The popularity of non-fungible tokens (NFTs) has surged recently, and it's not without reason. NFTs allow you, the digital artist, to sell your work and engage with collectors. If you're a digital artist, you might be curious about how to get started with NFTs.
In this article, we'll explore the process of creating, minting, promoting, and monetizing your NFT art. Also, we'll discuss some of the legal and ethical considerations involved in selling NFTs.
What is an NFT?
Think of an NFT as a digital "unlock code" granting access to exclusive digital art or other unique digital items. Just as each rare collectible card in a trading card game is distinct, NFTs are individual tokens that validate your ownership of specific digital assets.
Consider NFTs as virtual museum exhibits, showcasing dynamic and original digital art masterpieces created by talented artists like yourself. Some NFTs have even been sold for astronomical sums, similar to highly prized collectible cards in the trading card market.
In essence, NFTs serve as certificates of authenticity and rarity for digital assets like art, music, videos, and rare virtual collectibles. You can buy, sell, and trade them just like physical assets, but their presence is forever anchored in the digital realm, forming a digital vault of extraordinary and exclusive collectibles.
The Technical Process of Creating and Minting NFTs
To create NFTs, you must choose a suitable marketplace such as OpenSea, Rarible, or SuperRare. Additionally, you'll need a digital wallet (e.g., MetaMask or Coinbase Wallet) to store your NFTs and conduct transactions on the blockchain.
Minting an NFT involves converting digital data into a distinctive crypto asset recorded on the blockchain. Once minted, your digital products or files become securely stored in a distributed ledger, immune to editing, modification, or deletion.
How to Mint on OpenSea
If you opt for OpenSea, here's a guide to minting your NFTs:
Purchase Ethereum (ETH): Get Ethereum, one of the most widely used cryptocurrencies, from exchange platforms like Coinbase or crypto.com.
Set Up a Crypto Wallet: Create a crypto wallet, preferably MetaMask, and connect it to OpenSea. This wallet will enable you to sell and acquire NFTs on OpenSea and store Ethereum-based tokens.
Link Your Wallet to OpenSea: Connect your newly created wallet to OpenSea by following a few simple steps:
Open the MetaMask plugin in your browser and enter your password to unlock it.
Navigate to OpenSea, the leading NFT marketplace, and select "Profile" within the same browser.
Accept the terms and conditions and provide your email address and username for verification.
Click the verification link sent to your email.
How to Create Your First NFT on OpenSea
With your wallet set up and linked to OpenSea, it's time to create your first NFT through a process known as "pre-minting."
Start by making a collection where you can customize colors, forms, and other aspects of your NFTs to add a personal touch. Follow these steps:
Choose "My Collections" from your OpenSea profile.
Select "Create" to create a new collection.
Treat this collection as your digital art portfolio, adding graphics, memes, or captivating kitten pics.
Open the created collection and choose "Add New Item" from the drop-down menu.
Provide a name for the NFT, upload it, and fill in the item's attributes, levels, and other relevant information. Then, select "Create."
Effective Strategies for Promoting and Marketing NFT Art
Effectively promoting your NFTs is crucial for success. To build a strong following and generate buzz around your work:
Build an NFT Community: Engage with your existing audience on social media platforms and forums like Reddit and Discord. Foster a sense of community around your NFTs to cultivate a loyal following.
Improve Branding: Stand out in the competitive NFT market by developing a strong brand identity and visual style. Consider working with a designer to create a logo and color scheme that aligns with your NFTs' theme and style.
Use Social Media Promotion and Hashtags: Leverage social media platforms like Instagram and Twitter to share captivating images and videos showcasing your NFTs' unique features. Employ relevant hashtags to increase visibility and engage with your followers to build lasting relationships.
Build an Effective Ad Campaign: Paid advertising through platforms like Google Ads, Facebook Ads, and Twitter Ads can effectively reach potential buyers and boost sales. Regularly test and optimize your campaigns for maximum results.
Use Blockchain Advertising Networks: Collaborate with blockchain advertising networks such as the AdEx Network and Brave Browser to target NFT enthusiasts and crypto investors. These platforms ensure ad impressions are verified, offering transparency and security.
List Your NFT on Leading NFT Marketplaces: Reach a broader audience of NFT enthusiasts and investors by listing your NFTs on top marketplaces like OpenSea, Nifty Gateway, and SuperRare. These platforms offer various features, including auctions and fixed-price sales, to enhance your exposure.
Building a Sustainable Income Stream Through NFT Sales and Royalties
NFT royalties allow you, the content creator, to earn passive income from your original work. With royalty percentages set during the minting and listing process, you receive a portion of the revenue from secondary sales, typically ranging from 5% to 10%.
This system ensures that you receive 100% of the proceeds from the initial sale of your work, with royalties kicking in from subsequent sales. Notably, royalties do not fluctuate with market movements, which can influence the sale price of the NFT.
The growing popularity of NFTs has raised various legal questions related to their production, distribution, ownership, and trading. While some issues remain unresolved, you need to be aware of the following common legal concerns:
Copyright Issues: Ownership and rights surrounding NFTs can be complex. Buyers of NFTs do not necessarily gain copyright protection for the digital artwork, similar to purchasing a painting where you acquire the art but not the rights to reproduce or modify it. Thorough due diligence ensures that the seller is the original author and has the right to sell the digital work.
Smart Contracts: NFT sales are governed by smart contracts, which encode the deal's conditions and execute automatically when specific criteria are met. While this automation may reduce legal conflicts, the legality of smart contracts is yet to be fully explored, with limited case law, legislation, or regulation.
Money Laundering: The significant sums spent in the NFT market and using cryptocurrencies have raised questions about potential money laundering concerns. As regulations evolve worldwide, collectors must ensure compliance with anti-money laundering laws.
Tax Issues: The tax treatment of NFT sales varies across countries, and the guidelines sometimes need to be clarified. Seek professional advice to navigate the tax implications of NFT transactions in your region.
The world of NFT art holds tremendous potential for you, the digital artist, to thrive and connect with a global audience. Understanding the technical process, employing effective marketing strategies, and staying informed about the legal landscape is essential for success in this dynamic and exciting market.
Are you ready to embark on your NFT journey? Register with Blaze and begin today! Blaze can help you automate outreach to potential buyers, collectors, and investors. Generate and schedule content for your NFT projects, and track the performance of your NFT projects.