You may ask ‘How to Invest in NFT Tokens?’ or ‘how to buy NFT Tokens’? Here is your NFT guide that can solve all NFTs related queries.
NFTs have become very popular in 2021. Celebrities are adopting it. Some people even claim NFTs will bring the Second Renaissance; a flourishing of digital art and creativity which gives way to an upgraded civilization and prosperity.
What are NFT Tokens?
NFTs are tokens that we can use to represent ownership of unique items. They let us tokenize things like art, collectibles, even real estate. They can only have one official owner at a time and they’re secured by the Ethereum blockchain – no one can modify the record of ownership or copy/paste a new NFT into existence.
NFT stands for non-fungible token. Non-fungible is an economic term that you could use to describe things like your furniture, a song file, or your computer. These things are not interchangeable with other items because they have unique properties.
Fungible items, on the other hand, can be exchanged because their value defines them rather than their unique properties. For example, ETH or dollars are fungible because 1 ETH/$1 USD is exchangeable for another 1ETH/$1 USD.
How to Invest in NFT Tokens?
Step 1: Signup for a Crypto Trading Platform
First, you’ll need to sign up for a Crypto Trading Platform. Some other common alternatives include Binance, Coinbase, FTX, and KuCoin. After the signup process, you need to buy a cryptocurrency that supports NFTs trading like Ethereum, Solana, or Avax. Once you have some Ethereum or any other NFTs supported cryptocurrency you are almost ready to purchase NFTs.
Step 2: Connect your Wallet and Transfer Crypto
Transfer your crypto to a crypto wallet like Metamask. Think of it as a digital checking account that stores and transfers your cryptocurrency. Some exchanges like Coinbase have built-in wallet features that are offered when you open an account, but other options include dedicated wallets like MetaMask.
Step 3: Connect your wallet with an NFT marketplace
After the above steps, you need to connect your wallet to an NFT marketplace. At this stage, you are all set to make your first NFT purchase. Once it’s connected, you can start browsing the marketplace’s NFT collection and make a purchase.
Step 4: Confirm NFT Token Purchase/Creation
Once you purchase an NFT, it will belong to the wallet you purchased it from. By going to the relevant blockchain explorer you can search your wallet address and confirm the tokens in it there. Under the tokens section, you will see your NFT listed as an ERC-721 contract.
You can choose one of the marketplaces we are giving below or you can find a reputable one yourself by doing some online research. Make sure it’s from a verified source and never connect your wallet to unknown domains or projects as it can be a scam and they will empty your wallet if you authorize them!
Where can I buy NFTs?
There are dozens of NFT marketplaces where people can buy and sell NFTs. Some of these NFT platforms are common to all kinds of NFTs, and some of them are specialize in a specific type of NFTs. For example, NBA Top Shot only sells NFTs that belong to NBA (National Basketball Association) content only.
Here we are mentioning some most popular NFTs platforms based on our analysis:
- NBA Top Shot