How To Make Money With NFTs
Cryptocurrency is all the excitement right now, and it’s gaining traction in places like Nigeria, where the digital economy is booming. According to a Yahoo Finance report based on Statista data, Nigeria is the world’s number one crypto country, meaning that a big section of the financially educated population has engaged with cryptocurrencies in some form.
This is due to the flexibility it offers users, as it allows people to conduct business and save money in a commodity that looks to be more secure than the native currency [Naira], which is now experiencing inflation and foreign exchange concerns.
These days, NFTs are all over the internet, and everyone is gushing over them. Creators and investors have amassed astonishing sums of money that have forever altered their lives. The 69.3 million sales of Beeple’s NFT earlier this year shook the internet and transformed the way people thought about digital collectables.
Everyone is now rushing to get their feet wet to catch this wave. Don’t worry if you’ve been watching from the sidelines, unsure where to begin. The boat is still near, it hasn’t gone far yet. We have compiled five ways from which you can make money from NFTs.
Table of Contents
What Are NFTs?
Non-fungible tokens, or NFTs, are unique and non-transferable data units recorded on the blockchain, which is a digital database that underpins cryptocurrencies such as Bitcoin and Ethereum. and acts as a public ledger that allows anyone to check the legitimacy of the non-fungible token and who owns it.
Those assets, unlike NFTs, are fungible, meaning they can be replaced or exchanged for another identical one of the same value, much like a dollar bill.
NFTs, on the other hand, are one-of-a-kind and non-interchangeable, which means that no two NFTs are the same.
NFTs, in plain English, turn digital works of art and other collectables into one-of-a-kind, verifiable assets that are simple to trade on the blockchain.
Even though it is still far from straightforward for many individuals, the payback has been enormous for many artists, musicians, influencers, and others, with investors paying top cash for NFT copies of digital images.
Related: All You Newd To Know About NFTs In Nigeria
Different Types Of NFTs
The concept of an NFT is still a bit hazy, as essentially anything can be classified as an NFT. Here are some of the more prevalent and practical NFTs on the market.
1. The Work Of Art:
The most often practised form of NFT is art. NFTs were created as a way for artists to sell their best works online as if they were actual items. Many of the most expensive NFTs are currently works of art. According to Luno, the most valuable NFT ever sold is by renowned artist Beeple’s “EVERYDAY’S: THE FIRST 5000 DAYS.” This piece fetched a stunning $69 million at auction. Other extremely expensive NFTs are breaking the financial accounts of billionaires.
2. Items From Video Games:
Video games are another frontier in the NFT space. NFTs aren’t used to sell complete games. In-game material, such as skins, characters, and other goods, will be sold instead. Players can now purchase millions of copies of DLC assets, but an NFT asset will be unique and exclusive to a single customer. Developers can offer standard DLC while also selling a limited edition version on the NFT market.
Music is also high on the NFT scale. For decades, music has been a fungible good, produced and distributed on vinyl, cassettes, CDs, and digitally. Musicians and DJs, on the other hand, have recently been selling their work as NFTs, earning millions of dollars in a matter of hours.
4. Major Sports Events:
NFTs provide something that has no physical counterpart: memorable sporting moments. These are short videos of historic sporting events, such as game-changing slam dunks or game-changing touchdowns. These clips can be as brief as ten seconds long, but they can fetch up to $200,000.
On the NFT market, you can buy and trade memes, just when you thought the internet couldn’t get any more interesting. What’s even cooler is that the individual in the meme is sometimes the genuine merchant. Nyan Cat, Bad Luck Brian, Disaster Girl, and other well-known memes are among those on the list, with earnings ranging from $30,000 to $770,000. The Doge meme, which sold for $4 million, is the most valuable meme to date.
Related: NFTs To Invest In 2022
How To Make Money With NFTs
There are many ways to create wealth through NFTs and if these methods are properly utilised, one will create great wealth by applying these initiatives on NFTs.
1. Make and sell your own NFT:
Do you consider yourself a creator? Do you have any creations that you’d want to sell? Selling your works as NFTs can help you earn more money. As NFTs, you can develop and sell anything digital. Original digital art, music, memes, films, audio samples, and much more are all available. In fact, a New Yorker marketed his farts as NFT! So go ahead and do it. Only your imagination holds you back.
2. NFT Gaming:
We live in a time when you may earn money by playing games. In blockchain-based games, you can buy and exchange in-game objects using NFTs. There are already some incredibly valuable collectibles on the market, such as those found in the game CryptoKitties. More than $300,000 has been paid for a single crypto cat.
3. Trading NFTs :
You can profitably invest in NFTs by purchasing and selling them. In less than six months, Miami-based art collector Pablo Rodriguez-Fraile flipped a Beeple digital art piece for nearly 1,000 times its original price! NFTs, on the other hand, are not all created equal. Some are worth millions of dollars, while others are nearly worthless. As a collector, you must examine an item critically for the possibility of profiting from a future resale.
4. Staking NFTs:
What exactly is staking? Staking is the process of keeping digital assets in the form of a ‘stake’ and assigning them to individuals who are prepared to keep them up to date. In exchange, they give you a portion of the prize. On numerous sites, including Rplanet, you can stake your NFTs to gain rewards and incentives.
Related: How To Give NFTs As A Gift
NFTs are a great technology for visual collections, trading, staking and investment. For people who have figured out their way around NFTs any how to efficiently manage the tokens, they can reap great wealth from them.