The conversation around Non-fungible Tokens (NFTs) has reached a fervent pitch following the sheer number of high-profile sales in the last few months. From Beeple’s record-breaking art sale at Christie’s for $69 million, to Jack Dorsey selling his tweet as an NFT for $2 million, the NFT marketplace is booming. With a total sales volume hitting over $1.2 billion, the industry is ripe for the picking.
What Is a Non-Fungible Token (NFT)?
NFT stands for Nonfungible Token. You may be scratching your head over what a nonfungible token means, but don’t panic. It’s a pretty easy concept to wrap your head around.
Non-fungible means unique, a one-of-a-kind asset that cannot be replaced — unlike fungible items, which can easily be exchanged, like fiat currency or cryptocurrencies such as Bitcoin. In crypto, nonfungible tokens are units of data that are stored on the blockchain. This certifies them as unique and not interchangeable.
NFTs can represent a wide range of art, music, photos and even real estate. At the moment, a wide range of NFTs is built around the Ethereum network, utilizing either ERC-721 or ERC-1155. Apart from the fact that no two NFTs are the same, NFTs also possess noninteroperability.
Besides, they cannot be divided into smaller components, such as Bitcoin’s satoshi. In addition, by storing them on the blockchain they can be easily authenticated. These cryptocollectibles enjoy the advantage of being virtually indestructible because they are stored on the blockchain through smart contracts.
What Is the NFT Marketplace Used For?
Assuming the description about NFTs struck a chord with you, you might be wondering about the right step to take in order to lay your hands on one of these digital gems.
The truth is, it’s easier than you expected.
First, you’ll have to become familiar with the concept of the NFT marketplace. In its truest sense, an NFT marketplace is where collectors buy, sell and trade NFTs. These marketplaces cover the trading of a wide range of NFTs, including digital art, music, videos, trading cards, games, tweets and even real estate.
As NFT continues to grow in popularity, its marketplace is now being valued at over $250 million. Surprisingly, it has generated over $1.2 billion in sales since its inception. This digital marketplace has also created an opportunity for “flippers” to thrive, with some of them making profits up to $1,000.
With NFT markets, you can put up your newly minted NFTs for sale, and surf through the listings to purchase an NFT of your choice.
Where Can I Find Rare Digital Artwork to Collect?
With nonfungible tokens soaring in popularity, the cryptocollectibles marketplace is also growing at a rapid pace. At the moment, there are lots of places where you can find rare digital artwork to collect. Some of these include the popular OpenSea, Atomic Market, Async Arty, Rarible, Super Rare, Decentraland, and more. Below are some of the NFT marketplaces that will be worth your time in 2021.
OpenSea is widely touted as the largest NFT marketplace in the world. It is a peer-to-peer marketplace for rare digital items and cryptocollectibles. OpenSea is often considered the first marketplace for cryptocurrency assets such as cryptocollectibles, games and other things backed by the blockchain.
On the OpenSea platform, users can trade their NFTs through the functionalities of a smart contract. Launched in 2017, OpenSea has recently announced a $23 million round of funding, led by Andreessen Horowitz and several high-profile investors such as Mark Cuban.
Founded by Alex Atallah, OpenSea actively builds tools to assist developers in creating integrated marketplaces for their digital assets. At the moment, $311.97 million worth of NFTs have been sold on the OpenSea marketplace.
With over 40,000 unique users on its platform, Atomic Market is another NFT marketplace built around EOSIO, which helps users to create, buy and sell rare nonfungible tokens. At the moment, 11,421,434 NFTs have been created — and in the last 24 hours, 48,897 sales have taken place in the marketplace.
An intuitive API also allows developers to create their own NFT marketplace without a deep knowledge of smart chains or the technicalities associated with blockchain technology.
Async Art is a digital marketplace for NFTs that caters specifically to artists and art collectors. It provides users with the capability to create, collect, and trade NFT art.
Since its launch in February 2020, Async Art has gained a healthy following, which now translates to over $2.1 million in sales and $7.8 million in total bidding value.
A key feature that distinguishes this cryptocollectible marketplace is the ability to buy or sell art pieces in “Master” or “Layers” through the innovation known as programmable art.
Rarible is one of the fastest-growing NFT marketplaces, and rightly so because of the presence of a wide range of features that set it apart from the other marketplaces on the list. Rarible allows artists and other creators to make and sell their digital assets.
With assets based on the Ethereum blockchain, creators and buyers can trade without the need for a middleman. Founded by Alex Salnikov and Alexei Falin, Rarible’s volume has soared to a whopping $10.26 million.
If you’re in the hunt for rare art NFTs, SuperRare is a great place to begin your search. SuperRare provides a healthy and thriving marketplace for artists and collectors to trade a wide range of cryptocurrency collectibles.
On its platform, art NFTs are authenticated on the Ethereum blockchain to prevent fraud. After purchasing your desired NFT, you have the option of reselling it on the secondary market. Additionally, holders of art NFTs can display their collections to other users through a VR gallery.
Decentraland is another great NFT marketplace for art collectors because of the sheer amount of NFT available to them. A wide range of NFTs can be traded and collected on the Decentraland marketplace, such as virtual wearables, real estate, and even names.
Founded by Esteban Ordano and Ari Meilich in 2017, Decentraland utilizes two tokens called MANA and LAND for smoothmarketplace operation. MANA is used for the purchase of cryptocollectibles in the Decentraland marketplace.
Enjin is an ultramodern and intuitive marketplace for the purchase and sale of blockchain assets. This NFT marketplace holds some of the rarest NFT collectibles in the world for gaming, art and music.
The tokens and assets are based on ERC-20 and ERC-1155, which allows for a higher degree of functionality. Users of Enjin’s marketplace can take advantage of the secure and feature-packed Enjin wallet to store their NFTs and cryptocurrencies.
BakerySwap is a robust marketplace that allows creators to mint their own NFTs, thus providing for the seamless trading of rare digital assets. As a self-titled NFT supermarket, it features a wide range of well-known artists churning out high-quality digital artworks. In addition, the marketplace is a goldmine for NFTs in the gaming genre.
As the name implies, if you’re on the lookout for the best NFT artworks, you should definitely give MakersPlace a shot. It contains some of the best works of digital art in the virtual ecosystem.
With a strict authentication process that involves the artist’s signature and subsequent verification on the blockchain, NFTs purchased on MakersPlace are secure and unique. Collectors also have the latitude to display their collections for other users to see.
The core belief embedded in the Foundation project is the bridging of the gap between creators, cryptocurrency enthusiasts and collectors to advance cryptocurrencies’ budding evolution.
Foundation places the artist at the center of the project, earning 10% on any secondary transaction involving the digital token.
If you’re an artist looking to get the best value for your NFTs, give Foundation a shot. If you’re a collector, Foundation provides a wide range of compelling digital artwork in the crypto space.
KnownOrigin is a thriving NFT marketplace that provides collectors with the opportunity to collect rare digital artwork. By being secured on the Ethereum blockchain, the NFT artwork can be verified, and the transaction history of the artwork can be easily deduced.
The melting pot of artists, collectors and crypto eggheads on KnownOrigin provides a marketplace where flippers can profit — which is excellent for the entire NFT ecosystem.
Portion contributes its quota to the growing NFT trend by providing a nonfungible marketplace where artists and collectors can trade unique and authentic digital assets that are verified on the blockchain.
This decentralized marketplace allows smart escrow contracts to eliminate intermediaries, and ensures the distribution of royalties to creators. Through validating bidders and granting blockchain certificates, Portion provides a seamless marketplace for all users.
How to Buy at an NFT Marketplace
Thinking of how to buy NFTs at a marketplace? Here’s how to go about it:
Most NFT marketplaces utilize cryptocurrency to trade and participate in the market. So you’ll have to purchase a cryptocurrency. The cryptocurrency of choice is Ethereum.
After purchasing the cryptocurrency, head over to your favorite NFT marketplace and browse the listings until you come across an NFT that catches your fancy. Then, pay for it using your cryptocurrency, and store it in your crypto wallet.
The NFT craze has begun a heightened crescendo, creating a whole new digital economy for cryptocurrency believers. This digital economy is fueled by the existence of vibrant marketplaces for the trading of NFTs. These marketplaces have collectively accounted for sales worth over $1.2 billion in just a handful of years.
As more content creators leave the traditional venues of art exhibitions, NFT marketplaces are bound to experience a boom in both volume of sales and number of users.
So, with the new found knowledge in crypto, why not sign up to Bybit?