NFTs have grown exponentially in the last couple of years. An odd number of participants turn to the online sector for investing, buying, selling, and trading. This huge participation helps expose the sector and its use cases to a wider audience. Moreover, engagement in the industry has economically boosted anyone who dared to interact and use the sector. The reason for the attraction and pull-in factor of the sector is due to the unmatched rarity, security, and tradable aspect of the NFTs, which are in most cases accompanied by assurity in the blockchain.
Let’s look at NFTs, the function of blockchain, why you should invest in NFTs, how the investors make millions, and the future of NFTs.
NFTs & blockchain
The blockchain is the technology that is the reason for cryptocurrencies to exist. NFTs are a byproduct of that technological use case. Non-fungible tokens are tokenized assets that are developed on the blockchain.
NFTs are investment material because of their ability to be authenticated as rare and unique. The blockchain covers the security aspect of the assets. The sector is decentralized, which helps with transparency and cuts out intermediaries.
Why should one buy NFTs?
The possibilities are endless due to its hospitable nature to host and nurture a variety of talents and, in turn, expose them throughout the globe. The exposure and even playing ground make it easy for individuals involved with the sector to pierce and make it big like never before.
The popular sales in the NFT realm compromise various niches. The first-ever minted NFT from artist Kevin McCoy “Quantum,” in 2014, started the whole charade. Since then, there have been many million-dollar trades since. The highest ever sold NFT to date is “The Merge” by artist Pak which sold for upwards of $91 million.
Some notable projects in the NFT realm that are hot in the global market are Cryptopunks, Bored Ape Yacht Club, Cryprokitties, Axie Infinity, and Decentraland. And some regional NFT marketplaces that aren’t holding back on their efforts, like BeyondLife.club, Always First, Bollycoin. Prominent marketplaces that have hosted some of these fancy projects are Opensea, Raible, Waris, etc.
How to generate revenue from NFTs?
Buying and investing in NFTs has become a luxury task. The higher the hype for the project or the name attached to it, the higher their trajectory snowballs revenue through their journey in their marketplaces. There are also the diamonds in the rough – when a completely unknown project suddenly blows up, but they are rare.
Mostly, investors and collectors can view the transactions in the decentralized platform – check for the history of track record and sales in previous sales in the marketplace and the artist behind the project. The secondary market is a perfect interface to view this aspect of the NFTs to gauge their trajectory.
Popular names and brands use NFTs as part of their marketing strategy and also to generate exposure and revenue. These projects are also often paired up as good short-term investments in the NFT realm.
Future in the sector
The rise in sales and revenue returns has been witnessed and recorded in the trading of digital assets. NFTs have proven to be the perfect investment material. The sector has notoriously made amateur creators and businesses millionaires. And also facilitated the further scope in developing other host industries under its wing. Start buying and investing in your future.