The digital art NFT market has skyrocketed in the last couple of years, with more and more celebrities and artists endorsing this marketplace. If you’re a digital artist or an investor looking to diversify your digital portfolio, understanding NFTs can benefit you.
What are NFTs?
NFTs, or non-fungible tokens, are unique encrypted tokens held on blockchain networks representing real-world or digital assets. NFTs can be anything from smart contracts to digital artworks, but all NFTs verify the ownership of an asset. When you purchase an NFT, you are buying the rights to the metadata of that NFT. The metadata usually holds information about the real-life asset, or it can even hold an encrypted version of the digital asset you’ve purchased. Blockchain technology ensures your NFT investments are secured and cannot be tampered with. NFTs, like most cryptocurrencies, are protected from the inflation of fiat money and do not fluctuate in value along with the stock market or economy. Investing in NFTs and other crypto can help hedge your portfolio against inflation and diversify your digital investments.
How to Buy and Sell NFTs
To start buying and selling NFTs, you first need to open a crypto wallet and select the NFT marketplace you wish to enter. The NFT marketplace you choose should be compatible with the cryptocurrency you choose to fund your digital wallet. You can open a digital wallet through any crypto app. As an artist, consider NFT marketplaces such as FTX, built with the artist in mind; FTX makes it easy for anyone to learn how to sell NFTs and keep up to date with the latest crypto news. Once you’ve funded your digital wallet and selected your marketplace, you can begin minting your NFTs or purchasing other NFTs. Once you purchase your NFTs, they will be stored on the blockchain, and you can access them through your digital wallet. When you’re ready to sell the NFT, you can re-list it on the marketplace.
Marketing Your NFTs
The NFT market jumped from $95 million in 2020 to $25 billion in sales in 2021. This unprecedented increase has presented an incredible opportunity for investors and creators alike. Now, famous artists and celebrities like Snoop Dogg and Justin Bieber heavily endorse the NFT market, even creating their own NFT collections. You can find great success selling your works online as an artist, but marketing your NFTs is key to finding buyers.
The first step to marketing your NFT collection is to make NFT teasers. These can be stills, close-ups, or any preview of the work that does not give away every element of the piece. Once you’ve created these teasers, you can share them on your website, on social media, and throughout NFT and crypto communities online. Having a solid online presence is essential for marketing your work. Always engage with other artists and collectors online, and participate in digital communities surrounding crypto and NFT art. If you can afford paid advertising, that can help you grow a following quickly, but you need to be sure you have a solid and regular posting schedule to maintain that audience. NFT influencers are also a popular choice for marketing but can be costly. As you continue to grow as an NFT artist, you can find new opportunities to collab with other creators and pros in the crypto space to generate hype around your collections.