The first-ever NFT project that reached the mainstream media was Cryptopunks. And since then, the NFT hype has come to life. In fact, one particular Cryptopunk NFT that was originally bought for less than $30 was later sold for $11.75 million. This was one of the distinct advantages of having NFTs, and we’ll tell you more.
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Highly Collectible
Have you ever wondered why a Charizard Pokemon card had sold for $220,000? Well, that doesn’t have better stats than other cards except that it’s just hard to find. So as NFTs. Since many people really feel good just from knowing that they have something very rare. And NFTs having a digital scarcity makes them very interesting to collectors. Then if you got one, expect that collectors will line up just to buy it.
Transition to Smart Contracts
Thanks to NFTs, people who want to sell their digital products would never need to worry about long-written boring contracts. And with blockchain technology, this would be a foolproof system that defined the rules in the NFT space. This transition to smart contracts allows people to set an unbreachable rule, like for every time their NFTs are bought, they’ll get a 25% fixed commission.
READ MORE: How does Polygon work on OpenSea – OverSimplified
Can be an Investment
It’s not just the digital artists. Anyone could make money out of NFTs as they could actually be traded. But make sure you do your research first and, of course, be ready to take risks. As the NFT market is quite accessible for anyone who wants to invest. Unlike the stock market, that could be quite intimidating just to get started. Well, maybe you’ll be the next to the person who originally bought a Cryptopunk NFT for less than $30 and earned a massive profit as it later sold for $11.75 million.
A Brandnew Way to Earn
Well, this could be a great opportunity for most digital artists. Since, unlike the usual way, where fans support them through donations by Paypal or Patreon. With NFTs, they could actually sell their digital art without worrying about it having duplicated, and this guarantees its monetary value.
Getting a sense of Social Belonging
Did you know that ‘The Bored Ape Yacht Club’ NFT collection organizes physical get-togethers for those who own its NFTs? And with 10,000 NFTs in its collection, the cheapest one would still be $340,000. However, why do people were desperate to get their hands with these NFTs? Well, even Elon Musk has NFTs. And that’s because NFTs became a game-changer in how the digital world works and has now become a trend that everyone wants to have a sense of belonging.
Conclusion
People who own expensive NFTs use these photos as proof that they’re part of an exclusive group. Which is an advantage in a way, but also a borderline sickening problem. As having NFTs perhaps became another form of bragging about things that others could never have.
READ MORE: How does Polygon work on OpenSea – OverSimplified
To be continued…