If you’re looking for a way to build a secondary income, you’ll consider investing in NFTs. These digital assets are gaining in popularity, and there’s a lot of money to be gained if you know how to find trending Nfts on the market.
So today we’re covering “the best nft tips for beginners”. NFTs are an excellent way to get involved with the blockchain ecosystem, whether you’re an individual or an organization.
There are many different types of NFTs to choose from, and each one has its own advantages and drawbacks.
If you’re not sure which type of NFT is right for your needs, we’ve got some tips on how to pick one that’s a good fit. Let’s get started.
What exactly are NFTs?
First things first, let’s start with the definition of Nfts for beginners so there won’t be any confusion. Nfts stands for Non Fungible Tokens. NFTs, are a collection of one-of-a-kind objects (digital art, videos, music, tickets to an event, legal documents, etc.)
When something is “Non-Fungible” it simply indicates that It is a type of crypto asset that is unique and cannot be divided into smaller units.
Each token is linked to a specific piece of digital property, such as an art, a collectible card game, or an item in a video game.
So in simple terms, it’s an asset that lives and is stored on a blockchain that you’ll buy, sell and trade.
NFT Tips for Beginners
Ok, now you have the basic knowledge about Nfts and now we’ll start discussing the subject of this post which is the nft tips for beginners;
As a beginner, it’s important to understand where to buy NFTs and what to look for. You want to make sure that you’re buying from a reputable source, which means avoiding websites that don’t have a lot of traffic and users.
Start with a small amount of money. You don’t want to put all your savings into an investment that is still unproven and volatile.
Don’t invest more than you can afford to lose! It’s easy to get caught up in the excitement of investing in something that is growing rapidly and think “I just need one more chance,” but if it doesn’t work out, it can be devastating financially.
Always do your research before making any investment decisions—especially when dealing with a new product like NFTs! You don’t want to be left holding a bag full of worthless tokens because you didn’t know what you were getting into.
Select the marketplace that best meets your needs
There are several markets that you’ll pick, each with its unique features. The most popular one is of course Opensea, which is a marketplace where you’ll probably find all the famous and trusted Nft collections.
It is perfect for beginners since it allows them to try out the NFT process without having to invest a lot of money. There are also other Nft marketplaces like X2Y2, LooksRare, Rarible and Foundation etc..
These marketplaces are also well-known sources to look into if you want to purchase an Nft and start collecting your first digital asset.
On the other hand sites like SuperRare and NiftyGateway, solely sell Nfts of popular and well-known artists in the Nft industry only. So if you like to see what famous artists create then check these market places too.
Keep in mind that if you have no idea what to buy or how much art is worth, it means it is a risky investment. So before spending your hard-earned money, learn all the necessary information about the Nft ecosystem.
For example, buying a $100 Nft created on the Ethereum blockchain might cost you about $200-300. Because every transaction on a blockchain will have another cost, it will be wiser to get the cost info before buying Nfts.
Also, there are markets that focus other blockchains such as Solana (another token similar to Ethereum) or BNB (Binance’s coin) that allow newcomers to purchase Nft for a low cost.
Magic Eden, Binance, Objkt, and Nft Hive are some of these low-fee marketplaces. Trades are not done with Etherium on these sites, which charge a few dollars in “transaction fees”.
Get a Metamask wallet to store your Nfts
So, you know the definition of nfts and where to buy them but what about storing these assets right? There are musts in blockchain-based ecosystems and digital wallets are one of the important ones.
The most commonly used digital wallet is the Metamask wallet. Because it’s a browser-based and easy-to-use wallet, getting a Metamask wallet is a must for beginners.
Also Read; What is NFT and What is Used for?
Well, it doesn’t exactly need to be Metamask, but you need a digital wallet. Metamask is the most popular one, especially if you have an interest in Ethereum-based Nfts.
For example, if you specifically like to buy Solana Nfts then Phantom will be your go-to digital wallet. Ok, getting a wallet is done, What next? => Security!
Actually, these wallets are secure but the scammers are smart enough to cheat newbies. So you need to be clever and don’t fall into any “You won an Nft, Click here” type of scams.
Basically, no one can hack your wallet and get your crypto assets if you don’t give them your password or secret recovery phrase.
When you create a wallet, you also create a secret recovery phrase as another layer of security and these scammers are always trying to get this information from you.
So, please do not share this type of information with anyone, and always double-check projects or people’s offers with other community members.
If you ask me what is the most important Nft tip for a beginner, I’ll say this one “Do not share your secret keys (secret recovery phrase) with anyone” in any circumstances.
Always DYOR: Do your own research
The best way to get started with NFTs is by doing your own research. The internet is full of articles that tell you exactly how to do everything, but the truth is that there’s no one right way to do anything.
It’s tempting to just follow the advice of someone else, especially if you don’t have a lot of experience in a particular field. But this can be dangerous.
Research is how you learn about the market and what makes each asset unique. It’s how you learn how to invest in assets that will grow (or at least not lose money). It’s how you learn what makes an Nft a good investment or not.
For example, if you find an Nft collection that is going to launch soon and wanna buy from it, the first thing you need to do is to check the team behind the project.
Also, you need to check the community, road map, art, and so on. Of course, there are a lot to check and lots of information you need to observe but it’s 100 % worth it.
Always consider the “Transaction Cost”
The Nft purchasing process is a bit more complex than buying traditional items, and there are some things you should know before you get started.
There are two main costs associated with your purchase: the Nft price and the transaction cost. The Nft price is what you pay for the item itself, whereas the transaction cost covers the processing fees paid by you for the transaction.
So, for example, if you want to buy an Nft that costs $100 USD (plus transaction fee) and your fee is 2%, then your total cost would be $100 USD + $2 USD) = $102 USD
You pay the fee for blockchain approvals. This fee will seem like nothing but generally, it depends on how many transactions are done in a second at the blockchain so the fee might go up to hundreds even thousands of dollars.
Every transaction on blockchain has a fee so you should calculate the total cost carefully. Because the fee might go up depending on the transaction traffic on the chain you’ll pay higher fees.
This means that to make a profit you need to consider the transaction cost otherwise you might lose money while trying to make some.
Those unaware of the transaction cost lose money in the buying Nft process. When they realize it is not as easy as most influences promote, they frequently decide that this is not for them and quit.
Use social media to build an Nft network
It’s no secret that the world of Nft is a fast-moving field. You never know where the chance will come from in the world of Nft. If you’re new to Nfts, this is a great time to start following people who are already successful in this field.
This way, you can learn from them, by following people who have been successful using Nfts, you can learn how they managed their projects and what mistakes they made along the way.
Occasionally, a tweet from a member of the Nft community may alert you to a new and high-quality Nft project before the rest of the community, giving you the chance to buy before the market heats up.
This is important because it allows you to keep track of what’s going on in your niche, as well as stay connected with like-minded individuals.
An active Nft network can help you spot opportunities before they even become available to the public. It can also give you a chance to learn more about how others are succeeding in their journey, which can be helpful if you’re just starting out yourself!
Twitter and Discord are at the center of Nft communities. So even if you’re not an experienced crypto enthusiast, you’ll learn a lot by following Nft accounts and joining to Nft-related Discord servers.
There are many types of NFTs, including digital art pieces, virtual world assets, and even collectibles like rare cards in a game or trading cards. If you’re just starting out with NFTs, there are some things you should know:
-NFTs can be used as collateral against loans
-They can be traded on exchanges
-Many NFTs have their own wallets where you can store them securely
-You must own private keys to access your funds at any time
In this post, we’ve discussed the best NFT tips for beginners in detail. We hope that this post helped you to understand NFTs better!
Nft Giant was created by Nft enthusiasts to help individuals who are new to the area or want to learn more about it.
If you want to learn more about NFTs then come visit Nft Giant from time to time for trending Nft news and Nft Guides. See you in the next article…