the basics of NFTs

Random computer generated digital art is making people millions. lets go over the basics and maybe you can get in on it too

First let me say,

that there is a whole lot to cover when it comes to NFTs. If you read my blog on 3 famous celebrities in crypto you would know that even Snoop Dogg has accumulated over $18 million dollars in NFTs. So what are these NFT things that everyone is talking about? Well to answer that in full would require a much deeper dive into NFTs so be on the look out for a blog post having to do with the future potential of NFTs. For now just know that NFTs are "Non-Fungible Tokens". Non-Fungible means that it is unique and cannot be traded for something else. They are unique digital identifiers that cannot be copied, substituted, or subdivided. They are recorded on a blockchain and used to certify authenticity and ownership. So for example, a bitcoin would be fungible because you can trade one bitcoin for the other and always end up with one bitcoin. A bitcoin can also be split as many times as you need it too to fit a certain dollar amount (For ex: .001 BTC=$62.33). An NFT lives on the blockchain as a sort of tokenized art and cannot be split like a cryptocurrency can. As you can tell they are very similar and at the same time very different than standard cryptocurrencies.

For now all you have to now

Is that NFTs are here to stay. You may have heard about how Jack Dorsey's first ever tweet on Twitter was sold as an NFT for over $2.9 million dollars. Also, remember Nyan Cat? Well Nyan Cat sold for over $600k as an NFT. NFTs allow people on the internet to actually "own" images, gifs, songs, memes, and plenty of other virtual media and memorabilia.

Using smart contracts NFTs can take action in the form of many things like

- a song

- a uniqe digital/physical artwork

- a unique sneaker in a limited-run fashion line

- an in game item (a sword or avatar in Fortnite for example)

- an essay or book

- a digital/physical collectible

- a domain name

- a ticket that gives you access to an event or a coupon

- universal profiles/ personal IDs

- a credit or donation to charity

- deed

- diploma

- passport

- certificate of insurance

- rental house/car

- title

- memberships

A smart contract is simply a computer program stored on a blockchain that only runs when a predetermined condition is met. They are used to automate the execution, control, and documentation of legally relevant actions or events according to the terms of a contract or agreement.

NFTs will be everywhere in the very near future and they will be used as 3 main things.

3 ways to look at NFTs are as

- Investments

- Collectibles

- A way to flex

As of right now 90% of the NFT space consists of stuff like random pictures of monkeys worth millions of dollars. No seriously, Bored Ape Yacht Club #8585 sold for $2.7 million. What a sucker. Me, being the genius I am, can simply just screen shot that and put it right here.

See? Easy isn't it? Well, sure I have the picture, but not the NFT. What makes this Bored Ape Yacht Club NFT interesting is that it grants anyone who holds one admission into the Bored Ape Yacht Club. That is the smart contract implemented into it that gives it utility in the metaverse. This gives the NFT a feeling of exclusivity that people are just dying to be apart of. This is precisely why you'll see all kinds of celebrities put NFTs worth millions as their profile picture.

The biggest reason

why the vast majority of people are involved with NFTs right now is mainly to make big gains from buying and selling. If you love the hustle culture than this is definitely something to get apart of because there is certainly money to be made. Most people use web3 browsers/wallets like MetaMask to store their Ethereum and then use this Ethereum to purchase or even mint NFTs before they are made available on the larger market places like OpenSea. Minting is basically just buying the NFT right at launch directly from the makers rather than buying and selling on something like OpenSea. If you are interested in buying and selling NFTs to potentially make hundreds of dollars, go to raritytools.com to scope out future NFT projects to mint. *Be aware that not all NFT projects are going to take off and become what is called a "Blue Chip NFT". When buying and selling NFTs make sure to do your own research and make sure their is utility to go with it along with a good community of people*

More on NFT flipping in a later post.

You can buy an NFT

On a couple different platforms, but the main NFT exchange is OpenSea Marketplace. Most NFTs are stored on the Ethereum blockchain. Some NFTs that have been released include Bored Ape Yacht Club #8585, along with tons of other stuff like virtual real estate and in-game items. As of right now people just mainly buy and sell them to make a couple hundred, thousand, and even millions of dollars, but what I find to be the most exciting is the future. Like I said before, through smart contracts, NFT's have all kinds of uses that will allow us to see them being active everywhere on the internet and in society in only a matter of time.

If you are interested in broadening your crypto horizon and entering into the NFT space, be sure to check out OpenSea Market place. Also Coinbase just happens to be implementing their own NFT trading platform on their app in only a matter of time. To join the waitlist to use this platform go here. If you are more interested in sticking to only cryptocurrency, but are still interested in investing in the future of NFTs, there are many different altcoins that back all kinds of NFT projects and the vast majority are built on the Ethereum blockchain. If you are looking to invest, use Coinbase. They are the safest, fastest, and most convenient exchange in my opinion and offer the most coins to trade.

Click this icon to join Coinbase and in doing so receive $10 worth of Bitcoin for FREE

NFTs make me so excited for the future of #tech. I will 100% be delving more into #NFTs at a later date and talk more about the future of NFTs as utilities. To learn more about the metaverse check out the basics of meta. To learn more about how Snoop Dogg himself invests in NFTs, check out 3 famous celebrities in crypto.

*this is not financial advise and i am not a financial advisor.