So you’ve probably seen NFTs all over the internet by this point, and you’re probably still confused about what they are. You’ve seen people making thousands of dollars from it all over social media, and you’ve been curious about how it works and how you can start making money from it. You’ve come to the right place because in this post I’ll break it down into five simple steps, including how to find the most profitable NFTs, the minting process, and the best platforms to resell them for profit.
What is an NFT?
NFT is an abbreviation for Non-Fungible Token. Non-fungible simply means unique and cannot be replaced by anything else, and the token part refers to an image, song, video, or anything digital. So it’s essentially a one-of-a-kind work of art that can’t be replicated or copied.
NFTs are recorded and verified on the cryptocurrency blockchain, primarily Ethereum. Any logged content or transactions will be logged on the blockchain, and everything will be recorded. This is a public record that anyone can access. This is why you cannot simply copy an NFT because the original owner retains full ownership and everyone can see it.
Why do people purchase NFTs?
NFTs are purchased by investors for a variety of reasons. Some people want to own the underlying asset, while others see value in the asset being tokenized into an NFT. Others may invest in NFTs to gain a better understanding of blockchain technology. You can invest in NFTs by purchasing them at a low cost and then selling them at a profit as the price rises. Artists, illustrators, and designers are making more money than ever before from selling NFTs. Nonfungible.com estimates that primary and secondary sales on the Ethereum blockchain will exceed $15 billion in 2021, up from $67 million the previous year.
Currencies/wallets you need to purchase an NFTs
To buy NFTs, you’ll need an Ethereum cryptocurrency, which is the main currency on the blockchain that’s being used. For those who are unfamiliar with the blockchain, Ethereum is an open-source platform that is primarily used to support Ether, the world’s second-largest cryptocurrency. Ethereum’s blockchain enables smart contracts and applications built on it to run smoothly without fraud, downtime, control, or third-party interference.
The next question is how you intend to store these NFTs once you have purchased them. You will need an Ethereum wallet to store these NFTs. Simply install the Metamask wallet on your PC/laptop or mobile device using the Google Chrome browser extension. MetaMask is a software cryptocurrency wallet that interacts with the Ethereum blockchain, and it is what we will use to store our Ethereum in order to buy NFTs on the marketplace. Once your wallet is up and running, you can purchase Ethereum directly through the Metamask wallet.
What are the best platforms to buy NFTs?
There are numerous marketplaces where you can purchase NFTs, but the most popular is Opensea. OpenSea is the industry leader in NFT sales. OpenSea’s platform hosts a wide range of digital assets, and it’s completely free to sign up and browse the extensive offerings. It also helps artists and creators and has a simple process for creating your own NFT (known as “minting”).
All you have to do is sign up, which shouldn’t take more than two minutes, and then connect your Metamask wallet to the blockchain, from which you should be able to buy and sell all of your favorite NFTS. On Opensea, you can literally explore any type of NFT, such as art collections, domain names, and various other types of digital assets that people are uploading and purchasing and flipping online, and this is exactly what I’m going to show you.
How to make money with NFTs
The method we will use to purchase these NFTs is known as minting, and it is the process of purchasing them before they become popular in order to resell them for a large profit. If you bought stocks or cryptocurrencies 10 years ago, or even right before they exploded, you would have made a fortune today because the stock price or cryptocurrency is worth more, and this is exactly how NFTs work. If you buy them when the price is low and they aren’t worth much, and then resell them when the price is high, you’ll be able to make a lot of money with them. For example, let’s say you buy sneakers when they first come out and resell them to make money online. So you must consider NFTs in the same way.
When you visit Opensea and want to learn more about different types of NFTs, simply click on trending collections and you will see all different types of NFTS for sale. Also, keep in mind that all of these NFTs have what is known as a floor price, which is the lowest price that a specific NFT is selling for. So, when you’re ready to buy any NFTs, the most important thing to consider is the floor price. Make sure it’s low and that you buy them before they go on the market because the longer they’re on the market, the more rare and expensive they’ll become.
Believe me, people do this every day; they simply flip these NFTs on marketplaces like Opensea and make thousands, if not hundreds of thousands, of dollars. It’s insane, and you know this generation is different. You’re aware that the world is shifting toward the metaverse, and that everything digital is available online. So you really need to take advantage of this right now while it’s still brand new because there are still a lot of people out there who don’t even know what an NFT is.
And there are people who are ahead of the curve and are literally using this as their best advice to make money, so you want to be one of those people who are taking advantage of this early learning about NFTs, finding the best ones early, and then flipping them for good money. ( A big disclaimer, I don’t want to make this sound too easy, this is a very risky game, and you already know NFTs are risky, so my best advice is to keep doing your research and finding out exactly what they’re about and what the best ones are so you don’t lose your money.)
The process of Minting and how it works
Minting an NFT is how your digital art becomes a part of the Ethereum blockchain, which is an unchangeable and tamper-proof public ledger. NFT is a token that is “minted” once it is created, similar to how metal coins are minted and added to circulation.
The website that we will be using to mint these NFTS is called rarity.tools, and if you go to the website right now, it shows you all of the NFTs that are currently being released. Many people on Opensea and other networks are unaware of the concept of rarity. tools. They only use Opensea and look at the NFTs that are available on that platform. Rarity.tool now gives you an advantage because you can see all of the upcoming projects, which is essential for making money with NFTs.
After doing our research, all we have to do is visit their website to mint any of these upcoming NFTs. It will simply take us to their website, where we will be able to learn more about the NFT, then select the quantity of NFTs you wish to purchase, and finally click MINT. It will automatically connect to your Metamask wallet, and once your payment is approved, the NFT will appear directly in your Opensea account. and significance will be yours. So, as soon as this NFT is released, your own will be revealed, and people will be in demand for it, which is where you can resell when the price rises and profit.
Conclusion
Before investing in any NFT project, you should always conduct your own research. Another risk to consider is the cryptocurrency market’s volatility. NFT prices can change quickly, and you could lose a lot of money if you’re not careful. Finally, there is always the possibility of permanent loss.