The debate about NFT has recently intensified, and several musicians, like Jay Chou, Yu Wenle, Chen zero nine, etc., have started their own NFTs.
Is NFT truly so profitable when so many individuals are purchasing at low prices and selling at high prices? What NFT is will be clear to you after reading this essay. also some common language!
What is NFT?
Non-Fungible Tokens is the full name of NFT, which is sometimes translated from Chinese as “non-homogeneous tokens.” NFT is a record in the blockchain, a decentralized digital ledger system akin to cryptocurrencies like Bitcoin, to put it simply.
NFT can be used to symbolize something special, such as an original Mona Lisa painting in a museum or ownership of a piece of land, because it employs blockchain technology and is irreplaceable.
NFT is really unique?
Any Internet work can receive a unique code from NFT. If someone plagiarizes your work and claims to be the original, we will be able to determine who is the original with the use of this code; if the work lacks a corresponding NFT, he is a pirate.
It is advised to start through the official website or a significant trading platform like OpenSea because there are several fraud cases and many people who will copy NFT and place the goods on the shelves twice, a practice known as “imitation disk.”
The difference between NFT and cryptocurrency
The opposite of NFT, which stands for Non-Fungible Tokens, is the homogenous Fungible Token (FT).
FT is a single token that may be traded, divided, and combined at will. When split into 0.1 tokens, which is a homogenized token, a bitcoin in your hand and a bitcoin in my hand are, for instance, nearly similar and have no discernible differences.
Because each NFT has a unique form, such as images, audio, videos, etc., NFTs are non-homogeneous tokens. They cannot be separated or exchanged for one another.
| Fungible Token | BTC、ETH | Just like the concept of money, there is no difference between my 100 dollars and your 100 dollars. |
| Non-Fungible Tokens | NFT | Similar to the concept of artworks, there is only one source of “Mona Lisa” and all others are reproductions. |
Why Jay Chou NFT is so popular
NFTs have increased in value and collectability because to their individuality, ability to be tracked back to their source, and transparent and open transaction records.
To encourage people to purchase their work, several artists even employ gimmicks like “limited edition” and the opportunity to win concealed NFTs.
The one that best exemplifies this is Jay Chou’s NFT “Phanta Bear,” which, less than 24 hours after its debut, surpassed all other trade volumes on OpenSea.
Because Phanta Bear is both an NFT avatar and a ticket to join Ezek and take part in a variety of metaverse activities, its sales have been absolutely insane!
What are the types of NFT?
Many digital artists have benefited from the rise of NFT, and anything that can be stored digitally on the blockchain can be an NFT product.
- Pictures, Paintings
- Videos
- Music
- Games
- Player cards
- Virtual Footage
- Gif and 3D animation
10 common terms for NFTs
Meta Mask
Before you can trade on the NFT platform, you must first have a decentralized wallet and place cryptocurrency into it. Nowadays, Fox Wallet is used by the majority of coin enthusiasts.
Blockchain
A “ledger” is created after a miner has finished recording all of their transactions, and each block, which is made up of several accounts connected by cryptography, is called a “block”.
Chain
There are currently two primary public chains: Ether and Coinan Smart Chain, on which NFT will be issued.
Mint
You can obtain a first-hand NFT that has not been in any way transferred by casting an NFT from a smart contract, which is how an NFT was first created on the blockchain.
Gas Fee
The people who are willing to donate their computers to assist in the calculations required to create NFTs on the blockchain are known as “miners.”
The blockchain offers these miners incentives in the form of “miners’ fees,” and the buyer of Mint NFTs covers the Gas Fee.
Whitelist
Because NFTs are given priority by the bidder who is willing to pay the highest Gas Fee, but most NFTs are scarce and can turn into a chaotic situation where miner fees soar.
Thus, the project will establish some guidelines, and after the buyer completes these activities, a “white list” will be provided.
Additionally, this white list is the project side that allows you to reserve quota; in other words, if you obtain the white list, you will undoubtedly be able to mint NFT.
Airdrop
Simply put, obtaining NFT is free. Projects typically include an airdrop mission that must be completed in order to obtain NFT.
Floor Price
When NFT is not yet cast, this is its lowest price; the greater the floor price, the more valuable NFT is.
Bid
The vendor establishes the time and reserve price for interested customers to bid on after NFT hits the shelves.
Delist
The NFT deal is closed by the seller, who has no plans to resell the NFT that was previously in stock.
How to buy NFT?
To begin with, you must first have a decentralized wallet. Fox Wallet is the preferred method of buying NFT in the coin world, according to Jayz.
Search the NFT platform for the NFT you want to purchase (OpenSea, Binance NFT).
Remember to pay a little bit more than the selling price when depositing the coins because the platform will charge handling costs. Deposit the cryptocurrency matching to the NFT you wish to purchase.
Is NFT suitable for investment?
The hazards of investing in NFT are similar to those of investing in artwork, such as famous paintings and bones.
Although the cost of priceless artworks may increase by twofold or even more, there are also many works that remain unsold.
As a result, it’s crucial to complete your research and develop your concept. Beginners are suggested to start with the well-known NBA player, Phanta Bear, Boring Ape, or Virtual Land cards.
NFTFAQ
Conclusion
NFT is a pretty young market, therefore it’s best to start with what you like or what you can afford if you want to enter it.
At least we are just making our money how we want it to be if we do have the unfortunate experience of running into a market bubble.
It is advised that you thoroughly research NFT and release your own NFT items if you are a digital product maker because they might provide unforeseen money for you.
Author Profile – Jayz
Graduated from the Institute of Finance and Economics, because he has loved basketball since he was a child, and is deeply influenced by the idol Kobe’s belief in never giving up and pursuing perfection, he has a dual identity after graduation. He is currently working as a media worker and a virtual currency lecturer. With my professionalism and passion for cryptocurrencies, I hope more people can get a small fortune from it. Likes to read all kinds of sports news and is also very interested in cryptocurrencies.
