How to Buy NFT's: The Ultimate Guide
Our guide covers absolutely all aspects of NFT's. Learn how to buy NFT's safely and profitably in 2022!
NFT's have been all the craze lately...
I'm sure by now you've seen a couple of headlines talking about how people are making millions selling clip arts of rocks and monkeys.
And yet, so many people still don't understand what NFTs really are...
So, if you're looking to buy an NFT, you've come to the right place!
Despite what you may think, buying an NFT doesn't always have to be complicated.
In fact, our method is rather simple!
This guide will walk you through how to buy your first NFT step-by-step, easily, safely and profitably!
What are NFT's?
Essentially, an NFT is a Non-Fungible Token.
It's a digital asset representation of music, art, videos, and in-game items.
The concept of NFTs is actually quite simple.
Essentially, any unique asset that can't be replaced can be categorized as non-fungible (a unique digital identifier that cannot be copied, substituted)
If you have Bitcoins and trade them for other Bitcoins, you get the same exact thing at the end of the day.
Meaning Bitcoins are fungible tokens.
On the other hand, if you have a one-of-a-kind Nyan Cat, that's a non-fungible token.
If you trade the Nyan Cat for something else, you'll have something completely different.
NFTs come with unique identifying codes.
For that reason, they create digital scarcity.
When it comes to NFTs, anyone can view the images or even an entire collage of the photos online.
So, why are people spending millions of dollars on items that you could easily download or screenshot online if that's the case?
Well, an NFT allows the buyer to take ownership of the original item.
That's not all; the built-in authenticating codes serve as proof of ownership, which are the ideal bragging rights for the collectors.
Best NFT Marketplaces
There are thousands of niche-specific NFT marketplaces in existence.
For that reason, it's always wise to decide the kind of NFTs you'd like to buy, sell or create.
With that in mind, here's a list of the most popular NFT marketplaces on the market...
OpenSea is on top of our list, and that's for a good reason. It's the leading NFT marketplace with a wide range of digital materials on the platform. You just need to sign up and browse the extensive offerings for free. The most remarkable thing about OpenSea is that it helps creators and artists by providing a simple approach for creating your own NFTs known as minting. The platform's moniker is also very befitting as it supports over 150 different payment tokens. If you're new to the NFT world, OpenSea is always the ideal place to start.
Nifty Gateway is another popular NFT platform that enabled most well-known digital artists, including Beeple and musician Grimes sell their music. Nifty is a cryptocurrency exchange-backed art curation platform that the Winklevoss twins control. Besides being a curated platform, Nifty Gateway hosts any NFTs acquired. That means the NFTs are stored in Nifty Gateway and Gemini rather than your wallet. This may not be suitable for NFT collectors who value flexibility in their art investments. But the good thing is that Nifty sales and purchases can be made in Fiat without first purchasing cryptocurrencies.
NBA Top Shot
The National Basketball Association and Women's National Basketball Association have entered the NFT real with NBA Top Shot. Collectible moments like play highlights and video clips, and art from the world's top basketball leagues can be acquired on this marketplace. By the use of Dapper Labs Flow blockchain, the NBA created it as a closed marketplace. For that reason, you can only buy and sell on NBA Top Shot. The good thing is that signing up and making purchases from the Top Shot marketplace website is relatively straightforward. You can get some collectible items with just a few dollars.
BinanceNFT is another NFT marketplace with lots of potential. The fact that it shares a large market gives it the opportunity to make a difference in the industry. Besides that, the platform holds one of the best blockchain networks of the crypto era. Another unique feature of the BinanceNFT marketplace is that it supports EVM to improve interoperability. Also, it provides the users with multiple minting options, which is a plus. So, if you are looking for the ideal platform that you can walk with into the future, BinanceNFT is the best option for you.
If you are looking for an app that can help you bid on NFTs and digital art, Foundation has just what you need. On this app, you have to make the sales using Ethereum. This is one of the youngest NFT marketplaces on this list, but its performance is still incredible. Foundation was launched in early 2021, and since then, the platform has facilitated the sale of over $100 million in NFTs. The Foundation Community invites artists to the platform. On the other hand, buyers who need to get started with purchases first need a crypto wallet well-funded with Ethereum. With that said, Foundation isn't really the app for you if you're looking for an easy and quick way to start creating NFTs. All the same, Foundation has plenty of artwork people can peruse in simple formats.
SuperRare is another reliable NFT marketplace that infuses the NFT world with that gallery vibe. SuperRare can be described as an art-first marketplace that prioritizes artistic intent and authenticity over meme-friendly art. Something unique about SuperRare is that you won't find those celebrity NFTs. That's mainly because SuperRare only accepts 1% of its applicants. While this may sound elitist, it means you will find a collection of carefully curated and intriguing artworks. The approach SuperRare takes gives it the feel of a high-end exhibition. This high-end feel is bolstered even further by the fact that creators are only allowed to mint one of the original NFT versions. SuperRare items have a high rarity level, just as the name implies.
Mintable is a unique NFT marketplace that has been backed by the billionaire Mark Cuban. This site aims to become a marketplace just like OpenSea. That aside, to participate in the selling and buying of NFTs, you need to have Ethereum in your wallet. Also, the platform supports the minting of NFTs for different creators. That ranges from musicians and photographers who are interested in selling their work as digital assets. An NFT collector who wishes to start purchasing or a creator who needs to sell first needs to have Ethereum in their cryptocurrency wallet. When this step is complete, they can connect Mintable to their wallet so that it's easier to buy and facilitate bids on the marketplace.
Zora started off as an invite-only platform for artists just like Foundation. However, Zora has subsequently evolved into an open marketplace over the years. Most collectors love Zora since the platform is easy to use and comes with unending bids that allow users to bid in different currencies. The main goal of Zora is handing creators and artists more control and ownership over their work. Today, Zora has developed to be an excellent arena for music NFTs. And that's not all. The platform also connects the physical and digital worlds. We have a few examples of this. First is the digital and physical copies of RAC's Boy album on cassette that were sold on Zora. To that end, Zora is becoming the ideal destination where super fans to sell actual things. We have Jeff Staple, a Nike designer who sells limited edition trainers on Zora.
Axie Infinity Market
Axie Infinity Marketplace is the online store for the video game Axie Infinity. In essence, Axies are legendary mythical creatures that can be purchased and trained before being battled against the Axies of other players for rewards. Players participating in this game can buy new Axies, entire lands, and other items as NFTs for use in the game from the Axie Infinity Marketplace. Using the Ethereum Network, users can also create Axie Infinity Tokens, which are also known as Axie Shards. This makes the tokens available for sale on other NFT markets and Crypto exchanges such as Coinbase Global.
The Rarest NFT's Ever Sold
#1 | Beeple: Everydays - The First 5000 Days
Creation Date: October 2020
Price: $69.3 million
Creator: Mike Winkelmann
Everydays-The First 5000 Days is an NFT artwork that's been making waves in the crypto space.
The artwork was sold at Christie's at $69.3 million, making it one of the most expensive NFTs ever sold.
The buyer, Singapore-based programmer Vignesh Sundaresan said that this artwork would quickly become valuable over the years, and that's why its price was so high.
Sundaresan received the rights to display this artwork.
However, he doesn't get the copyright. And to make things even more interesting, Sundaresan has displayed this artwork in a digital museum in the Metaverse, and people can view it using their web browser.
How cool is that!
The artwork is also named because it's a collection of 5000 individual images. These images were made over thirteen years from 2007 to 2020 every day by Beeple.
More importantly, this piece is the first purest form of digital NFT ever offered by a significant marketplace.
After the sale, Beeple was ranked as the most valuable artist.
What's more, this sale is credited by many people as the first piece to drive NFTs through the roof. Most search engines went crazy after this sale.
#2 | LeBron James 'Cosmic' Dunk #29
Creation Date: 2019
Creator: NBA Top Shot
Card trading has always been a popular activity, so it only makes sense that it would move to the NFT world.
That's how James' Cosmic dunk made it to the digital space and was sold for $208,000 to a user named Jesse.
Dapper Labs collaborated with NBA Players Association and launched the company NBA Top Shot.
These trading cards are sold as NFTs, and like the physical trading cards, some of them tend to be rarer than others.
And so far, the most expensive NFT card sold is the 'Cosmic' dunk #29. This NFT shows LeBron doing a one-hand slam dunk against the infamous Sacramento Kings back in 2018.
It's one of the highlights of LeBron's Basketball career. These dunks can be showcased in the Metaverse, but the NBA Top Shot still reserves the full rights.
However, it's still an epic NFT to own and showcase as a part of your collection if you are into basketball.
There are other versions of this form of NFT, but none of them beats the uniqueness of the 'Cosmic' dunk #29.
#3 | Mars House
Creation Date: May 2020
Creator: Krista Kim
Mars House goes down in history as the first-ever digital house to be sold as an NFT.
Krista Kim designed this futuristic abode, and it features a breathtaking view, see-through furniture, and other orange tones within the house.
But what really makes this house stand out from any different model is its location.
Of course, it doesn't have a physical location.
All this happens to be digital. However, the Mars house is actually located on Mars in the digital realm, but only as a 3D file.
What's more, the Mars House is the first digital home to exist. Kim designed the house using Unreal Engine, a software quite common in gaming. And, it's used to create gaming worlds.
The winning bidder has the rights to the commission of the furniture as physical pieces. Kim says that this furniture will be made of tempered glass in Italy.
The whole idea of buying land into the Metaverse just got real with the sale of Mars house.
That's because the owner can now showcase their artwork in the Metaverse world. That creates the perception of the real world.
#4 | The Merge
Creation Date: 2021
Price: $91.8 million
Creator: Murat Pak aka, ‘Pak’
Last year, Pak unveiled an unusual NFT, The Merge, with the ability to expand over time. Outstandingly, over 28,000 collectors bought into the NFT during the release, spending around $91.8 million to purchase a total of 266,434 units.
This simple sale made Pak the most expensive living artist on the planet, but most people still do not understand the concept of the Merge.
NiftyGateway, the marketplace where the Merge was sold, explains this new venture as something unique that's about to revolutionize the NFT artwork industry.
These art pieces were fractioned and distributed to different buyers.
The catch here was that 'The Merge' was a collection of different art pieces that users could buy into.
These pieces could be stockpiled and later sold into the secondary market.
By the end of this sale, the Merge had a total of $91.8 million price tag, ranking it as one of the most expensive and rarest NFTs of all time.
#5 | The First-Ever Tweet
Creation Date: 2021
Price: $2.9 Million
Creator: Jack Dorsey
I'm sure you've already heard about this; Jack sold his first-ever tweet at $2.9 million as an NFT.
The Twitter CEO, Jack Dorsey, published a tweet in March 2006 saying, 'just setting up my twttr.'
An NFT's value is derived from its scarcity and speculation.
Well, it doesn't get any rarer than this! Dorsey's tweet was auctioned in the Valuables marketplace to a Malaysian-based buyer, Sina Estavi.
The buyer actually compared this tweet to Mona Lisa, saying that the value of this tweet will go through the roof with time.
Dorsey received 95% of the purchase, while the rest went to Cent.
Additionally, Jack said he would give all his proceeds from this sale to charity.
The whole idea of selling his tweet increased awareness of the NFT marketplace, leading to higher adoption levels.
Elon Musk also has his tweet on Valuable, but he hasn't found a buyer yet. These influencers have made NFTs more than just your regular art sale.
With NFTs, you are able to monetize even the rarest of ideas, for instance, a simple tweet.
That's why NFTs are so valuable in modern times because they've introduced a new perspective into the crypto space like no other.
Choosing Your First NFT
While the NFT space is growing at an astonishing pace, most newcomers still have a few challenges buying their first NFT.
Something we can all agree on, buying your first NFT is already tricky enough, especially if you don't quite get what gives it that value.
Therefore, in this section, we'll discuss a comprehensive NFT buying guide to help you navigate your way through this space better. Without any further ado, let's get to it!
What are the Different Types of NFTs?
By now, I bet you have a comprehensive understanding of what NFTs are, at least in a general sense.
Now we want to make that information tangible by exploring the different types of NFT available on the marketplaces.
- Sports Collectibles
Are you the kind of person who collects panini stickers, baseball cards, and Pokémon cards? If that's the case, then NFT is a logical progression.
One of the most popular sports collectibles projects is the NBA Top Shot. They sell video clips of some of the most iconic moments of NBA games.
Property owners are always given a title deed, a physical piece of paper, that acts as proof of ownership.
Now that we have NFTs, that physical proof of ownership might become a thing of the past as NFTs provide that function.
Another popular type of NFT is in-game items. An excellent example of this is Sorare, a fantasy football game that allows you to buy player NFT cards.
There is also multiple blockchain-based and metaverse game that are increasing in popularity. They allow you to purchase real estate, items, or characters. An excellent example, in this case, would be Axie Infinity and Decentraland.
- Collectible Art
Collectible artworks are the other most popular art form used as NFTs. Collectible art can be divided into different categories such as;
These are unique art forms generated by an algorithm. These are often based on specific styles like Art blocks.
These are pretty common collectible art forms. You've probably come across them as collections of rocks, penguins, punks, cats, and apes.
Original pieces have many similarities with analog art forms.
In essence, artists create pieces that later on are minted as NFTs. One of the most famous examples is Beeple's Everyday's: The First 5,000 days.
Photograph NFT's are probably the easiest concept to grasp in the NFT space. Photographers can now earn money from their hard work by adding their photographs to the blockchain.
Discs were produced in batches and even given unique references back in the day.
Music has largely evolved through tapes discs in the past years, we had MP3s, and now we have NFTs.
In this digital era, NFTs are used to represent a video or music with the same content. The only difference is that we have a new reference that is similar to the original.
How to Choose an NFT
Before you proceed to buy your first NFT, one of the crucial things you need to pay attention to is how to choose from the wide range of available options.
The market is saturated with many impeccable NFTs, and with all these styles and categories at your disposal, it can be a bit overwhelming. So, in this section, we will discuss some pointers on how to choose the best NFT.
- Buy an NFT You Like
The first and most important thing when choosing an NFT is making sure you go with the one that sparks your interest.
I mean, there's no point in buying an NFT if you don't actually like it. Instead of being on the hunt for the next big NFT, look for one that matches your interests.
Generally, NFTs are really fun, but it gets even better if you buy an NFT that resonates with you in terms of style and personality.
This is such a crucial step. So much that any of the other tips won't matter if you end up with an NFT, you don't like.
- Artist Reputation
Even as you buy that NFT you really like, always make sure you can trust the artist. If a band, developer, or artist you love is releasing NFTs, this would always be a good reason to be involved with them.
If you don't know much about the artists or developers, that's understandable too.
But in this case, you need to do your homework. There's an ongoing debate about the anonymity and transparency of the project members.
A good number of people won't buy anything if a team doesn't share their real identity and name on the project website. However, others still don't mind purchasing from fully anonymous artists.
It's all a matter of preference when it comes down to the artist's reputation.
Just make sure you've done enough research on the team to give you confidence why that particular team should be the one to get your dollars.
While at it, provide a top priority to artists who show signs they're in the NFT marketplace for the long term.
When choosing your NFT, scarcity of that particular NFT is something you could pay attention to.
While scarcity adds to the value of the NFT, this factor alone doesn't contribute to its ultimate value.
In traditional art, the styles and painters come in and out of style all the time. Therefore, this is always a significant driver of the art's value.
Similar trends apply in the NFT market despite still being in the early stages of the project.
With that said, as you look for your ideal NFT, be sure to look for newer trends rather than jumping onto an outdated bandwagon.
- Community Activity
Often, most NFT buyers tend to overlook the community activity behind it. The NFT space largely relies on Discord and Twitter as that's where the community resides.
Newbies in the NFT world always have a hard time navigating Discord. Besides that, it's a great platform that facilitates real-time communication and interactions of NFT community members.
On top of that, Discord is a platform where you'll find most web-native communities like gamers.
As you all know, the NFT space has lots of them. That said, when you see the NFT you like, it's always best to follow their Twitter and take it a notch higher and join their Discord.
The best part is that Discord is basically free, and you can always access lots of NFT projects without actually owning them.
However, there're special gated channels for the NFT holders only.
- Roadmap and Future Expectations
A roadmap for NFTs maps out strategies, goals, and expectations of an NFT project.
Therefore, the roadmap communicates the long-term value of the project you're looking into. The roadmaps of most NFT projects' roadmaps lay both short-term and long goals, major project milestones, and plans for growth.
Just like with businesses, the roadmap shows a clear vision and mission.
Before choosing an NFT project, make sure you look at how the project was built up, the amount of effort that went in, and the cost of putting it all together. Even more critical, gauge if their goals are feasible.
Here, I'd tell you just to follow your gut. If none of it makes sense, then there's a high probability that none of it will be worth it in the future.
- Price of the NFT
The price is the final and most crucial factor to consider when purchasing your first NFT.
Of course, everyone's budget will vary depending on how deep their pockets go. But if this is your very first NFT, I wouldn't recommend breaking your bank.
It's best to buy an NFT with a price point you're comfortable with.
Only invest money you're willing to lose as you continue to learn how NFTs work and the aspects of digital ownership.
Never invest all your savings on an NFT project, as sometimes the project may ultimately end up having less value than originally anticipated.
While this may seem too much, always invest in each project with the analogy that it could potentially go to zero.
It's hard to think that way of a project you're investing in, but that's just the reality of the market.
If you closely follow these tips, you will find the ideal NFT project for you.
How to Buy Your First NFT: Step-by-Step
Step 1: Get an Ethereum Compatible Crypto Wallet
This is the first step to buying your first NFT. The Ethereum compatible crypto wallet will be your storage place for all your NFTs as well as the cryptocurrencies you need to make the purchases.
There's a variety of available Ethereum compatible crypto wallets, which allows you to choose one that suits your needs.
One of the most popular Ethereum compatible crypto wallets is Metamask. NFT buyers love it for its user-friendly interface.
What's more, Metamask is free to download, secure and gives you access to top marketplaces. Another good choice of wallet would be Coinbase.
If you want to install Metamask, simply go to their website Metamask.io and download the wallet as an extension of your web browser.
It will be easier for you to connect to the marketplaces when that's done.
Step 2: To Get Started, Buy Some ETH
After getting your wallet, now is the time to buy yourself some Ethereum.
Since we are on the Ethereum Network, ETH will be the standard currency to pay for any fees and fulfil your purchases.
You can buy your Ethereum from different exchanges; just make sure you do prior research.
A) Access your Metamask dashboard and click 'Buy'
One of the more accessible exchanges to use is Binance. It's pretty easy to sign up for an account on Binance; the platform has low fees and a wide range of cryptocurrencies that you can buy.
B) Choose your preferred payment method
Here you can use your credit/debit card to buy Ethereum easily and safely.
C) Return to Metamask & copy your Ethereum wallet address
You can copy your Ethereum wallet address by simply clicking on the section shown above, this will automatically copy the address to your device.
D) Return to Wyre and complete payment steps
Simply paste your previously copied Ethereum wallet address to the section above along with choosing your desired payment method.
You can choose from:
- Credit/Debit card
- Apple Pay
- Bank Transfer
Step 3: Choose an NFT Marketplace
Now that you have your ETH ready, choose a marketplace to buy your NFTs. As we discussed in the section above, there's a variety of marketplaces to choose from.
One of the most popular options is OpenSea, but there are multiple other options.
Before you settle for any NFT marketplace, be sure to read reviews on user experience online.
All the same, OpenSea stands out with its 97% market share. On top of that, it's the most user-friendly platform compared to others on the list.
Also, it has a vast collection of NFTs which means the NFT you want to buy is probably on OpenSea.
Other worthy mentions are Rarible, NBA Top Shot, and Foundation.
Once you've signed up to the NFT marketplace of your choice, connect your Metamask wallet.
This is an easy part.
You just have to click on 'profile' on the top right corner, and you'll be redirected to a new page where you'll be asked to link to your wallet.
Step 4: Search the NFT Marketplace for Options and Do Your Research
With an Ethereum wallet and NFT marketplace in check, now you can start searching for the NFT art of your choice.
Simply type the asset name you want on the search bar, and voila!
If you're lucky enough, you'll find that most NFT marketplaces organize art in different categories making your search easier.
Some of the categories you will see on platforms such as OpenSea include; Collectibles, Virtual Worlds, Trending, Art, Music, Domain Names, Utility and Sports.
You will find an asset in either of these categories that will pique your interest. Make sure you do comprehensive research before making any purchase.
Further, before choosing an artist, check out their profile and read any reviews they may have.
Also, don't forget to read the history of that particular NFT. The history shows you how many times the specific NFT was sold.
You will even see who has owned that NFT before you and when it was minted.
Step 5: It's Time to Make that Purchase
Soon after finding your ideal asset and having done ample research on it, you can now make that purchase.
To make that NFT purchase, click on that 'Buy' button and make an offer.
For your offer to be submitted, note that it has to be 5% higher than the previous offer price.
Before submitting your offer, double-check all the information. Remember, once you've submitted your offer, you can't cancel.
Step 6: Await Delivery of Your NFT
When the NFT purchase is complete all, you need to do now is wait for your order to be delivered.
The delivery time, however, largely depends on the marketplace. It can take anywhere between a few minutes and a couple of hours.
Once you receive your NFT, it will now be stored in your Ethereum-compatible wallet of choice.
Congratulations! You're now the proud owner of an NFT!
The Future of NFT's
The NFT market is a new trend that has caught the eye of many investors.
However, what most people don't know yet, NFTs have applications far beyond gaming and digital art.
There's no denying, CryptosPunks are being sold for millions of dollars, and Fidzenas are quickly becoming timeless classics that collectors hold dear.
Also, we have Axie Infinity, which provides full-time employment to people in underdeveloped nations.
That's through play-to-earn systems that highly compensate the players even more than the game developers.
Although that's quite lucrative, NFTs and their applications have a much brighter future than art and gaming.
NFTs could serve as proof of ownership, social status, exclusive access, license management, and certificate of authenticity.
That said, in this section, we will discuss some use cases for NFTs that will largely influence the future, but people don't talk about enough.
- NFTs Will Manage Licensing for Photography
One of the few applications of NFTs I'm most excited about is in the photography sector.
The current photography industry is experiencing so many problems.
While our photographers do quite an excellent job of uploading their work on iStockphoto and Shutterstock, users on these websites often use the photos in ways that violate the licensing and copyright of the photos.
Another major problem that plagues the photography industry is sharing photos with a second party.
A user may purchase a photo license, but now when they share that photo with another person, it's challenging to prove the second copy is unlicensed and infringes copyright.
But all hope is not lost for this industry. NFTs can solve this problem.
But how will they do that?
In the near future, for every particular photo, the photographers will be able to mint a new NFT to license it.
Users will be able to prove they own the license by signing a transaction using their wallets.
If a user wishes, they can even transfer their license to another individual but as long as they agree not to use the photo themselves.
Without NFTs, this type of license transferability would necessitate substantial consumer tracking through a centralized database.
That concept is expensive, and it is likely to be unpopular with people.
However, with NFTs, license transfers may be tracked entirely on the blockchain, lowering the amount of time a photography website needs to maintain the operational function.
- NFTs Will Manage Royalties and Licensing for Music
The other lucrative but untapped NFTs application is the management and licensing of digital music through NFTs.
Over a decade ago, users bought music on CDs and owned them permanently. And if they no longer needed the CD, they could just resell it to another person.
In that era, CDs were regarded as valuable collectibles whose value went beyond the music in them.
The CDs came with images and liner notes that the owner would lose even if they were to try and copy the music somewhere.
The digital era is here, and with the rise of YouTube music, Apple Music, and Spotify, we now have subscription-driven services.
For that reason, it has reduced the sentimental appeal of the album collection.
The good thing is that all is not lost, NFTs are bringing back that emotional collectability to the music industry.
Record companies and artists can issue an NFT for each copy of an album a user buys.
The NFT, in turn, will help the user stream the particular album as many times as they'd wish. In addition, the album would also contain lyrics, images, and other media not available on subscription-based platforms.
That will significantly increase the value of ownership.
What's more, specific albums and songs could be tied to artists' fan clubs, concerts, meet and greets, or even grant owners exclusive rights to the songs.
To that end, music NFTs will also give fans some level of social status and exclusive access to their favorite performers.
But that's not all; NFTs will go beyond the songs and albums. They will transform fan loyalty to a whole new level.
- NFTs Will Facilitate Transfer of Ownership in Real Estate
The other sector where NFTs will shine brightest is in real estate.
Today, if you want to transfer the ownership of a particular property, the process can be costly and highly complicated. But NFTs will change all that.
The property owner can issue an NFT that represents their property. And to complete the sale of that property, the NFT can be transferred to the buyer.
The best part is that the owner can even use the NFT in the future DeFi apps to unlock equity on their homes.
This process is so much easier and cheaper than using a bank. And now, let's get to the holy grail! NFTs will make it possible for people to own fractions of properties they wouldn't usually afford.
You can own a piece of a home, and if it appreciates in value, you can gain from that as well. You will also have a digital record of the percentage you own on the blockchain.
- NFTs Will Facilitate Transfer of Ownership of Literary Works
In the future, textbooks will also be made into NFTs.
Today, most students have a preference over paper textbooks, and for a good reason.
That's because paper textbooks can always be resold after a course ends, unlike digital ones.
Also, despite publishes spending more money on print papers, digital ones still cost more.
However, this problem could easily be fixed by NFTs. Publishers can print an NFT for each copy of a digital textbook.
That way, any user who would still like to keep their book after a course ends or after reading can do so.
On the other hand, users who would like to get rid of the book and probably get some cash off it can sell their NFT tokens and transfer their ownership rights to the new owner.
The Possibilities are Limitless with NFTs...
NFTs have only exploded over the last year. But the whole concept of using them to store digital artwork on the blockchain is already five years old.
We take many things for granted in the modern world, like certifying authenticity, proof of ownership, property rights, and licensing.
That's all because we have a robust traditional legal government system to protect us.
Relying on the government, though, means trusting a central figure.
When we unlock an individual's rights to physical or intellectual property through NFTs, it does the same thing Bitcoin does to traditional fiat currencies.
In essence, NFTs allow you to be a steward of your own ownership, just like Bitcoin allows you to be your own 'banker.'
That said, NFT brings a crucial value proposition to the world, especially to the 2 billion unbanked and underbanked people all over the world.
That's because people in such places can't reasonably rely on a robust legal system to protect their ownership rights.
For that reason, the future of NFTs goes beyond memes, social status, and multi-million-dollar artworks. This right here is just the beginning of a revolution.
As we have seen in this article, the NFT market, just like any new investment opportunity, has massive potential.
We have seen some NFTs like Crypto Punk that has made millionaires.
However, that's not without certain risks. Not every project out there will achieve this kind of success.
Sometimes, you may even lose your investment as the NFT market is very volatile.
For that reason, we can only hope that as the NFT demand and marketplace continue to develop, we find solutions to most of these risks.
The bottom line is always to make sure any NFT investment you make matches your risk tolerance level.
All in all, if the NFT market can be made more secure, it will highlight all the untapped potential that NFTs hold.
That means even more investors will be attracted to this mix. Hands down, NFT is by far the next biggest thing in the investments industry.