Why should you buy NFTs?

Why should you buy NFTs

For many, it’s hard to shake the feeling that NFTs aren’t a legit digital asset. Digital art, maybe. But the question remains: why should you buy NFT? Why should you put your money on the line for a digital artwork whose hype might be short-lived and not replicable? The reasons for this are diverse, yet many token projects get sold out in the blink of an eye. Any NFT project could be the next new thing, and that means, everyone wants a piece of it. Moreover, today the NFT marketbrings so many possibilities and varieties – from digital real estate to the use of NFTs used as proof-of-ownership for concert festivals, and so on. 

Indeed, it’s quite incredible what people can do with their NFT art. That makes non fungible tokens one of the most innovative consequences of the crypto revolution. It’s not surprising many real-world leaders such as Elon Musk or Gary Vaynerchuk take crypto and non fungible tokens as something to be truly reckoned with. In short, a new digital era is upon us. And that means, of course, that people who want to matter in the future should know as much as possible from these innovations. Even if crypto art is not your forte, or if you have never stepped inside an NFT marketplace, buckle up as we take you for a ride to discover why should you buy nft. 

The benefits of an emerging market

When it comes to NFT marketplaces, people often seem puzzled by the sheer amount of liquidity that comes and goes during the token sale. Just to put this into perspective: $26.9 billion in cryptocurrency was spent in the NFT market in 2021 alone. We are talking about a market that is growing by gargantuan figures. Even if you don’t really believe NFTs are a good investment, there are thousands of people that disagree with you every day. This means: you might not like it, but you can’t ignore it. This emerging market, populated by strange NFT enthusiasts and artists, is quickly becoming a force for change. 

Even more: it might force people to rethink just what a non fungible token means for the future of the internet, of finance, and of artists. One such change might be that NFT artists stop needing meddlesome third parties to engage directly with their audiences. Let’s make an example. Mona Lisa, probably the most famous physical art piece ever created, is a portrait commissioned to Leonardo Da Vinci by the Medici family of Florence. Leonardo received a conspicuous sum when he sold it to a French king. All of this was done without the need for art galleries. Nowadays, the art world is dominated by curators and other intermediates that take huge fees in order to provide ‘access’ to artists. An NFT platform takes away all of that, by granting creators the possibility to hype their projects and communicate with audiences directly. In turn, audiences can put their crypto wallet to good use and support the artist in exchange for nonfungible tokens that carry a proof-of-ownership with them.

Is it safe, you ask? There’s no simpler question. The nature of blockchain technology stores the transaction (and your NFT) in the most secure ledger of all – one that is shared among all, completely transparent, and completely unchangeable. Most NFTs exist on the Ethereum blockchain, and the NFT space grows more and more each day.

“This is all well and good, but give me a real example of a digital artist that became rich after selling their work.” That’s what one of my best friends said to me when I started learning about the benefits of crypto and NFTs. And that was also the perfect opportunity to tell him of the most absurd NFT purchase of all time: when Chris Torres, the creator of the original nyan cat YouTube video which became first an internet sensation and then one of the most reshared memes of the decade, tokenized this asset (a process called minting) and sold it for a staggering 300 ETH, the equivalent of 587,000 US dollars at the time of the NFT sales. Not bad, uh?

Before-buying checklist

Of course, like every emerging market, not all that glitters is gold. There have been instances of NFT collection turning out to be complete scams. The hype surrounding this growth also brings forth hundreds of new investors ready to open their Coinbase wallet, which in turn attracts malicious people that want to turn innovation into a new shiny excuse for stealing other’s people money. You can change everything but human nature, I guess. But not every digital collectibleshould be a cause for general concern. After all, the crypto world has taught us that while frauds abound, that does not mean the system itself is a fraud. Nonetheless, it’s better to be safe than sorry. Suppose you want to buy a new cool digital asset, now that your friend just purchased a badass Bored Ape NFT. How can you make that happen while making sure there’s no funny business involved?

1) Create a crypto wallet to pay for the digital item of your choice, and make sure to use a safe platform.

2) Go for something that appeals to your aesthetic. That way, even if it loses value and you can’t resell it, you won’t feel short of the transaction.

3) Check for online presence in the Discord community groups of that project. If there’s little to no online presence, or if the people are simply talking about how to make more money off the resale, that’s a big red flag. 

4) Never ever share your account or crypto wallet details in these platforms, trust me. You wouldn’t leave your credit card at the bar while you go to the lavatory.

Following this simple checklist will ensure you have a fun and lucrative first time NFT sale – or, as I like to call it, it will ensure you pull a Mark Cuban (after the investor who got into crypto following a big NFT collection purchase). More and more debutantes are flocking the market as they realize its potential. Think of the Winklevoss twins, now enjoying their newest project Nifty Gateway after a less-than-ideal start with Facebook. Even Twitter CEO Jack Dorsey sold the first-ever tweet for $2.9 million. Talk about investment.

The big players want in on the action

Big companies and enterprises are starting to understand and cherish the value of NFTs. Givenchy or popular association football team Juventus, just to name a few. Now eBay, the popular online auction site, just opened its platform for NFTs. And there’s even more original projects like PLBY Play, partnered with Nifty Gateway, which mines tokens from the vast and eclectic Playboy archive. As long as people who possess a cryptocurrency wallet are ready to pay, the players on this market can only grow. 

Skeptics will argue that big players might simply take advantage of the short hype before the “NFT Bubble” collapses. But they miss why people are buying NFTs – and that is, to have something unique and collectible in an era where digital redundancy makes most things pointless or just too disseminated to hold any value. Bread is good, but bread’s value is low because there are countless types of bread around the world. On the other hand, a trading card signed by your favorite athlete is a precious and valuable asset. 

Projects like NBA Top Shot sell NFTs containing video proof of the best dunks by legends like LeBron James cash in on this demand. And celebrities themselves are quick to listen: NFL living superhero Tom Brady founded NFT platformAutograph with a deep bench of star power. Lindsay Lohan, on the other hand, went for an even cooler concept as she encouraged fans to bid on an NFT displaying her canine ‘Fursona’.

The bottom line

More and more NFT platforms such Axie Infinity, OpenSea, and Rarible are sprouting on the market, giving users the possibility to buy and sell digital items in a secure way. Huge venture capital firms like Andreessen Horowitz have started backing NFT creators on their quest. The game is a long-run one for those investing in NFTs and crypto, there’s no doubt about it.

After all, the positives of crypto, blockchain technology, and decentralization greatly outweigh anything negative a novice might read on a couple of hot takes on the internet. NFTs are here to stay, and that is enough reason why should you buy NFTs.

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