Recently Mike Winkelmann (quite popularly known as ‘Beeple Online’) sold his digital artworks for more than $100,000, including around 21 pieces.
All in all, he made a whopping $3.5 billion over a single weekend.
Representation, Expression and Form, these words truly define the value of art.
Lesser known fact, the veteran artist Vincent van Gogh died in severe poverty. So how did an artist whose most expensive painting, ‘Starry Night,’ costs around $100 million, pass of penury?
It was only after his sister-in-law Jo Bonger auctioned his art that his reputation was salvaged, and the world was gifted with this purest form of art. Today, most of his art is priceless, though we can get our hands on a copy of his paintings for a small price.
It’s impossible to replicate Van Gogh’s swift strokes and most difficult to reproduce it manually. However, we can easily spot the difference between the original and fake or rely on experts to do the above.
However, digital art is different. It is easy to replicate without loss of quality. This is where Blockchain comes in and changes the scenario. Using digital signatures, online artforms can be authenticated, and the originator’s identity can be confirmed.
This process can be initiated by assets called Non-Fungible Tokens (NFTs) – items that represent ownership.
Digital products are very niche-oriented. So, for example, you cannot resell an iTunes mp3 that you have purchased or trade-in a particular company’s credit points for another company’s loyalty rewards even though there is a prevailing market for it.
The major disadvantage with digital assets is that they can easily be replicated. Though they have the advantage of reaching every nook and corner of the world within seconds, they carry the baggage of duplicity in terms of proof-of-ownership, scarcity, and uniqueness.
Digital assets also have an edge when it comes to the reach of global markets instead of physical assets, which are deterred by geographical restrictions and primarily influenced by current market conditions.
For example, one NFT can be traded for a completely unrelated NFT using a common platform such as Ethereum, whereas physical assets need their infrastructure.
A few most common NFT use-cases are mentioned below:
- Digital Items
- Gaming Content
- Domain names
- Physical items
- Investments and Collateral
- Agriculture (Coming Soon)
Many blockchains such as Binance Smart Chain, EOS, Polkadot, Tezos, Cosmos support the creation of NFTs. However, Ethereum tops the list when it comes to popularity and usage. Several reasons prevail for Etheruem to favor NFT creation, such as:
- Transaction history and metadata are easily verifiable.
- It is impossible to manipulate ownership status once the transactions are confirmed.
- Ethereum never rests, which means that your token would always be available for sale.
- You can purchase an NFT on one product and sell it on the other because all Ethereum products share the same backend.
Keeping this in mind, the current environmental impact of cryptocurrencies has taken a toll on people’s outlook. The methodologies used to keep NFT funds and assets secure are energy-intensive but are constantly on the verge of improvement.
They indirectly increase Ethereum’s carbon footprint, but constant alterations are under scrutiny to make it more energy-efficient than other industries.
You can learn more about Ethereum NFT here. Now let’s find out How to buy NFT on ETH network?
How to buy NFTs on Ethereum
First, let’s talk about the creation of NFTs, which the procedure can follow to buy NFTs. Following are the steps to mint your own NFTs on the world’s largest NFT ecosystem, Ethereum:
- It would be best to create an ERC-721 based Ethereum wallet such as Metamask, Trust Wallet, or Coinbase wallet, which is compatible with the Ethereum-based NFT token standard.
- Add around $50 to $100 worth of Ethereum to your wallet. By buying ETH from a crypto exchange platform, you can do so by trading in some fiat currencies such as USD, British Pound, etc.
- Once this is achieved, you can choose the file that you want to convert into an NFT by uploading it from your device. The leading Ethereum NFT marketplaces include – OpenSea, Rarible, Mintable.
Now, let’s dive deeper into how to buy NFTs on the Ethereum blockchain, i.e., by swapping in your ETH cryptocurrency.
There are several questions which you need to ask yourself before purchasing NFTs:
- What marketplace would you purchase your NFTs from?
- Which type of wallet do you need to install to connect with the platform?
- Which cryptocurrency are you going to trade in for the chosen NFT?
- Are the NFTs you want to purchase platform-specific, i.e., via a pack or airdrop?
Let’s illustrate this with a simple example.
Say you want to buy an NBA Top Shots pack. For this, you would need to:
- Open an account with NBA Top Shots
- Create a dapper wallet.
- Add funds to it.
- Purchase some ETH tokens.
- Trade-in your ETH tokens for the suitable NFT of your choice.
This is one of the simplest ways to understand how to buy NFTs using the Ethereum blockchain?
NFTs are selling like hotcakes in 2021, with overall sales up 55% since 2020 from $250 million to $389 million.
These meme tokens have been around since 2012 but have caught the attention of retail investors only in the recent past.
Nevertheless, the basic idea behind creating authenticity for every digital footprint has been accepted at large due to its simplicity and lack of prevailing technology.
So if you, too, don’t want to miss this golden opportunity, hurry up and trade in some of your ETH tokens for frog or cat meme NFTs. Maybe the next big Internet revolution is round the corner.
I hope this guide on how to by NFT on the ethereum blockchain? helps you and if you have any queries related to it, leave your comment below. If you have not joined our community then you can now. We are very active there and have been sharing important information there.
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