’s put NFTs into context so that we can examine the potential value they hold. These are some of the most noteworthy NFT sales:
Top 10 Most Expensive NFTs
- Artist Beeple’s “Everydays: the First 5000 Days” artwork sold for $69.3 million, with bidding having started at $100.
- CryptoPunk #3100, one of the first NFTs on the market, sold for $7.58 million. CryptoPunk is a rare collection of characters belonging to the 9 Aliens group.
- The founder of Twitter sold the first-ever Tweet for $2.9 million. It read “just setting up my twttr” and dates back to 2006.
Circling back to the digital art trade, we can make sense of the above as follows: For centuries, fine art has been collected and traded. In today’s world, this market is opening up to digital forms. While it is not yet established, there are many who are involved in this business online. People are even buying videos and tweets. Essentially, if you ever find yourself the center of a meme, you make bank on that image.
What sets these apart from traditional art sales are longevity, safety, and storage. One of the main separating factors between digital art, however, is the technology factor. A digital file can be copied. This contradicts the definition of an NFT, which is something unique. Hence NFTs give the purchaser ownership of the work (not necessarily copyright and reproduction rights). What this means is that you’ll have the original, though copies can be made. IN digital terms, there isn’t as great of a difference as there is when it comes to traditional artworks that have prints when we comparing in terms of value.
Artists can use NFTs to sell their work, which can result in a payment for your work, and potentially ongoing ‘royalties’ if it is sold or exchanged in the future. Buyers, on the other hand, will enjoy the right to use the creative work and a blockchain entry to boast. But NFTs are limitless in what they can be - they can be used to represent ownership of a physical object, for example.
NFTs are essentially speculative assets, where you hope they will increase in value for later re-sale. The market is full of hopefuls and opportunists. There are also those trying to link NFTs to real-world objects through authentication methods. Gaming has also caught on, with some selling virtual elements within the game as NFTs, allowing the players to have a unique feature.
How to Make NFTs
To create an NFT, you’ll click on the ‘Create’ section of the marketplace you’ve chosen. You’ll have a choice been singular or multiple, meaning you can sell a collection of images, for example. Then, you upload the relevant material, where it is in PNG, GIF, MP3, or PDF format.
Therefore, these marketplaces require you to upload the content. You’ll need to create the content beforehand and have it ready to upload.
How to Sell NFTs
Each platform has its own simple to follow procedure, but here are the basics that you can expect:
Step 1: Choose the marketplace where you will create and list the NFT. Examples include Mintable, Rariable, and OpenSea. Some of these marketplaces are free to join and have no moderations in place for the kind of content you can list. Others have approval processes to sell NFTs on their platform.
Step 2: You will need to create a profile and connect your digital wallet.
Step 3: Create an NFT.
Step 4: List the NFT. You’ll be able to set the selling price, put it up for auction, or sell it in a bundled sale.
Step 5: Market your NFT. Creators need to market their NFT in order to draw interest and attraction to the listing.
* Sellers usually have the option of setting up a curated storefront. This is the norm for creatives, who have private and virtual galleries to keep their work separate and cohesive. This protects the value and perception of the work itself.
Read more about marketing meets cryptocurrency: How Digital Strategies Support Top Cryptocurrency Projects
How to Buy NFTs
Create a digital wallet, visit the various marketplaces and make purchases. The sales are made in the form of purchases or bids. Then, you essentially follow through with the checkout process just as you would when shopping online. Once you’ve bought NFTs, you can add them to your collection.
That wraps up our overview on how to create, sell, and buy NFTs. It’s a crypto trend that holds a lot of opportunities for creators and buyers alike. What do you think of NFTs and are you eager to get involved? We’d love to hear your thoughts on this exciting avenue in digital sales.