21.05.2024

What are NFTs, how are they created, and where can you buy non-fungible tokens?

NFT in English stands for non-fungible token, that is, a non-fungible token . In fact, it is a token that assigns to its holder the ownership of a particular digital object: text, image, painting, audio recording, game item or character, domain name, and so on.

What is the uniqueness of NFT tokens?

Unlike regular tokens and cryptocurrencies , NFTs are unique: each exists in a single copy. For example, bitcoins in crypto wallets of different users can easily replace each other, their value is the same. At the same time, an NFT format token representing a certain image is far from equal to another NFT, which represents, for example, an audio recording. Moreover, their cost can vary significantly.

Thus, all NFTs are unique and cannot be copied. Identifying information, which explains the uniqueness of each such token, is recorded in smart contracts and stored in the blockchain . In doing so, NFT solved the problem with ownership of digital objects. With the help of these tokens, information about the owner and author is recorded in the blockchain – it cannot be changed or deleted.

In this case, in the case, for example, with tweets, the purchased message does not disappear from the site, but remains in the same place. However, in fact, the rights to it are transferred to the buyer. This begs the logical question: why buy tweets at all? 

The developers of the Valuables platform believe that NFT is akin to a collectible autograph, which allows a fan to feel a connection with the creator of a work of art (or tweet). That is, we are talking, rather, not about rational or practically useful purchases, but about sentiments.

Here everyone decides for himself how much he is willing to pay for a nominal «connection» with the author. Sina Estavi, for example, did not regret even a couple of million for Jack Dorsey’s tweet.

OpenSea Platform

OpenSea is the world’s largest NFT token trading platform. Unlike other NFT platforms, OpenSea allows you to buy and sell any digital object: in-game items, digital art, and anything that can be tokenized on the Ethereum blockchain .

There are now products available on the site in more than 200 categories, grouped by type: Art, Domain names, Virtual worlds, Trading cards, Collectible objects, Sports and Utilities.

Mostly users pay with ETH or USDC stablecoin. Also, in some cases, you can see objects for «public tokens» (social tokens) or «game currencies» (game currencies) – some online communities use their own units of calculation. 

Store purchase, users can in any kriptokoshelkah : both mobile, for example, Coinbase Wallet or Opera Touch, and embedded in the browser, for example, MetaMask.

OpenSea home page screen

Step 1. Create a crypto wallet.

To sell your NFTs and access all the platform’s features, you’ll need a crypto wallet. You can use the same MetaMask or any other convenient for you, for example, Fortmatic, Authereum or Dapper, among others.

Step 2. Register on the platform.

To create an account at https://opensea.io , you just need a crypto wallet – you can register on the platform only with its help.

If this is your first sale on OpenSea, you will need to complete several transactions through the crypto wallet to set up your personal profile. The first time, you will also have to spend a little ETH on it. But during subsequent initializations, you will only need to confirm the transaction through the wallet (sign it). And it’s free.

Step 3. Create your collection.

From the top menu bar on the home page, select  Create  and then  My collections  . Upload the logo of the future collection and indicate its name. Optionally, you can also add a description of your collection here. After that, you can add NFT lots directly to it.

Click  Add items  and then  Add new item  . You can now upload the media you want to convert to NFT. It can be any digital object – photo, picture, video, audio, or even a 3D model.

OpenSea allows you to upload files in JPG, PNG, GIF, SVG, MP4, WEBM, MP3, WAV, OGG, GLB, GLTF formats. But the file size must not exceed 100 MB. At this stage, you also need to specify the name of the token. Optionally, you can also add an external object reference and description.

In addition, for the future NFT lot, you can specify different characteristics depending on the type of object (for example, tweet statistics) and hidden content, which will only be visible to the buyer. Then you need to specify the number of copies in which the token is issued – by default, this parameter is set to 1.

After that, the NFT is sent for verification. This process usually takes a couple of days.

Step 4. Decide on the type of lot.

On OpenSea, you can set a price for an object in three ways: using an  open auction  (English auction), a  Dutch auction  (Dutch auction) or a  fixed amount :

  1. In the first case, the user sets the minimum price for the product and expects an increase in bids.
  2. In the second, the seller puts the object up for sale with the maximum price and gradually decreases it until the rate coincides with the one offered by the buyer.
  3. And in the third case, everything happens, as in many traditional trading platforms: the owner of the object indicates a fixed price, and anyone can purchase it at any time for this specific price.

Step 5. Place the lot for sale.

To do this, you need to go to your personal account, select the product you want to sell, and click the Sell button  . After that, a page with product settings will automatically open: there you can select the type of lot, set the price and confirm the operation.

Valuables Platform

Jack Dorsey used the Valuables platform to sell his first tweet. Although, of course, she is far from the only one. How do you start making money from your tweets with Valuables?

To use Valuables, you need to fulfill only two conditions: create a MetaMask crypto wallet and log in to the platform using your Twitter account.

Valuables Welcome Screen

Step 1. Install the MetaMask extension for your browser.

We advise you to download the MetaMask crypto wallet extension from the  project’s official  website . For example, in the Google Chrome extension store, you can find a  lot of MetaMask fakes that can rob you of your earned coins. Please note that the extension only works with Google Chrome, Firefox, Brave and Edge browsers.

MetaMask automatically creates an Ethereum wallet . When installing the extension, be sure to write down the seed phrase that the program will offer and hide it securely. So, if you suddenly lose access to the wallet, you can restore it and regain access to your coins.

MetaMask cryptocurrency application

After installing the MetaMask extension, click on its icon and enter the password. The wallet allows users to exchange ETH and tokens based on the Ethereum blockchain.

Step 2. Log in to the site.

Log in to the Valuables website   and enter your Twitter credentials. And then connect the crypto wallet using the MetaMask extension for your browser.

Step 3. Selling tweets and first bids.

The process of placing a publication for sale is even easier than registering on the site – it happens automatically. Once you are logged into the platform, all tweets from your account are automatically listed for sale. Anyone can offer any price for your tweet, but you don’t have to accept it. Selling a post or not – it all depends on you.

You can check how much and for what tweets users are offering in your profile on Valuables. However, if you are not the founder of Twitter or Tesla, you should not expect hundreds of bets in the first minutes. You will most likely need to get users interested in your tweets first.

Step 4. How to promote your NFT tweets?

Find the most interesting post in your feed, copy the link to it and paste it into the search box on the site’s main page. It will show your «lot», after which you can copy the link to the tweet on Valuables and post it on other sites and in your social networks, for example, on Facebook or Twitter.

By clicking on it, any Valuables user will be taken to a page where they can place a bet. When the value reaches your desired threshold, you can approve the deal – the tokens will automatically be credited to your MetaMask wallet.

Nifty Gateway Platform

Nifty Gateway is now one of the most popular platforms on the NFT market. However, on this platform, digital artwork in the NFT format is not the object of digital purchase and sale, but rather than tweets. Instead of the ubiquitous abbreviation NFT, the platform team uses the name Nifty.

So Nifty Gateway is a marketplace for Nifties. So if you already have a ready-made art object of digital art, or at least a concept of it, then Nifty Gateway is perfect for its implementation and lot sale. How exactly this process works will be discussed further.

Screen of the main page of Nifty Gateway

How do I post my NFT on the Nifty Gateway?

The site collaborates with world famous artists and brands: they create limited collections of multimedia art objects. Moreover, each collection is available only for a limited amount of time, for the period of the so-called  drop . New «paintings» appear on average once every three weeks.

Once sales are complete, they will only be available on the  Marketplace  – a section of the platform that allows users to exchange different Nifty among themselves.

To join the team of creators of art objects and sell your own Nifties during drops, you need  to leave an application by filling out a form on  the Nifty Gateway website . Among other things, you also need to leave links to your social networks and portfolios, describe in detail the idea of ​​the project that you want to bring to life with Nifty Gateway, and attach a video with a story about yourself as an artist. It will take some time to review the application.

After the application is approved, your Nifty will be traded within the drops.

At the same time, any registered user can buy and resell other people’s Nifties. Below we will take a closer look at how to trade on the Nifty Gateway platform.

How do I buy and trade other users’ Nifty?

Step 1. Register on the platform.

The account registration process is standard: you will need to enter your email address and come up with a password.

Step 2. Buy your first Nifty.

There are two ways to purchase a ready-made art object:

  1. During the drop on the  main page  directly from the artists.
  2. In the marketplace section   of other users.

All purchased Nifty will be displayed in your personal account in the Your Nifties section.

Step 3. List the purchased Nifty for sale.

In the appropriate section in your personal account, select the Nifty you want to sell. At the bottom, under the object’s description, find the Put up for sale button, click on it and set the starting price. Ready! You just have to wait until another user is interested in your «picture».

At the same time, NFT purchased on the platform can be withdrawn to an external wallet. The same MetaMask will do. To transfer your objects, you need to select them in your personal account and click Withdraw Nifty. After that, you will need to enter the address of your crypto wallet that supports this type of tokens and confirm the transaction. It may take several minutes for the operation to complete.

Conclusion

Jack Dorsey’s decision to auction the first tweet made even those far from digital trading think about NFT sales. What can we say about crypto enthusiasts: there is a real boom in the NFT market right now.

However, take your time and sell your tweets. Although such earnings seem extremely simple and very attractive, you should not count on millions of dollars. Unless you’re the CEO of Twitter, of course.

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