Do you know, people make tens and thousands of dollars buying and selling NFTs?
The good news is, buying and selling NFTs is not as hard as you think. On this post today, I’ll guide you on how you can buy and sell NFTs to make money. Just make sure you don’t miss a thing here.
First and foremost, what is an NFT
NFTs refers to Non Fungible Tokens. There are Bitcoin like in nature and is seen as or act like a certificate of ownership that are stored on a blockchain.
There are used to represent ownership of unique items. They enable us tokenize artworks, collectibles and even real estates.
Non-fungible tokens (NFTs) are non-interchangeable unit of data that are stored on blockchains, (by blockchain, I mean a system of recording transaction or information in a particular way that makes it hard or say impossible to hack, cancel, change or cheat the system.
It is a digital ledger that houses transactions that is duplicated and distributed to all the connected network of computers using it)
An nft is a form of digital ledger, they can be bought and traded. Different types of NFT data units may be associated with digital files such as photos, videos, and audio.
Because each token is uniquely identifiable, NFTs differ from most cryptocurrencies, such as Bitcoin, which are fungible.
The word Fungible here means the ability of a good or an asset to be interchangeable with another individual good or asset of the same type.
Bitcoin is a Fungible assets. Whatever Bitcoin you have can be interchangeable with another Bitcoin. A Fungible asset is best used in commerce. One good example is cash, which is interchangeable.
As a hundred dollar note ($ 100) can be interchangeable for five twenty dollar note ($ 20) which equals the same value.
But a non-Fungible asset cannot be substituted identically for another asset. Clear examples of these non-Fungible assets are; Real estates, a particular real estate cannot be interchangeable for another real estate
Artworks; an art work cannot be swapped for another. One very good example of this is the artwork or painting of the Mona Lisa. This art work cannot be substituted for another artwork or painting.
Others are videos, images and the encrypted digital tokens formally known as NFTs. There are non-fungible token. Token here means or implies a digital certificate stored on a blockchain in the exact same way that your favorite crypto currency is stored on a public ledger.
An NFT is a digital asset that cannot be substituted for another digital asset and it is publicly verifiable. People pay whooping amount of money to buy this artwork of NFTs. Believe me when I tell you that people pay huge amount of money such as $100, 000, 000 ( hundred million dollars) for these NFTs. Don’t be surprised!
I believe you will be wondering why people are ready to pay these huge amount of money for ordinary art work that you can just screenshot and have on your phone. That is a very good question which brings us to the next topic of:
Why People Buy NFTs
There are many different reasons why people buy these encrypted digital tokens generally known as NFTs.
The most primitive one of them would be because they want to invest in a new, speculated, and veritably unpredictable asset. The request for NFTs exploded in 2021, and plenitude of collections similar as the Crypto Punks or the Wearied Ham Yacht Club saw their valuations shoot.
Verifiable ownership and social status: the ownership of an NFT is traceable as there are encrypted or stored on the blockchain which enables one to trace the true ownership of an nft.
Aside from assuming on their unborn valuation, however, some investors choose to buy NFTs as a form of digital art. As the world moves further and further towards a digital future where a lot of our relations and time is spent online and as the conception of a metaverse continues to catch speed, numerous people want to enjoy scarce, verifiably authentic digital art and to gain or secure social status symbol or recognition.
That is one of the reasons we see nfts being used as profile pictures on social media today.
Another important reason people buy nfts are for collection. Nfts are collected and through this collection, they gain following and demand alongside increase and a community of people that love nfts buy in. While others collect nfts to make profit from it. To make few buck, they buy into a collection in an attempt to flip it for a higher price. And this brings us to the how to buy and sell nfts
How To Buy And Sell Nfts On Opensea
Opensea is the largest market for trading nfts. You can buy and sell your nfts in opensea.
Go to opensea
Click on create (you need an Ethereum wallet to use)
Click on get MetaMask (you need to set up and fund MetaMask wallet to do your buying and selling; you can install MetaMask through chrome extension)
- Click on get started and create a wallet (click on I agree, please make sure you use a strong password)
You are required to fund you digital wallet with funds to be able to buy NFTs. On OpenSea, the currency which is used to buy is Ethereum (ETH). MetaMask is the most popular web portmanteau (wallet) for NFTs, however, Coinbase Wallet is now becoming the people’s choice. It all boils down to whichever one you choose.
- Fund your metamask wallet; to do this when you don’t have a wallet, you will have to install the MetaMask.io as an extension and connect it to opensea.
Then you allow open sea to access your wallet and follow through with all the prerequisites as well as signing in the signature requested. Once this is done. You’re good to go on browsing the opensea market place.
- Browse the OpenSea NFT collections. Next in line, you go to the opensea and click on Explore; this enables you to browse through the nfts collection available. Source for the one you like.
You can decide to filter your search by clicking on the top right bar to choose either trending, music, arts, collectible, domain name, sports, or so much more. This filter helps to channel or narrow your search to a particular field you want.
- Found Something You Want? Buy Now or Make an Offer. You are either faced with the choice of making an offer or buying directly.
Some nfts usually have the options or will give you the option to place a bid. With respect to this, in order to buy these kinds of nfts you will first have to make an offer to the owners to be able to acquire or have them.
Note: On OpenSea, bids are at least 5% higher than the former bids. Also, make sure to check out for offers being made by other people. This gives you a good idea on how much to bid.
Then move on to the buying itself. To buy, click on buy now and check out. You will see the whole details of the nfts. Details such as the name, the different collections, the subtotal and the total. Afterwards confirm your check out.
Your metamask wallet will be loaded by OpenSea. Details of purchase will be visible. The duration to process the buying transaction, the estimated gas fees for the transaction and all there is to know.
Also, note that it is best to buy with metamask when the Ethereum network is not busy or say less busy. When you are ready to buy, click on confirm and wait for some time for your purchase to be processed. This could take you a couple of time.
Smiles, cheers to you as your newest nft will appear in your own collection. All you need do is go back to your profile on opensea and with time, your brand new nft will show up. Kudos! You just bought an nft. You can check it out.
Next is to sell. Click on sell after buying. Put in the conditions of sale. You can decide to sell at a fixed price or time auction. All the conditions of sale needed will be filled.
Note: if your nft artwork doesn’t appear on your metamask wallet, don’t panic, you can get it manually. To get it manually, click on your nfts and scroll down to click on contract address, copy the address. Then you go back to your metamask wallet and click on import tokens. Hit on custom token and paste the copied address there. Then add.
Your nft will appear on the metamask wallet.
You’re good to go!
Note: there are risk involved in buying and selling nfts. And this is as a result of the volatility of Ethereum. Which is purchasing an nft that may never be purchased for that price again since it is volatile. So one needs to be extremely careful when buying.
How to Mint and sell Nfts free of charge on opensea
On this same opensea where people pay lots of money to mint and sell their nfts, you can still mind and sell your premium nfts free of charge by following this simple steps
How to Mint NFTs for Free on opensea?
You can mint NFTs on OpenSea ffree of charge , with one major caveat. Here’s how to create NFTs for free:
- Connect your ETH wallet to your OpenSea account. Preferably a MetaMask wallet.
- Create OpenSea Collection by clicking create a collection on OpenSea’s dashboard.
- Set up your first OpenSea collection by customizing it. Check the logo, banner, name, and description.
- Pick the blockchain of your choice. To mint without paying gas fees, pick the Polygon blockchain for minting.
- Start minting your NFTs by clicking on the option “Collection” and “Add Item” to begin. OpenSea requires the price to be a minimum of $2.
It’s that simple. Although you will not have to purchase the NFT However, someone has to pay. The person who has to pay will be the purchaser. When the transaction is completed buyers have to pay the cost of gas to create the NFTs in the Blockchain. This might deter some potential buyers, particularly if NFT cost is less than the gas costs.
How Much Does It Cost To Mint NFTs?
According to Slate, the typical cost of minting NFTs on Ethereum is between $1 and $1,000. Users can however mint NFTs at no cost if they choose to mint their non-finite tokens using the Polygon blockchain.