Your Guide to Earning a Profit with NFTs
From celebrities to renowned companies, everyone is getting into NFTs. In recent days, Non-Fungible Tokens (NFTs) have become a popular trend in the crypto community. The amount of profit you can make with them has made NFTs a very attractive field to invest in.
However, not all NFTs are created equally. While some are worth millions of dollars, others are not so much. To earn a good profit with NFTs, one must know certain things to exploit this current NFT gold rush.
In simple terms, Non-Fungible means something unique that cannot be replaced by something else. Money that we use in daily life is fungible. It means if two people have a dollar each then they can exchange it as the value is the same.
However, it is not the case with Non-Fungible Tokens, Two people with NFTs cannot exchange it as they don’t carry the same value. NFTs are part of the blockchain which means they are a record that shows that you own a unique piece of content. This unique piece of content can be anything digital like music, videos, image, tweets, essays, etc.
Earning Profit Through NFTs
To tap into the NFT market, one must know where to invest. Before investing, there are certain things one must keep in mind to ensure maximum profit.
NFTs by Individuals
photo credit: CNWN
When it comes to earning huge profits through NFTs, the digital artwork NFTs created by individuals are the most profitable NFTs created so far. For example, one such digital artwork created by an artist by the name of Beeple was sold for $69 million. While some raise concern over such an extravagant amount of money spent on something you can’t even hold in your hand, others consider it as a new revolution in the world of art.
The record-breaking artwork sold by Beeple may just be a start to something much greater. Digital artworks in the future may very well surpass the one by Beeple. After all, Beeple was unknown until recently. Imagine when popular artists start selling NFTs of their artworks. This indicates that there is a huge potential in earning profit with individual digital artworks.
We already know the values collectibles possess in the real world. So, it is understandable that collectibles have very high demand and profitability in the NFT market. Collectibles that already fetched millions of dollars in real-world, once tokenized (a process to create a digital token of a collectible on the blockchain) will fetch similar amounts as NFTs.
As NFTs have proven authenticity and rarity, according to one estimate, tokenized collectibles will fetch even more in digital form than what they are worth in the real world.
In recent times, sports cards have become one of the popular NFT collectibles. So, there is no doubt that in the future many sports authorities and teams will launch their NFT collections.
photo credit: Mirandus / GALA Games
Video games-based NFTs have not gained as much popularity as they should. However, in the future, they will be pretty much the most sought-after NFTs. This is because the majority of the video game companies have not been active in the NFT market but as the popularity of NFTs is increasing, things will change soon.
Video games relate more to NFTs than anything previously discussed because they both are products of the digital world. We all have played video games at one point in time. How much do you think will be the value of NFT of some of the classics and most popular games in the world such as Mario Brothers, Contra, etc.
Gamers already spend a lot of money on virtual items. People who are familiar with Call of Duty, DOTA, World of Warcraft, etc are familiar with this.
Once any of the big gaming companies launch NFTs, it will be a tremendous boost to the NFT market. Many video game designers are also actively involved in NFT creation, and in the future, NFT based on in-game items will most like be the next step in NFT evolution.
There are also many other ways in which you can earn good profits with NFTs. For example, you can invest in NFT startups. This is a great idea as the world of NFTs is in the early stage of development and has numerous applications that can change the world.