How to Make Money with NFTs Guide 2022
This is a guide on How to Make Money with NFTs, To start earning money with NFTs you should first learn about the fundamentals of NFTs.
What Is NFT or Non-Fungible Tokens?
Let’s you want to conduct an online painting exhibition for all your digital artworks. However as the exhibition is online, so you are worried that the paintings won’t be secure as anyone could easily forge or replicate them. Your friend came to rescue you with an idea of nft, He suggested that you could buy NFTs for all your paintings as nfts are trustworthy, easily transferable, and will also maintain ownership rights on your artworks.
NFTs turn your digital assets into one of a kind by creating a unique digital signature, which defines the ownership of your assets and that can be bought and sold for real money, cryptocurrency, or any other asset like a non-fungible token. NFT non-fungible tokens mean that they are not interchangeable and each of them represents unique assets owned by a specific person. On the other hand, fungible tokens are interchangeable and can be divided into smaller units to form the same value.
For example, a 1 hundred dollar bill is fungible as you can exchange it with five twenty dollar bills or two fifty dollar bills. Each NFT contains distinguishable information like who owns the digital asset and who sold it making them distinct and easily verifiable. As it is impossible to forge such a certificate it will secure your painting’s originality.
NFT basically creates a blockchain-based digital certificate for your digital collectibles including games, music, art, and many more. This certificate gives your artwork a unique identity. The underlying technology and the programming language used by NFTs are the same as other cryptocurrencies such as blockchain and the programming language Ethereum. Script NFT majorly exists on the Ethereum blockchain, a distributed public ledger that records all the transactions.
However, NFT is quite different from these cryptocurrencies. Bitcoin and Ethereum are fungible tokens which means if you trade bitcoin or Ethereum for one another you will have the same value or item in return basically money. On the other hand, NFT is a unique token therefore if you try to trade it you may end up with something completely different in your hands. Crypto punks are a remarkable example of NFT, it enables you to buy sell, and store 10000 collectibles with the proof of ownership being stored on the Ethereum blockchain.
NFTs artworks are secured from any kind of forgery and also gave artworks a particular value. This contributed to increased sales too as everyone was easily able to buy the artwork without any fear. NFT has enhanced media exposure and special perks for aspiring artists. The popularity of NFT creates new opportunities for new art. Platforms motivate people to buy art from internet platforms and promote the copyright or originality of digital assets. Exchangeability, unique digital signature, trade-ability, and distributed public ledger make any item non-fungible.
How to Make Money with NFTs?
After creating NFTs, you will need platforms to sell them. There are many places where you can Sell your NFT artwork. The most popular marketplace for selling NFTs is OpenSea.
How to Sell NFTs on OpenSea
OpenSea is without a doubt the most successful and popular NFT platform in existence today. OpenSea is an Ethereum-based peer-to-peer marketplace where you can buy mint sell and auction nfts. You’ll need ether coins if you want to do anything in OpenSea to pay for your gas and other fees. OpenSea is actually by far the largest gas consumer on Ethereum and it’s also the largest nft marketplace.
You can trade art, music domain names, and other collectibles on OpenSea as long as they’ve been minted on or transferred to the Ethereum blockchain or polygon sidechain. If there’s an nft that is based on a blockchain apart from these two, you won’t be able to trade it on opensea. However, in the future, OpenSea may add support for more blockchains. So definitely watch out for that you can choose which nft category to browse as well as the blockchain that the nft is hosted on. You can also browse nfts from specific collections like cryptopunks etc.
Supported crypto wallets include metamask and you can also link up your mobile wallets like coinbase wallet and trust wallet on your device easily using wallet connect. The Mobile wallets can be connected using a QR code on the OpenSea website from the wallet on your phone. You can also use the OpenSea app as well which is definitely easy for ios and android. But in the wallet section really important information to note is that OpenSea is built on Ethereum, So you’re going to need eth to pay for fees and most nfts are priced in eth2. So you’ll need to get that ready and in your wallet to mint or trade nfts on the platform. OpenSea supports both Ethereum and polygon nfts and the process will generally be similar for both. But you do need to go through some extra steps if you want to use the polygon blockchain having lower gas fees.
Firstly we’re going to need a metamask wallet to link to OpenSea. This is where you can hold your eth coins and to pay fees and buy nfts on OpenSea. If you don’t have a wallet yet just go to metamask.io or go to the chrome store and download the extension for chrome. This extension is also supported on brave browser and some other browsers as well. The remaining steps are provided in detail in the below video.
Also Read: Trust Wallet vs MetaMask