An Intro Guide to Where and How to Buy NFTs
NFTs, or non-fungible tokens, are gaining in popularity. If you’re new to the conversation, it could be confusing. Here’s where and how to buy NFTs.
NFTs are exploding onto the crypto market. These parts of the crypto market are reaching a total high of $27 billion.
NFTs, or non-fungible tokens, are continuing to grow in popularity. For people who are new to the conversation, this new crypto concept is a little confusing.
Where exactly do you go to buy NFTs and how do you buy NFTs? This short guide will show you how to buy NFTs so you can invest in this new wave of cryptocurrency.
What Is an NFT?
An NFT is an abbreviation for a non-fungible token. But, what is a non-fungible token? Fungible represents a good or an asset that is interchangeable with another good or asset of the same type.
So, it stands for two similar interconnecting goods or assets. A fungible asset, an interchangeable good or asset, is the best kind of asset to use in commerce. The best example of a fungible asset is cash.
A non-fungible asset represents a good or an asset that is not interchangeable. You cannot use other goods or assets to substitute this good or asset.
A token represents a digital certificate that you store on a blockchain. These are certificates that are held in storage similar to a public ledger.
The blockchain allows us to keep track of and keep these tokens secure.
Where to Buy an NFT?
Where is the best place to buy NFTs? There are several open marketplaces available to help secure your NFTs.
One of the largest open marketplaces to find the best NFTs to buy is Sandstorm. Their marketplace contains several images the are linked to different buyers and sellers.
Sandstorm connects NFT buyers and sellers to digital assets they can use in the Sandbox metaverse. Sandstorm helps you collect digital assets for use in the Sandbox gaming world.
You can also attend digital events hosted by the Sandstorm team inside Sandbox. But, to acquire these NFTs and digital assets, you must first create a digital wallet.
When storing cryptocurrency, you use digital wallets. The digital wallet provides proof of ownership of the tokens you possess.
Players can connect their purchases to the Metamask wallet for use in the virtual world of Sandbox. Individuals can communicate their exchanges and transactions via Peer-to-Peer use of these digital wallets.
Custodial Vs. Non-Custodial
Some companies such as Paypal and Venmo are custodial wallets. These are companies that promise to secure your coins if you buy into them. But, as we know in this market, promises aren’t always kept.
So, if you buy from a company in the form of a custodial wallet, you’re risking your funds. This is because the company can fold or the cryptocurrency itself can fail.
Non-custodial wallets are more secure digital wallets. These are personal digital wallets that are verifiable under your passphrase numbers and connection to the blockchain.
A software application, such as Coinbase, can secure your tokens. You build your profile and passphrases while linking your identification.
An example of a hardware wallet is something like the Ledger Nano X. A physical device, similar to a USB, that can access these tokens on different servers. This is a more secure way to buy NFTs.
Metamask is a software application that you install both as a mobile application or extension in your browser. It is recommended that you install this app to the chrome web browser for easy access.
Metamask acts as a digital wallet that provides a key vault with a token wallet and token exchange.
It also allows users to have a more secure login when signing in to the app. The application allows you to import your wallet from another location.
Upon opening the application you can choose between importing or creating a new profile. If you select a new profile, it will prompt you to create a login and a strong password.
It will also ask for a recovery phrase. This is an important note, always write down or keep a secure copy of your backup phrase. It’s wise to keep this phrase offline.
Using Ethereum Cryptocurrency
To complete transactions in the NFT marketplace, you need Ethereum. Ethereum is the main cryptocurrency used to help delineate NFTs. You cannot directly buy NFTs in the marketplace using cash alone.
You can also mine Ethereum using software applications such as Miner Stat and more.
You must import your Ethereum finances into your Metamask wallet. Copy your account address so you can transfer your Ethereum.
Software such as Coinbase and Binance allows you to transfer Ethereum into your Metamask account. When you conduct a withdrawal, input your copied account address into the “Wallet Address” bar.
Then, choose the network and input the amount of Ethereum you want to transfer to the Metamask.
Buying NFTs Using Metamask
Once you open Sandstorm in your browser, log in using the Metamask browser extension. Select “Connect Your Wallet.” The profile will open on your browser and you can edit it to your liking.
In the search bar, you can browse through various collections. These collections hold several types of NFTs.
To buy, click the NFT you wish to purchase and click “Buy Now.” Once you agree to the terms, the purchase will connect to the Metamask wallet.
To facilitate these trades, you must purchase gas fees. The “gas fees” term equates to service fees on your average website.
You can also edit the priority, which changes the speed at which the transaction processes. Since Ethereum is the primary purchase method, the fees are higher than normal.
Once you complete the transaction, you can connect the NFT to your player account. You also have the option to share via Twitter, Facebook, and more!
You are now the proud owner of an NFT!
How To Buy NFTs
Buying NFTs is a profitable method of joining the cryptocurrency community. NFTs are still in their infancy phase so it has great potential to continue rising to the top of the market.
Make sure you get in on this trend early before it becomes an impossibly exclusive market. If you’re an avid collector, learning how to buy NFTs can not only become a new hobby but a profitable one.
Click here for more tips and tricks on how to buy NFTs.