Have you ever heard of an artist called ‘Beeple’? Perhaps, you know the name, Jack Dorsey? If you have heard the names or not, do you know what they have in common? Well, given the title, it should come as no surprise that the answer is NFTs (non-fungible tokens). ‘Beeple’ is an artist who made history back in 2021 when he sold one of his works for over $69 million. Dorsey, better known as the CEO of Twitter, sold his very first Tweet as an NFT for almost $3 million.
Both of these vast sums were made thanks to NFTs and, understandably, there are plenty of people out there who are looking at how to get in on the action. If you’re one of those, then here’s a look at how you can get started.
A simple description of NFTs
If you are new to NFTs, then before you get started you are going to need to have an understanding of what they actually are. There are some pretty confusing definitions out there! In simple terms, an NFT provides a digital tag for someone. Using blockchain technology gives proof of authenticity when it comes to digital files.
With real-world art, for example, for a well-known masterpiece, a buyer would be looking at spending a significant sum. Before spending, they would want proof that the piece was authentic. NFTs do the same thing in the digital world.
How can you make money with NFTs?
Having got a simple definition out of the way, the biggest area to explore is exactly how people can, and do, make money from NFTs. We’re going to take a look at that now, but you could also take a look at https://learncrypto.com/blog/myth-busting/how-does-an-nft-have-value to understand why NFTs have value in the first place.
It is perhaps unsurprising that, to make money with NFTs, you need to be involved with buying and/or selling them. This is how you go about doing that:
A digital wallet
If you want to get started with making money from NFTs, then a digital wallet is the first thing that you will need. The digital wallet will be the place where you store your cryptocurrency so that you can go ahead and make transactions. There are plenty of wallets to choose from such as Metamask and Coinbase.
Decide on the currency that you will use
There are various NFT marketplaces that exist and you will need to explore which cryptocurrencies they deal in. It is highly likely that Ethereum will be used as will its blockchain. This makes Ethereum a good currency to go with.
Exploring NFT marketplaces
With your wallet and currency good to go, it’s time to head over to the various marketplaces. Here, you can browse and see if there is anything that you want to buy, or, you can upload your own work for sale. Buying is pretty similar to how eBay works, in that you will be bidding on items. The most popular marketplaces include:
More about creating NFTs
For some people, all that they are wanting is to buy NFTs, and that is more than okay. After all, they are an asset that can significantly increase in value. However, if you are at all creative, why not create and sell your own NFTs?
The reality is that the major marketplaces make it really simple. All that you need to do is head to the ‘create’ section and off you go. How much your NFT will make is anyone’s guess, but with a little talent, who knows how your designs could take off?