DotBig guide: How to invest in NFT — online trading explained
Today, basically, everyone can make good money from online trading because of the easy access to forex and stocks. Moreover, thanks to the development of crypto technology, we now can access the market to invest in art. Let’s explore with DotBig how to buy such tokens.
Introduction to NFT for beginners
Non-fungible tokens are basically digitalized versions of items from the real world. When purchasing one, you become an owner of a unique thing, and this might be literally everything — from a painting to a piece of a video.
No one can violate your ownership because when you invest in any NFT, your possession becomes secured by digital means of the platform. Blockchains technology is used to secure all the operations you execute.
Step 1: Explore tokens
NFT projects are especially popular with collectors because many of these tokens are art items. There is also a significant number of NFTs that are represented in a form of in-game items players receive as a reward.
Similar to other assets traded via online trading platforms, NFTs have their own value, and participants of the market try to choose tokens with the best prospects for the future. However, some experts don’t like so much hype around some NFTs. Vitalik Buterin, a co-founder of Ethereum, said that “ it becomes a different kind of gambling”
Nevertheless, you can google some best tokens and see how their price rates have changed over the year.
Step 2: Explore companies where to buy crypto
How to buy NFT? NFTs are bought with crypto, usually, with Ethereum. This means you have to find where to buy some digital assets. There are two options:
- Crypto exchange — where participants sell and purchase assets from each other.
- Broker — a company that acts as a middleman.
DotBig trading crypto platform is one of the best online brokers where you can buy Ethereum and thousands of other cryptocurrencies. You just need to complete registration and access any market you like — stock, crypto, Forex, and others.
Step 3: Explore a platform to sell tokens
When you own Ethereum, you can finally access a platform and purchase NFT. Platforms that list NFTs are called marketplaces. Before you sign up at any of them, you have to open a crypto wallet and make sure it corresponds to the requirements of the certain platform.
The most popular marketplaces are:
- Larva Labs
Keep in mind that your crypto wallet must have enough assets not only to pay the initial price of a token but to pay additional fees as well. Marketplaces charge fees differently. Make sure you are aware of these conditions before you create and fund your personal account.
How to choose the best NFTs?
You just need to find a prospective project. VeeFriends NFT collection is one of them. It contains over 10,000 tokens and the average sale price of NFT as of the 13th of April is $50,700. On the 13th of February, this price was $36,408. The price increased by 39%, which means, potentially, you could have earned around $1,400 from a $1,000 investment made at the beginning of 2022.