What Is A NFT And How Do You Buy A NFT?

Mike Winkelmann — the digital artist known as Beeple — sold an NFT of his work sold for $69 million at Christie’s. 

At the time the auction house said that the sale positions him “among the top three most valuable living artists”.

Do you want to learn about this latest NFT craze and find out if now is the right time to get in?

 NFT’s are one of the fastest growing trends and I’m going to share with you what NFT’s are, how they are used and why they are gaining so much popularity.  I’ll also cover how to buy them and if you should get into NFT’s right now.

Please be sure to hit the like and subscribe buttons below right now so that you are informed of all upcoming videos.

What are NFTs and how are NFTs used?

This is a question that many people are asking lately, as this new type of token is starting to gain popularity. NFTs, or nonfungible tokens, are slowly becoming a staple in the cryptocurrency world. But what are they, and should you buy one? In this article, we will explore NFTs and answer all of your questions!

NFT stands for nonfungible token. Fungibility is a term used in economics and it refers to the quality of something being able to be substituted for another identical thing. In other words, if you have two objects and they are both considered to be fungible, then you can exchange either one of them for the other without any problems.

Gold is an example of a fungible commodity – basically, any gold bar is worth the same as any other. If you have an ounce gold bar and I have an ounce gold bar, then we can trade them with each other without either of us losing out.

Now let’s look at an example of something that is not fungible. Say you have a car and I have a car. Even though they are both cars, they are not identical – they may be different colors, models, etc. In this case, we would say that the cars are not fungible.

Ownership of digital assets is the primary use of NFTs. This can be anything from a piece of digital art, to a video clip, to a virtual world. The sky is the limit when it comes to what NFT’s can represent.

One popular use case for NFT’s is in the gaming industry. For example, the game CryptoKitties is based on NFTs. In this game, players can buy digital cats and then breed them to create new cats.

NFTs are also being used in other games, such as Gods Unchained and Decentraland and many others.

Another use for NFT’s that is gaining popularity is tickets.  Recently, there has been a lot of hype around NFT-based tickets. For example, the company Aventus is using NFTs to create and sell tickets for events. This allows event organizers to sell their tickets in a more secure and decentralized way. So the opportunity for people to be scammed by fake tickets is removed. It also allows the event organizer to keep track of who has purchased a ticket.

Why are NFTs becoming more popular?

There are a few reasons why NFTs are starting to gain more traction.

First, the NFT market is still relatively new, so there is a lot of potential for growth. Second, NFTs provide a way for people to own digital assets that can be traded or sold.

NFTs also offer a degree of security and authenticity that other items don’t have. When you purchase an NFT, the blockchain verifies that you are the owner of that asset. This is different from traditional assets which are subject to fraud and counterfeiting.

For example, let’s say you buy a painting for $1000. The only thing stopping someone from making a copy of that painting and selling it to someone else is the honor system. The ownership of the asset is stored on the blockchain with NFTs. This means that it is much more difficult to forge or duplicate an NFT.

Are NFT’s valuable?

NFTs are unique and can’t be replaced which creates value. This means that if you own an NFT, then you own something that is one-of-a-kind. For example, let’s say you have an NFT that is a digital painting. The value of this NFT comes from the fact that it is the only digital painting in existence – no one else has an identical copy.

Real-world objects can be represented by NFTs. For example, there are now platforms where you can buy NFTs that represent pieces of art, land, or even houses.

The real value of an NFT comes down to the amount of money that someone will pay for it. The price of an NFT will also depend on a number of factors, such as the rarity of the asset, the demand for the asset, and the overall market conditions.

How do you buy NFTs?

The most popular platforms for buying NFTs are Ethereum and EOS. These platforms allow people to create NFTs that represent real-world objects. They also have built-in wallets so you can store your tokens safely.

The best ways to buy NFTs is through an online NFT marketplace. These marketplaces allow you to browse and purchase NFTs from a variety of sellers.

Binance, Coinbase and OpenSea  are the most popular NFT marketplaces. Binance is a cryptocurrency exchange while Coinbase is a digital asset brokerage. OpenSea is an NFT marketplace that allows you to buy, sell, or trade NFTs. The nice thing about OpenSea is that it supports a variety of different cryptocurrencies, not just Ethereum.

When buying an NFT, it is important to only buy from reputable sellers. Also, be sure to store your NFTs in a secure wallet (like MetaMask or Ledger Nano S) so you can keep them safe.

Final Thoughts

Are NFT’s here to stay?

The NFT market is still in its early days, so it’s hard to say for sure. However, there is a lot of potential for growth. NFTs provide a way for people to own digital assets that can be traded or sold. They offer a degree of security and authenticity that other items just don’t have. So far, the NFT market has been growing steadily, and it shows no signs of slowing down.

Should you buy an NFT?

The answer to this question depends on what you want to use the NFT for. Are you interested in a one-of-a-kind and cannot be replicated? Then an NFT might be a good choice for you. However, if you are buying them as an investment to hold or flip you need to be a little more careful.

Remember that the value of an NFT is based on the uniqueness, the demand in the marketplace and ultimately what someone else will pay for it. The value could go up or down, so do your homework before investing.

Thanks for watching! I hope this helped you understand what NFTs are and how they work. 

Are you going to buy an NFT? If so, which one and why? Let me know in the comments below. If not, that is okay too. Just let me know in the comments why. 

Also be sure and subscribe and like so that you receive all of my upcoming videos. 

See you in the next one!