In this NFTs crypto article, I will cover, what are NFTs, types of NFTs, NFTs examples, and how to buy and sell NFTs.
What are NFTs
NFT is a collective digital asset that holds value as a form of cryptocurrency and as a form of art. NFTs stand for non-fungible token, a digital token that’s a type of cryptocurrency just like bitcoin and Ethereum, however unlike a standard coin in the bitcoin blockchain, NFT is unique and can not be exchanged like for like making it nonfungible.
NFT are one-of-a-kind assets in the digital world that can be bought and sold like any other piece of property, but which have no tangible form of their own. The non-tangible tokens can be thought of as certificates of ownership for virtual or physical assets.
Artworks such as paintings are valuable precisely because they are one of a kind but they can be easily duplicate, however with NFTs artwork can be tokenized to create a digital certificate of ownership that can be bought and sold.
Types of NFTs
Currently, there is no certainty of definite answer for what NFTs, NFT can be pretty much anything. Here is the list of sensible NFTs available in the market:
The main idea behind NFTs was to create a prime opportunity for artists to sell their best works online, just like an art gallery. Currently, most expensive NFT are works of arts this goes for video arts, short videos, GIFs, and other things that fall under this category
Musicians can keep roughly 100% of their money when they sell on NFT, yes music can also be sold on NFT among other things too.
Most videos games companies are not selling their entire games as NFTs, rather they will sell in-game content like characters, skins, and other components of the video games
People can buy and trade virtual versions of cards on NFT markets and keep them just like keeping the real thing, and that like the real thing some can be sold for over a million dollars.
Companies can also sell lots of collectibles on the NFT markets, not just trading cards.
- A unique digital artwork.
- A unique sneaker in a limited-run fashion line.
- An in-game item.
- An essay.
- A digital collectible.
- A domain name.
- A ticket that gives you access to an event or a coupon.
How to Buy and Sell NFT
Before you start you will need to consider the blockchain you will like to trade NFT on, Ethereum is one of the best, you can also consider another platform:
- Binance Smart Chain
- Flow by Dapper Labs
Each blockchain has its own separate NFT token standard, compatible wallet services, and marketplace. The main Ethereum marketplace for NFT is open sea, rarible, main table. Open sea is currently the largest Ethereum based NFT marketplace. Here is how the process works on open sea:
- Tap on the create button you will be redirected to a screen asking you to connect your ethereum based wallet
- Enter your wallet password and you will automatically connect your wallet with the marker place.
- You will be asked to digitally sign a message in your ethereum wallet to prove you own the wallet address, this does incur a fee.
Create an opensea and follow the prompt to upload your artwork. To sell your artwork locate them in your collection and click on sell.