Technology is rapidly changing. Today, the new emerging technology manifests as a Non-Fungible Token, helping online creatives buy and sell protected digital artwork. Viral stories of people selling NFTs for thousands of dollars have circled the globe. So, what exactly is an NFT, and how can you capitalize on it?
This article will reveal all the confusing technical jargon and explain how you can create an NFT to make money online.
What is an NFT?
A Non-Fungible Token is a digital file that no one else can duplicate or change. The word “fungible” means changeable, used in this context to describe how you are asserting control over your artwork and its attached data.
The token connected to your art is the digital equivalent of a paper certificate of authenticity. However, unlike a mere piece of paper, the digital proof of ownership cannot be forged or reproduced. This is all thanks to blockchain, an extensive database tracking digital property.
For example, when you sell an NFT, the blockchain transparently logs every transaction, moving all the corresponding data along with the file. As a result, the token attached to your data cannot be detached, deleted, tampered with, or reproduced by anyone.
Formats of NFTs may include visual art, videos, music, and even video game characters. Any digital multimedia file is eligible for NFT status.
Benefits of NFTs
Ultimately, the security and assurance of an NFT bring numerous upsides, including:
- Controlling the circulation of your work: you decide the maximum quantity and eliminate counterfeits
- Receiving credit for your art without fail, regardless of who owns it
- Collecting royalties on your behalf every time your NFT is sold (optional)
- Taking advantage of an up-and-coming marketplace to passively sell digital art.
After creating a digital masterpiece, no artist deserves to find that artwork infinitely reproduced on blogs, Pinterest, and Instagram without credit or royalties. You deserve to be paid for your work!
Disadvantages of NFTs
Sellers beware that there are genuine disadvantages. Be cautious of the following before entering the NFT market:
- The cost of
- The cost of entry to produce one NFT is equivalent to $100-600, depending on many factors
- The currency used is Ethereum, a volatile cryptocurrency subject to fluctuations in value
- High sales and success depend on artist popularity, fan base, marketing, and awareness
- Current demand is arguably low, and the future is uncertain
- Some NFT selling platforms have high entry barriers, requiring approval or setup fees.
Like all new paths, there are disadvantages to weigh against the potential benefits. NFT creation is not for every artist.
How to create an NFT
From this point, we will assume you have the digital file ready to convert into an NFT. We will leave the creative process up to you and stick to the actionable instructions to authenticate your art pieces.
Cryptocurrency Wallet (MetaMask)
Think of this as a digital bank account, but exclusively for cryptocurrency. We recommend MetaMask to host your cryptocurrency earnings.
The majority of NFT fees and sales are in Ethereum rather than cash. The following software we use requires payment in Ether, abbreviated as ETH. Before proceeding, fund your wallet with ETH currency to cover the initial minting fees.
Then, link your MetaMask account to OpenSea.
NOTE: DO NOT FORGET your password. Crypto wallets are protected and offer little to no help with password recovery. If you forget your password when logging in, your money will be inaccessible.
Minting Platform (OpenSea)
Minting is the term used for physically creating the NFT. Your minting platform serves as the place to both create and sell NFTs.
We recommend OpenSea due to its accessibility: there is currently no approval required to join. Other alternatives include Mintable, MakersPlace, and Rarible, each with pros and cons.
Minting your digital art
When you are ready to mint your creation, the steps are straightforward. The options shown to you are as follows:
- Difficulty level (please, select “easy” unless you are a veteran)
- Classification for your work (image, video, music, etc).
- Pricing (Fixed price, auction, reserve price, open to offers)
- Controlling the quantity sold and royalties (to your preference).
Follow each of the steps and set your own rules. You are in control.
Once you have made it past the settings and authentication stage, it is time for you to start marketing and selling your NFT on OpenSea.
Making the jump to get started can be confusing at first but follow the above steps and you will be on your way to fund your next big project!
If this has been helpful, visit Fabrik to learn more from other like-minded creators. Fabrik is an evolving independent platform for art world professionals, collectors, and anyone curious about new ideas on contemporary art.
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