Non-fungible tokens are slowly gaining hold of the digital world by inculcating everything from the physical world into the virtual world by means of digital representation. But for someone who has only set foot in the digital world now, it may be extremely possible for them to wrap their heads around the whole concept of NFTs. Therefore, to help them navigate the world of NFTs and how they are proving to be highly useful for the users, we have compiled this guide to non-fungible tokens and how to create an NFT on OpenSea.
Table of Contents
- What are Non-fungible Tokens?
- How do Non-fungible Tokens Work?
- What are Non-fungible Tokens Good for?
- How to Create an NFT on OpenSea?
- How can I Buy NFT?
- Is NFT a Good Investment?
- Can NFT Make You Rich?
- How to Sell Your Tweets as NFTs?
- How to Create an NFT on OpenSea from Digital Art?
- Most Bizzare NFTs to Buy
- POAP NFTs: A Special Case of NFTs
- Conclusion: How To Create an NFT On OpenSea?
What are Non-fungible Tokens?
Non-fungible tokens are basically digital assets stored over the blockchain as digital representations of physical or virtual world assets and objects like real estate, artworks, musicals, poetry, etc. Each NFT is unique and can not be equivalent to other NFTs. For example, a hundred dollar bill is exactly the same as another hundred dollar bill and can be exchanged with that. This is not the case with NFTs.
How do Non-fungible Tokens Work?
The working of NFTs begins with their creation over a blockchain or other NFT marketplaces. These NFTs are then fed upon the blockchain along with smart contracts that govern the sale and purchase of the NFTs. At any point in time, there can be only one owner of an NFT. The flow of ownership from one person to another is recorded by the blockchain and is completely transparent. The change of ownership of the NFTs occurs when both parties agree to the set of rules and conditions mentioned in the smart contract.
What are Non-fungible Tokens Good for?
Non-fungible tokens are good for a lot of things. They are unique and help users prove and protect the ownership of their work.
- NFTs improve market efficiency by streamlining the process of the sale and purchase of physical assets digitally by removing the need for intermediaries.
- They ensure the originality of the work. In a world mostly ruled by social media, creators and artists are constantly on the verge of losing ownership of their work. So, NFTs, provide them a way to prove originality.
- Thirdly, non-fungible tokens help the business in simplifying the supply chain of their product, right from the provenance and production to the delivery of the product to the end consumer.
- NFTs, when used to represent identities like passports, and national identity cards, can largely simply be the process of verifying identities.
- Non-fungible tokens allow fractionalized ownership of physical assets like real estate, which is otherwise impossible in the physical world.
How to Create an NFT on OpenSea?
The process of making NFTs is called NFT minting. During minting, the physical or digital assets are converted into unique tokens with unique metadata. This is then stored on the blockchains via smart contracts. These tokens can not be altered or changed in any way, even by the owner of the NFTs. Now, let’s look at how you can mint NFTs. Here, we are taking an example of minting an NFT on OpenSea, which is one of the largest marketplaces for buying and selling NFTs.
How to Create an NFT on OpenSea?
- Firstly, you will need to make an account on one of the many crypto exchanges in the world. A crypto exchange is where you can buy and sell cryptocurrencies. You will need cryptocurrencies to pay the mining fee for minting your NFT.
- Secondly, you should create a Metamask wallet as it is the most widely compatible crypto wallet that can be connected to any of the exchanges or NFT marketplaces. Add your cryptocurrencies to this wallet.
- The next step is to select an NFT marketplace. As we mentioned above, OpenSea is one of the largest marketplaces in the world. This is why it is a good idea to mint your NFT on OpenSea as you are likely to find the best prices and a big community of buyers who might be interested in buying or auctioning your NFT.
- Click the Create button on the homepage and connect your Metamask wallet. Add your content in the form of audio, video, GIF, or image, and enter all the details you need to mint your NFT. Select the blockchain on which you want to mint and enter the metadata. Please note that you can not change the metadata after minting the NFT.
- Hit the Create button and approve the transaction from your Metamask wallet. You can also decide whether you want to sell off your NFT or auction it.
How can I Buy NFT?
You must already be aware of the fact that most of the NFTs that have been minted till now are based on the Ethereum blockchain. This means that for buying and selling NFTs, you must have Ethereum in your wallet. Here are the three steps to follow while buying NFTs.
- Fund your Metamask wallet with Ethereum or any other crypto that may be required to buy NFTs, like Matic, etc.
- Connect your wallet to the marketplace from where you would like to buy the NFT.
- Select the NFTs that you want to buy and pay the cost from your wallet. Once the transaction is successful, your NFT will be credited to your wallet.
Is NFT a Good Investment?
While you are checking out the guide on how to create an NFT on OpenSea, you must know whether it is a good investment or not. Yes, NFTs seem to be a good investment, keeping in mind their utility for the users, and the abundant scope in the future. Here are some of the advantages of investing in NFTs.
- Since NFTs can be bought and sold solely by using some Ether present in your wallets, NFTs become largely accessible to anyone who may want to create NFTs.
- As NFTs secure the ownership of your assets with the help of metadata and smart contracts, it’s absolutely impossible for anyone to steal your assets and call them their own.
- NFTs are digital assets using cryptocurrencies as the medium of exchange. This means that NFTs can be a great choice if you want to diversify your portfolio among various types of assets.
- For someone who is just fascinated by the idea of blockchains and how they work, NFTs can offer great scope for learning and expanding their knowledge of blockchains.
Can NFT Make You Rich?
NFTs can definitely make you rich if you invest in NFTs that serve some purpose to the audience. However, if you have digital toilet paper as NFTs, obviously there is no use case for that. Therefore, it is extremely important for you to buy an NFT that has some practical utility and the people are willing to buy it from you.
After learning how to create an NFT on OpenSea, you can create your NFT and make money in the following ways.
- You can rest your NFTs and charge money for them. This is especially useful in the case of gaming NFTs like weapons, skins, gaming assets, etc. which can be rented for playing the game. This is one of the best ways to earn passive income continuously as you can rent your NFTs and earn money while still having ownership of it.
- You can also stake your NFTs and earn passive income from them. Some of the platforms to stake your NFTs are Onsessus, NFTX, KIRA, JustLiquidity, etc.
- For art-based NFTs, you can also earn royalties. You have to specify the royalty fee while writing the smart contracts. So, whenever the NFT is sold, you earn a royalty fee.
- You can also sell your art-based NFTs without copyrights. This way, you can sell your NFT and recreate your art to sell it off again and again.
- You can also get rich by flipping NFTs. Flipping refers to the process of buying NFTs before their launch or at the launch at the initial floor price and selling them later at a higher price. However, this approach requires a lot of diligence and great timing.
How to Sell Your Tweets as NFTs?
Well, the basic steps of setting up a wallet and funding the wallet with Ethereum stay the same for selling any type of NFT. However, for the platform to sell tweet NFTs, you will need to use Valuables. It is a dedicated NFT marketplace for mining, buying, and selling tweet NFTs. Therefore, it is the best place for you to mint your most engaging tweets as an NFT.
The next thing to do is here mint the NFT by copying and pasting the URL of the tweet. You can set up the minimum bidding price for your NFT tweet from the Manage Your NFT option. Once the buyers begin placing bids on your NFT, you can choose the best bid and sell your tweet NFT. Check out these tips to price your tweet NFTs.
How to Create an NFT on OpenSea from Digital Art?
You can sell your digital art as NFTs on a number of different platforms. Some of the basic steps involved in selling digital art NFTs:
- Creating a crypto wallet
- Funding the wallet
- Connect your wallet with the NFT marketplace
- Create the NFT by uploading the supported version of your digital art.
- Pay the minting fee from your wallet
- Market your NFT across social media platforms, NFT groups, digital art communities
- Sell your NFT to the right buyer
Now, you may ask about the best places to sell your digital art NFTs as not all the marketplaces may have the right audience of buyers who may buy your digital art. Check out this complete guide to what, why, how, and where to sell your digital art as NFTs.
Most Bizzare NFTs to Buy
While a lot of users are putting the concept of unique tokens to the best use and creating some real-world utility for these digital assets, some people in the world are creating the most bizarre NFTs that have no real meaning for the NFT holder. Why would you buy a taco that you can not even bite in? Who would like to buy a symphony of someone’s farts? Is that even a symphony? Because that sounds disgusting to us!
However, you will be surprised to know that people are actually selling these NFTs for at least a few dollars. Don’t believe us? Check out these strange NFTs mentioned below.
Charmin, a toilet paper brand, developed flowery toilet paper in the form of NFT which made investors place a bid as high as $1086. It may sound extremely strange but the fact is that the fund raised went to the Direct Relief Foundation.
Digital Toilet Paper – Wierdest NFTs
A Fart Symphony
Why sing-along pop songs when you can sleep to the symphony of farts recorded over a year? As disgusting as it may sound, Alex Ramirez-Malliz has recorded a 52-minute symphony of his and his friend’s farts and is selling them as an NFT. You can also use this guide on how to create an NFT on OpenSea to create an NFT of your own farts!
A digital stick worth $1200 is all set up for sale to not let you play the exciting “fetch-the-stick” game with your dog. The seller describes the stick as irresistible since it reeks of a “putrid smell of overflowing trash.”
Salvatore Garau created a sculpture of a vacuum, called Lo Sono. The artist describes the art as an immaterial sculpture that is so versatile that it can be viewed by flashing any color of light onto it. The art, which was initially priced at $8000, was sold at $18,300 along with the rights to its ownership.
Invisible Sculpture- Weirdest NFTs
Would you buy a digital taco worth $69 Million that you can not even bite into? Someone did! The Taco Bell NFT Collection contains a string of tacos as GIFs. Here’s an interesting fact, though. The entire sum went to the Taco Bell Foundation which aims to provide youth-based scholarships.
POAP NFTs: A Special Case of NFTs
POAP NFTs represent a new class of NFTs that enables you to issue, buy, and store event tickets as NFTs. These ERC 21 tokens are solving the major problem of tracking down individual transactions to present proof of payments and attendance to a virtual or a physical event. POAP stands for the Proof of Attendance Protocol. POAP is probably the first of its kind. They are being largely used by business and event organizers for generating consumer engagement, brand loyalty, and rewarding loyal customers for their dedication to a brand.
UniFarm, in the first chapter of its Web3 talks organized in New Delhi, India, distributed POAP NFTs to all the attendees of the event. We could do so because of POAP.XYZ allows the creation of NFT tickets in the easiest way. All you have to do is create an event that you would like to commemorate and the related details. You can then select the number of tickets you want to generate and submit the request.
It usually takes 24 hours to get your request for POAP NFTs approved. However, we got the approval within 2 hours of submitting the request. You get the desired number of links that you can distribute among the participants of your event. They can easily click on the link and mint their NFTs, free of cost!
Conclusion: How To Create an NFT On OpenSea?
NFTs can be a great asset to invest in, if you are looking to diversify your portfolio or if someone is constantly stealing away the credits to your original work of art. If you are looking for some rare NFTs to invest in, check out these tools to find the rarest NFTs to invest in right now!