The popularity and adoption of NFTs have grown exponentially over the past years. NFT simply means Non-fungible tokens. They have ideally solved the outstanding problem of online users notoriously duplicating digital contents like photos, videos, music, etc.
NFTs are unique digital contents ( arts, music, gifs, videos) that cannot be replaced or exchanged with another similar content of the same value, due to the fact that each NFTs are generated with a unique identity, that is verifiable on the blockchain.
Well, first of all, you can just pick up a paint bucket or crayons, and slam them all over your drawing board.
There are basic steps that should be taken in order to create an artistic content, and ensure it’s successful launch and adoption.
The steps are described as follows
Firstly, an artwork is created using graphic and vector applications. An NFT project is primarily made up of a collection, hence, the Artwork can range from 1 to infinity. It all depends on the artist involved and the goal to be achieved.
Now, permit me to take a guess at what you’re thinking, the more NFTs I make, the more money I can make right?
However, it is a general knowledge from the basic principle of demand and supply. The more an asset is circulating in supply, the less its value becomes. So, I wouldn’t be so quick to create an endless supply of NFTs and set the ask price to 1 dollar per NFT — now I’m infinitely rich! Wink!
Each of these artwork in the collection should essentially be created with its own distinctive feature in order to assign its value based on its uniqueness and rarity.
A digital wallet like trust wallet or metamask can be used for this. The made artwork can be uploaded to the wallet of your choice, the steps taken here depends on the platform used for the artwork creation. After the artwork has been collected on the wallet, it can then be linked to a marketplace for NFTs like Opensea or Rarible and then auctioned there for sale. Although, you’ll need a considerable amount of Ethereum as gas fee for these transactions.
Voila! You got yourself an NFT available for sale. However, the chances of your NFT getting sold out might be slim if certain factors are lacking such as
For example, you could take a dollar bill and exchange it with a similar dollar bill because they are essentially the same store of value, and symbolizes the exact same copy. Hence, a dollar bill is a fungible token. The same goes for cryptocurrencies like Bitcoin, Ethereum, cardano, etc.
100 cents make up a whole dollar, and they can be exchanged with one another, since they both still represent the same store of value. Fiat and Crypto curriences can be split into denominations without them losing their intrinsic value.
Now let’s take a look at the polar opposite features of Non-fungiblity:
NFTs basically are minted with a unique ID on the blockchain, hence no two NFTs are fundamentally the same or replaceable on the blockchain even if they might have the same features. They can only be exchanged only on the basis of the value the owner attributes to it. Let’s look at the Phantom’s baby chimp gang NFTs for example.
These two NFTs if worth 200$ each can be exchanged for that same worth based on the owner’s decision , and not because they look similar.
NFTs represents a whole entity, hence, unlike fiat or cryptocurrencies, they cannot be divided into fractions of value. It’s quite simple folks, you can’t crop out an ear from the baby chimp gang and sell it on the open sea market. Well, fortunately, it doesn’t work that way. Thank God!
The NFTs wave is far from over as there is still room for more adoption of utilities in the future asides from DeFi and GameFi integration. Although they are yet to be generally adopted by the masses, they have surely changed the narrative for digital content production, protection of ownership rights, and preservation of valuable artistic contents.