What the hell are NFTs? A $69M Digital artwork!?
Said confused Juan
who's a 3D artist for 5 years
selling his work for only 10 USD per images.
Initially, we define NFT as non-fungible token.
Others may not recognize what NFT is.
Will look in it to know what lies ahead, but before we go down the rabbit hole. Let me introduce to you the technology behind it; Blockchain and ERC- 721.
Nyan Cat by Chris Torres
Augmented Reality NFT by puttstrife
What is a Blockchain?
Blockchain is a system of recording information in a way that makes it difficult or impossible to change, hack, or cheat the system. A blockchain is essentially a digital ledger of transactions that is duplicated and distributed across the entire network of computer systems on the blockchain.
Image by computerworld.com
What is ERC 721?
This is the most popular non-fungible token (NFT) standard. On the first hand, fungible tokens can be divided, while non-fungible tokens cannot. On the other hand, NFTs can be owned and transacted by individuals as well as consigned to third parties. NFTs can represent ownership over digital or physical assets.
So, how does it work?
Non-fungible Tokens has unique property, which it cannot be interchanged with something else. As to differentiate, a fungible like “money” are interchangeable.
NFT assets in the digital world can be bought and sold like any other piece of property, but they have no tangible form of their own. It cannot be interchanged with something else like a house or a painting. You can take a photo of the painting or buy a print but there will only ever be the original painting.
Where can we buy these NFTs?
There’s a lot of platform that exists in the time reading, and more platforms are still under development.
Here’s the Top 5 NFT platforms:
1. Zora
- Website: zora.co
- Description: Zora is a universal media registry protocol.
- Open to Public
- Tokens: ETH, wETH, DAI, USDC, RAC, SOCKS, FAME, UNI, FWB
- Gas prices: Relatively high (each NFT minted contains auction functionality)
- Commission Structure: Creator can set royalties; buyer can choose to add additional % of their secondary sales
- Great for artists who are: Beginners, musicians, or anyone looking to customize auction mechanics Auction Mechanism: No time limit, seller can choose any bidder.
- Curation: None (protocol, so technically people can build their own curation mechanisms)
2. Foundation
- Website: foundation.app
- Description: A marketplace for buying and selling digital items.
- Invite only
- Tokens: ETH
- Commission Structure: 15% of Sale, 10% royalties on secondary market sales in perpetuity (coming soon by the time of writing).
- Gas Prices: Relatively high
- Great for artists who are: Beginners with crypto, but talented/well known enough to attract a crowd
- Perks: Creator sets reserve price. Once the reserve is met, a 24-hour auction countdown is kicked off. Bids placed in last 15 minutes active additional 15-minute time extension. Community curated. Creators and collectors invite new artists into Foundation.
3. Super Rare
- Website: superrare.co
- Description: A peer-to-peer marketplace for NFTs built on Ethereum.
- Invite only
- Tokens: ETH
- Commission Structure: 15% to gallery + 3% to marketplace. Secondary sales, creators receive a 10% commission.
- Great for artists who are: Established Artists
- Perks:Scheduled Auctions, Reserve Auctions, Buy it now, Asynch. Offers Curated through artists, Discover tab.
3. Open Sea
- Website: opensea.io
- Description: A digital marketplace for crypto collectibles and non-fungible tokens
- Open to Public
- Tokens: ETH, wETH, DAI
- Commission Structure: 2.5% Relatively cheap, Lazy minting available
- Great for artists who are: Beginners, minting a collection, or looking to avoid gas fees
- Perks: eBay style auction or buy it now. Incentivized Bounty program
4. Nifty Gateaway
- Website: niftygateway.com
- Description: A marketplace for digital items you can truly own.
- Invite only
- Tokens: ETH
- Commission Structure: Creator can set royalty percentage for secondary sales
5% + 30 cents of every secondary sale
- Gas Prices: Relatively low
- Great for artists who are: Top artists and brands
- Perks: Buy it now price with multiple editions. Verification program for artists
5. Rarible
- Website: rarible.com
- Description: An accessible platform with some unique features like unlockable items
- Open to Public
- Tokens: ETH, wETH, DAI, RARI, ATRI
- Commission Structure: 10% of future sales, Async Auction
- Gas Prices: Relatively cheap
- Great for artists who are: Beginners
- Perks: Artist verification program
Are NFTs worth buying now?
The technology is still new, and tons of projects are still under development. Beeple whose real name is Mike Winkelmann said in an interview from BBC: “I actually do think there will be a bubble, to be quite honest. And I think we could be in that right now”
Therefore, NFT hype surely will fade but the technology has a lot of use cases potential from digital art to tangible assets. NFTs is here to stay as technology adaptation to AR and VR will have a huge impact for years to come.
Hi there. This is my first article since I began to work as a UI/UX designer in many crypto projects from blockchain infrastructures to NFTs. I'll be writing an article to help those unfamiliar to crypto space and help bring decentralize technologies to mainstream.
To help Juan you can save him from spending a huge amount of gas fees here
0xcD9c5a48Bf29DF9fAF9a9bfb14da4e0571F9C94B
Buy an AR NFT at lowest possible price! mintable.app