I am convinced that we all have to stay curious and that everyone in the “digital industry” has to deal with new technologies. Thus, there is no way around the topic of “NFT” and “Decentralized Web“.
Only if you understand new technologies, you can see if they can develop potential for your own business at some point.
I believe that “Web 3.0” will become important for everyone in the long run. Just like in 2010, when hardly anyone believed that “mobile” would become big …
I have this constant inner restlessness to deal with new things. This has the advantage that you do not have to start completely from scratch 😊.
So here’s a very simple guide on how you approach the topic of “NFT”.
What are NFT — Non Fungible Tokens?
Here’s the simplified short version:
NFT are digital assets (images, videos, sound, tweets, domains, etc.) whose ownership rights are registered in a decentralized register. The owner is always verifiable and the entries are tamper-proof.
Thus, digital assets can be traded like “real assets” — without “third parties” that “interpose” themselves like banks or intermediaries (Facebook, Google, Amazon, etc.).
How do you get your first NFT?
1. You need an account on a Crytpo exchange. The best way is to open an account at Coinbase (Kraken or Trade Republic also work of course). On Coinbase you can buy cryptocurrencies. With a credit card (for a fee, but immediately available) or you deposit the money by bank transfer (no fees, but it takes about 24 hours). Coinbase is listed on Nasdaq and accordingly monitored and regulated. Nothing happens to your money — I use them since 2017.
2. On Coinbase (or another exchange) you buy Ethereum for 100 euros (it should not be less, more is always possible). 1 ETH are currently worth about 3100 USD. This is enough for about 0.03 ETH. They are then “stored” in your wallet at Coinbase (technically they “lie” in the blockchain, Coinbase only makes them easily accessible, but that should not matter at this point).
3. You need a wallet where you can “store” your NFT later. There you take Metamask, which is the “defacto standard” for NFT wallets. This is a Chrome Extension. You set it up for yourself.
4. Since Metamask only makes your assets accessible in the blockchain, there is no one you can ask if you lose your credentials. So you’ll need to keep the 12 words you’re shown when you set up the Metamask wallet safe. Preferably analog, in a safe place. Not on your computer or phone! You will need these 12 words if you need to set up the account again later (or install Metamask on your phone)!
5. Once you have the Metamask wallet, you are ready to buy NFT — now all you need to do is transfer your Ethereum to your Metamask wallet.
6. Your wallet at Coinbase and your wallet at Metamask each have their own Ethereum address. They start with 0x and are 42 numbers and letters long — each individual and unique. Now you send your Ethereum from your Coinbase Ethereum address to your Metamask Ethereum address.
7. This takes a few minutes and you have to pay “gas fees” for the transaction. This should be a few dollars at most (unfortunately, these costs vary, depending on how busy the network is).
8. Once the Ethereum arrives in your Metamask wallet you can buy NFT.
9. Where can you buy them? The biggest trading platform for NFT is Opensea (you can check out Superrare etc later).
10. You create an account at Opensea (top right “Create”) by connecting Opensea with your Metamask Wallet in Chrome. Opensea will ask you accordingly and guide you through it. Once you have connected your wallet with Opensea, you have an account with Opensea. You can customize it if you want (name, bio, links, etc.).
11. Now you can start, the steps are only necessary once (unless you want to “buy” new Ethereum).
12. Which NFT do you buy now? First, one that costs as little as possible. There are many exciting projects, but unfortunately also many that are not very interesting.
13. Under “Stats” you can see the most traded NFT projects on Opensea. This is a good indicator.
14. For 100,- Euro there are rather new projects, which are not yet so big or little noticed NFT. But that’s not the point in the first step (yet). Just listen to your personal taste.
15. You can buy a NFT “immediately”, if it is offered for immediate purchase. But for some you have to bid, the highest bidder wins. One knows from Ebay.
16. So first make sure that you take the one that you can buy immediately and are in your price range. Take one that you like.
17. It is first important to deal with it and try it out.
If you’ve made it this far, you’re one of about 350,000 wallet holders worldwide — so definitely still a first mover! The learning effect alone is worth many times the 100,- Euro you have invested!
More about which projects are exciting and are currently being developed soon. And who needs a 1:1 coaching, you can book me 😏.
Feel free to ask questions in the comments or to firstname.lastname@example.org
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