NFTs 101: How to get started and earn NFTs as a Nigerian
Imagine selling digital arts for a large sum of money and getting paid even as a Nigerian. Well, that opportunity is possible with non-fungible tokens (NFTs). Earlier this year, the news of a young Nigerian photographer and Youth corp member, Adisa Olashile, hit the internet after he sold a senior’s picture as an NFT for over N1m.
These non-fungible tokens go for thousands and millions of dollars, and anyone can earn massively from them. This is seen in its sales records after it hit over $29 billion in sales from June 2021 to June 2022. NFTs have become one of the most trending topics in the world of cryptocurrency as celebrities, politicians, big companies, and many individuals are taking advantage of this innovation.
Creators and sellers of these digital artworks are cashing out big, and the concept will keep getting more profitable. However, if you’re wondering what these tokens are about and how you can start making money from them. Then you’re right because this article answers all those questions.
Now, let’s dive in and see what all the fuss is about!
What is an NFT or non-fungible token?
NFTs (non-fungible tokens) are digital assets that represent real-life objects like music, virtual land, in-game collectibles, videos, photographs, and other creative products. These digital assets are built on Blockchain technology, making them unique and distinguishable from one another. Their uniqueness and limited amount make them scarce and also valuable. Unlike physical currencies and cryptocurrencies that are fungible – these digital assets are non-fungible.
Fungible items – like Naira bills, Bitcoin and Ethereum can be exchanged with one another because their valuation isn’t tied to their uniqueness. This is why you exchange N1,000 for another N1,000, and the value will still be the same even though the new one has a different serial number.
Non-fungible items – can not be exchanged or traded with another, which is why each NFT is unique and isn’t worth the same amount as other similar tokens.
Although NFTs have been around since 2013 and 2014, the concept became famous in 2021, disrupting the art industry. Since then, NFTs have become very popular as everyone wants to create, own or sell an NFT. But why are people now interested in buying or selling these digital assets for large sums of money – when they can just view the images or even take a screenshot for free?
Every NFT allows the buyer to own the original art and has built-in authentication. This unique authentication is proof of ownership and buyers' value, such as “digital bragging rights.”
What are NFTs used for?
The emergence of non-fungible tokens (NFTs) has brought about digital collectibles and crypto artworks, but these tokens can also be used for other things. Apart from representing physical objects in the form of digital arts – NFTs can be used in real estate to verify the identity and authenticity of goods and services. Its development is still young and promises to explore other aspects of the digital world. That said, let’s look at some of the uses of NFTs.
NFTs can be used in the real estate sector – with non-fungible tokens (NFTs), transactions in the real estate market are simplified and faster. This concept will enable you to find out when the property was constructed, what modifications were done, its owners, and lots more with just a few taps. NFTs can also provide proof of ownership, track changes in your property value, and even transfer land deeds.
In April 2021, Shane Dulgeroff – a real estate agent in California, created an NFT for a property in the city. The NFT and ownership of the house were to be given to anyone who won the auction.
These tokens are used as items in some games. The gaming industry can be regarded as the most popular name in the NFT ecosystem. It allows game developers to create another income stream for gamers as they are rewarded with NFTs while playing. The NFTs stored on a Blockchain can be transferred to another player if the owner wants to sell them.
NFTs can also be used to represent academic certificates and credentials. With the evolution of technology, paper certificates are gradually becoming a thing of the past. Most courses now have digital certificates, and NFTs can also be used to represent them. The built-in Blockchain technology in these tokens makes it easy to record academic grades and achievements. NFTs can also provide proof of attendance, scores, and other student details, which can’t be altered by anyone else apart from the owner.
Benefits of owning an NFT
Non-fungible tokens are, without a doubt, the future of the art industry. Even though it has changed the life of a lot of people, many are still confused about how it will benefit them. People from this world are always skeptical about topics like NFTs, cryptocurrency, and blockchain. So what are some of the benefits of owning NFTs as a Nigerian?
1. Form of investment
With the story of the young photographer and Youth corp member, you can create another income stream through NFTs. All you have to do is to learn how to make them and place your NFTs for sale in any NFT marketplace. However, it’s advisable to research the concept before going into it.
2. Copyright and ownership of assets
NFT’s allow artists and creators to keep full copyright ownership of their artworks or assets. This helps to prevent piracy and will enable you to continue making money without giving up your copyrights. These digital assets are sometimes worth millions of dollars, and losing their ownership rights will be a disaster for the owner or creator.
3. Tickets to Real World Events
Owning some NFTs can give you access to attend some real-life events. However, this will only be possible if the creators or organizers create the NFTs as tickets. For instance, NFTs some NFTs created by Bored Ape Yacht Clubs will give you access to their yearly event in New York City called Ape Fest.
How to create, buy and sell NFTs as a Nigerian
Making money from non-fungible tokens (NFTs) is easier than most people think. The process is not costly, technical, or complex. Even though you know nothing about crypto or coding – anyone can make money through NFTs. You only need to understand how to create, buy or sell them!
How to create an NFT
Know what you want to create This could include pictures, music, videos, 3D illustrations, tweets, or creative stuff. The goal is to create digital media that can be sold to others, so feel free to show your creativity. Some NFT marketplaces have features that can assist you even if you are not a talented designer or artist.
Select a Blockchain NFT blockchains store a permanent record of your NFT, with several blockchains to choose from. However, the most popular non-fungible token blockchain is Ethereum because it hosts a lot of NFT collections. Solana blockchain is another NFT blockchain you can use to host your art.
Set up an NFT wallet After selecting a Blockchain for your NFT, you’ll need to create a digital wallet that supports the blockchain. All you have to do here is to download a crypto wallet app like Metamask or Coinbase and then follow the prompts to set it up.
Choose a platform to mint or create your NFT on There are a lot of NFT platforms to choose from, but Nigerians can use OpenSea or Rarible. These platforms or marketplaces are where you’ll create your NFT and place them for sale. Although the two platforms mentioned above are easy to use – OpenSea allows you to create NFTs without making another payment after the initial one.
Create the NFT This is the final step involved in creating your NFT, and it’s a straightforward process. Here’s an example of how to create your first NFT with OpenSea;
- Connect your wallet
- Select the “Create” option
- Upload your media file
- Fill in the details
- Select your blockchain
- Select “Create”
How to buy an NFT
- Get a wallet for your NFT
- Fund the wallet with Ethereum
- Open an account with any NFT marketplace of your choice
- Link your wallet to the marketplace
- Select and purchase any NFT you want
How to sell an NFT
- Create your NFT – use the steps above
- Upload your NFT to the marketplace
- Choose how you want to sell them – include price and payment mode
- Pay the listing fee
The Bottom Line
The NFT market has gotten a lot of trends and looks likely to continue that way. However, going into the industry should be on a personal note. If you have extra cash or feel that art is valuable to you – then it’s worth considering.
Note that using these tokens as investments doesn’t guarantee profitable returns. Therefore, always research, understand the risk, and make your decisions.