How can one make money from NFTS (crypto)?

The art market is always on the lookout for groundbreaking, new trends, and non-fungible tokens (NFTs) seem to be the biggest art trend of the year. In the past few months, NFTs have been met with unprecedented demand. Although NFTs have existed since the early 2010s, 2021 has definitely been a breakthrough year.

After all, the numbers don’t lie. Last January, the average sale price of NFTs was just $30.

Only a year later, the price skyrocketed to $4,000 per NFT.

One of the biggest sales platforms for NFTs, OpenSea, reported a $3.4 billion transaction volume in August 2021, after earning over $800,000 from only one series of tokens, the popular CryptoPunks.

The NFT art market hype peaked when an American artist Beeple, sold a collage of NFT artworks for $69 million. Though the most successful, Beeply is not the only artist to sell his digitally created works for staggering prices. Just weeks before Beeply’s record-breaking sale, artist Chris Torres, sold a crypto rendition of one of the most famous Internet memes, the 2011 Nyan Cat.

Colorful flying cat meme has sold for $590,000 in February.

Additionally, a company called NBA TopShot, (known for turning YouTube videos with NBA plays into digital non-fungible tokens that can be bought and sold), made headlines when they managed to sell a video of James LeBron’s dunk for more than $200,000. The same company followed up their success by selling a video of a Zion Williams block for $100,000. The fact that someone paid that much money for a video that anyone can view on YouTube was mind-blowing for many.

It wasn’t long before Twitter founder Jack Dorsey joined the NFT art market by selling the very first tweet ever published on the platform for $2,9 million.

Even the New York Times contributed to the hype by selling one of their columns for more than $500,000.

It seems that everyone is eager to get on the NFT bandwagon, looking to earn money from the art world’s latest craze. Auction houses like Christie’s and Sotheby’s are organizing major NFT sales, galleries are adding NFTs to their portfolios, and collectors are willing to pay millions of dollars for NFT pieces, thus raising the hype even higher.

Even major companies such as Visa Inc. are finding their place on the NFT art market. But despite the obvious craze, many people still don’t know exactly what NFTs are, what they are for, and what do you do with them.

When you buy an NFT what do you get?

You get a digital file with a stored artwork and a digital proof of ownership for the piece that you can later sell. NFTs can be used to authenticate all kinds of artworks, prints, sculptures, drawings, etc. But it is the field of digital art, where the NFTs show their true meaning.

An NFT usually carries some sort of a digital art piece, (a digital picture, meme, video, music…) although, as previously mentioned, it can also contain tweets or newspaper columns.

All of these digital items will continue to exist on the Internet, where anyone will be able to download and look at the pieces. However, a person with a non-fungible token will be the only one that can sell the piece later on, since that’s the only person that can prove the ownership and the authenticity of the artwork.