What do you need to invest in NFT?

Most websites tell you how to start investing in NFT (Non-Fungible Token). For a quick guide, you can check different pages but the main steps are:

1. Create a crypto wallet
2. Buy some ETH (keep in mind you’ll need to pay some fees)
3. Register on an NFT marketplace
4. Connect your wallet to the NFT marketplace
5. Find whatever you like and buy it.

For selling the NFTs you bought it is a reasonable way to use the same marketplace:

1. Create a crypto wallet. (you should already have it)
2. Link your wallet to your NFT marketplace account.
3. Buy some ETH. (Keep in mind you’ll need to pay some fees.)
4. Create a “collection” of your art.
5. Generate an NFT from your collection.
6. List your NFT for sale.
7. Market your NFT to your fans.

How is the market now

The latest trends we could identify were a celebrity-backed NFT project or an NFT collection so that was the primary marketing portal. These NFTs usually had a grand opening and then those who really wanted them bought them for a collection. That is where you can come in as a trader or an investor. You can buy it before the collector and then resell it to them or another investor/trader. This way you will get the profit you calculated before but be sure to count the gas fees in your calculations. These short-term holders are what we call traders in this context.

Those who want to invest usually search for a project that looks like it will be alive years or months later. We wrote about almost the same with Axie Infinity here… As of now, the most popular NFTs are:

• Dribblie
• Flyfish Club
• Lucky Block NFTs
• Azuki
• Bored Ape Yacht Club
• NBA Top Shot
• CryptoPunks
• Mutant Ape Yacht Club

Our advice on Non-Fungible Tokens

Investing in crypto or investing in NFTs can be a really good or a really bad investment. That is why one of the best pieces of advice anyone can get is that don’t use the money you need for living your regular lifestyle. There were success stories and some major losses.

• Be careful of what you want to buy we have seen scams go around quickly in the community and just days later it was realized that it is a scam.
• Always count the gas fee it the total price.
• Use wallets that you trust.
• Always verify the seller.
• Never share information about your wallet ( private key, recovery phrase)!

This is not financial advice so please do your own research. This advice is intended to be used and must be used for informational purposes only.

Wins and Losses

As we can now see the Bitcoin to USD conversation rate pulls everything with it in the crypto market. For example, if bitcoin crashes and you just bought an NFT for 1 BTC that NFT worth went down with it theoretically but most people don’t acknowledge that they bought BTC certain price so for you it is only a loss if BTC prices went lower than you bought it. See our advice above this section you should only use “gaming” money for investment and then you don’t play with money you need to live your life.

Wins

As some of you know we tried a blockchain game out in the past with a 10 USD upfront cost and in the end, we played with the game for a few hours and then we let it sit our assets in a wallet for a year and sold them for around 250 USD this was a win for us with minimal energy put in it. It was a good investment. It is not a lot of money but the return is really high.

Losses

Now that you know that we hit a lucky spot in the market here is what would have happened if we waited another year to sell after crypto prices crashed in the past one month. As of now, the same assets would be worth nearly nothing around 0.5 USD. In the end, because it was not a huge amount of money we were not stressing about it at all so we could wait for our moment. Imagine this loss if we would have started with a million dollars. Would you be happy?

Disclaimer:

This is not financial advice so please do your own research. This advice is intended to be used and must be used for informational purposes only.