Keeping up with the latest trends can often be difficult, especially in the fast-paced world of high technology. Sure, there is always something new coming on the market every week, but sometimes it’s hard to decide whether it’s worth spending time researching another fad or not.
A few months ago, this concept suddenly started trending and has exploded in popularity ever since.
What are non-fungible tokens?
As the name suggests, non-fungible tokens (NFTs) are unique, just like non-fungible goods. If you lose your special edition Star Wars collectible card, there is no way to replace it with another one. If you lose 10 Ethereum on an exchange, there is always the option to buy back at least a little bit of your investment.
An Ethereum smart contract stores ownership details of whatever it represents and will automatically transfer ownership to the delegate’s
Claiming NFTs are scams would be like claiming that Bitcoin isn’t money, Ethereum isn’t smart property or Bitcoin mining is a waste of electricity. Like all new technology, there will be supporting and opposing views.
NFTs are not yet a registered class of securities and therefore have no underlying value. This means that they will have no intrinsic value (except for the value people assign them through use).
NFTs are a blockchain-based digital asset class, so why do people claim they are scams?
Now that you know what NFTs are, let’s see how people make money with them. It’s no wonder NFTs have become so popular lately, provided you learn how to invest correctly in them. How do people make money with NFTs?
(Image Source: Influencer Marketing Hub)
People can make money with NFTs dead in the same way they make money with any other kind of digital asset. They can buy and sell them, wait for the tokens to appreciate in value, or spend them on different kinds of games and entertainment. People who use them for games will obviously expect to get a lot of “gameplay” from their tokens. In fact, you might end up spending more on games if your only purchasing power is in NFTs.
Perhaps the best way to make money with NFTs is to invest in them as you would any other public asset.
Unlike regular cryptocurrencies (like Ethereum or Bitcoin), NFTs and non-fungible goods are alike in that they cannot be replaced by another unit of the same token or good. If you lose your NFT, there is no way to replace it with another one—well, not without making an exact replica, which is hard.
