New Way of Investing in Digital Art

The Main Feature of NFT Art

The new digital technology trend offers a unique way to own assets and a range of opportunities to monetize them. These methods are available not only for experienced users, but also for beginners. Experts boldly call digital art a new stage in the development of creativity in general. Its peculiarity is that it exists in digital format in virtual space. It cannot be “touched” like classical art objects. 

For a more detailed understanding, consider a simple example. Imagine that there is a picture in the Internet space in JPEG format. She may have hundreds of copies. But the author can use a convenient tool – blockchain (distributed data registry) – and link this picture to an address on the blockchain. After that, a non-fungible token will be created, to which a name (or pseudonym) will be assigned, and the transaction for its creation will be recorded in the blockchain.

Who Needs NFT And Why?

Before the rise of NFTs, digital artists mostly made money by creating individual digital works on commission. They were unable to monetize virtual works. With the advent and popularization of NFT and the growing interest in this area, digital artists have such an opportunity. NFT provided the ability to digitize unique virtual creations. The source code of such a digital item is one of a kind, and NFT makes it possible to consolidate this uniqueness and not confuse this particular object with hundreds of copies of it. In simple terms, NFT has provided the ability to maintain the unique ownership of digital art in the same way that we protect our ownership of tangible property in real life. Here is a simple example of why NFT is needed. The artist can sell the original of his work at auction and give the buyer the unique right to own it, despite the fact that it does not have a material form of expression and exists only in digital form.

Why Buy NFTs?

The question remains: why do people pay millions to buy NFT art? The Founation platform named six reasons why you should buy NFT art:

1. This is a way to become the sole owner of an object in digital form and, if necessary, claim ownership.

2. Opportunity to actively contribute to the establishment of a new cultural paradigm. After all, new creators can develop when they are supported and promoted.

3. NFT has a huge potential not only for art objects, but also for others.

4. This is the creation of a market for new creative communities.

5. Collecting NFTs is a way to showcase your taste and make yourself known as a trailblazer and open-minded person.

6. In the end – this is the future, which sooner or later will come anyway and it is better to interact with it in the early stages.

Prospects for NFTs

Despite the wave of hype surrounding NFTs, there is currently no clear forecast of how the NFT industry will develop. On the one hand, the consumption of digital content is growing daily, which can give NFT art a chance for great development in the future. Today, this area does not have a sufficient legal framework, but in the event of its further development, such legal regulation may appear. This, in turn, can make non-fungible tokens a mundane and familiar thing. On the other hand, like any hype thing that has skyrocketed, interest in NFTs can fade as quickly as it came. The very value of such tokens looks ambiguous, which makes it impossible to accurately state the direction of their further development. It may turn out that the modern digital art market will disappoint collectors and lose its popularity.

Create Your Own Token

First you need to choose a digital object – a picture, a photo, a music track, and something else from the field of content or art. The next step is to register on the marketplace and place the product with a description and price. As soon as the user clicks the “Create” button, the asset has a unique address in the blockchain. 

Creating your own coin is a good way to cash in on the new NFT token trend. This can be done, for example, on the OpenSea platform. You will first need to connect an Ethereum wallet, then you can proceed to create a coin. After clicking the “Create” button, the system will prompt you to fill in all the fields provided. You also need to come up with a logo, cover and pass the album verification.

And we hope this article was helpful to you!