It all started with the invention and success of bitcoins, then Ethereum followed suit and had significant success. The cryptocurrency boom has taken the world by storm, now it seems like there is a new digital currency popping up every day. 10,000 cryptocurrencies have already been created and are available to be traded. But the truth is, just a few of these digital currencies actually have value. One valuable asset that exists in the crypto market is Non-Fungible Tokens a.k.a NFT. They have made millionaires out of artists and do you know you can also use NFTs as a gift. I know all these look strange to a newbie, trust me I was lost the first time I heard people discuss it. Have no fear though, I have created this article to help you understand the basics of NFT and most importantly how to use them as gifts.
What are NFTs?
We shop digitally, find love digitally, now we even have a whole new digital world (Metaverse) so why not buy and sell anything and everything digitally, right? That being said, NFTs are digital representations of real-life objects or works of art (music, arts etc) that are traded online for cryptocurrency. They operate on the Ethereum blockchain and were first introduced in 2014.
People are wary about NFTs but the recent numbers look encouraging. $174million have been spent trading Non-Fungible Tokens. this boom really kicked off in 2021.
A good number of artists have made mind-blowing money from trading their works as NFTs. I have compiled a list of the most valuable artworks so far.
Most Valuable NFTs Ever Sold: An Insight to Why You Should Use NFTs as a Gift
Thinking of giving someone a gift that will make them millionaires in future? why not give them NFTs as a gift. This list of the most valuable NFTs ever sold will help give you an insight into what an NFT gift can do for the recipient:
Human One
This artwork was sold at $29 million in 2021 by NFTs number artist Beeple. The artwork features a futuristic astronaut guy walking through the empty lands of the Metaverse. The artist drew inspiration from Neil Armstrong (the first man on the moon) to create a Human one which is the first man in the Metaverse.
Punk #7523
Larva Labs Studios created a collection of artworks called CryptoPunks in 2017 and in 2021 one of them, Punk #7523, to be precise, was sold for $11.7 million at Sotheby’s auction house in the auction tagged Natively Digital. The art concept of the entire collection is inspired by London punk, cyberpunk and electronic music band DaftPunk.
Punk #4156
Punk #4156 Is the most valuable Cryptopunk ever sold. It was sold natively for $10.4million.
Right-Click And Save as Guy
Created as a GIF in 2018 by XCopy “Right Click And Save as Guy” was sold in December 2021 for $7.08million in SuperRare, making it one of the most expensive NFTs.
Everydays: The First 5000 Days
Once again the digital artist Beeple makes it to the list but this time the almighty shattered the numbers with his work Everydays: The First 5000 Days. It is a compilation of Beeple’s works merged in one. The crypto art was sold for $69.3 million at a Christies auction and it is the most expensive NFT of all time.
Note that once an item is sold as NFT the buyer owns the original work. The item has a digital authentication that acts as a certificate of ownership.
A misconception people have about NFTs is that they are cryptocurrencies. This is false. They are similar because they are created with blockchain technology. What makes them completely different is the fact that cryptocurrency is fungible and NFT is not. The Non-fungibility and proof of ownership Authenticator of NFTs make it a unique gift to give to a loved one. Imagine getting the next big digital art for free. I feel the numbers playing in your head.
How To Buy NFTs as a Gift
Get Your Ethereum Tokens to Your Ethereum Wallet
To buy an NFT you will need to have Ethereum tokens because that’s the mode of payment most marketplace accept. You can purchase the tokens on a secure cryptocurrency exchange then transfer them to an Ethereum wallet.
Here are a few secure Ethereum Wallets you can use:
- MetaMask
- Ledger Nano X
- Ledger Nano S
- MyErtherWallet
- Rainbow wallet
- Guards
- Argent
- Exodus
- Atomic Wallet
- Jaxx
Find a Good NFT MarketPlace
An NFT marketplace is an online platform where NFT traders can buy and sell digital assets. Here is a list of the top NFT Marketplaces online:
- OpenSea
- Axie Marketplace
- Larva Labs/CryptoPunks
- NBA Top Shot Marketplace
- Nifty Gateway
- SuperRare
- Rarible
- Foundation
- Mintable
- Theta Drop
Different marketplaces operate differently which is why you must be sure of what kind of digital asset you want to buy before choosing a marketplace. For example, Larva Labs sells only the CryptoPunk collections so you can’t find another type of asset on it.
When you choose one of the marketplaces above you would have to connect your Ethereum wallet to it so you can make payment.
Submit Your Bids
NFTs are mostly sold with a bidding format so buyers will have to place bids on each digital asset in hope that they outbid others. You can either buy from the Primary or Secondary Market. However, purchasing from the Primary market will be more profitable due to the fact that its resale value can be way higher than its initial price. So buying an NFT from the primary market and giving it out as a gift to a loved one will be a good idea. It’s kinda like you are making an investment for the recipient.
How to Give NFTs as a Gift
After purchasing the NFT from your marketplace and it safely in your Ethereum wallet you can give it out as a gift to a recipient by transferring it to their own wallet.
NFTs like we have seen before can serve as an investment so the recipient can sell them at a higher price. If you are ever in that position here is how to sell your NFT:
- Mint the NFT on a MarketPlace if they haven’t been minted already. Minting simply means converting your item to a digital asset. The trading platform should give you descriptions on how to Mint.
- After turning your item into a digital asset you would then put it up for sale on the marketplace. While doing this make sure your Ethereum wallet is funded because you will be charged a fee called the Gas Fees. The Gas Fee is a fee paid to get your digital asset registered on the Ethereum blockchain.
In Conclusion
Whether buying, selling or giving them out as gifts, the future of NFTs looks bright so you should get in the mix to have a taste of the action. and in case you are looking for an alternative way to acquire an Ethereum based token you can do that with gift cards. how? By selling them on Prestmit for USDT at high rates. Good luck as you, the NFT world awaits you.
