If you are new to NFTs, you may be shocked at how such a piece of art can be so pricey. You might have a question, is it too late to get into NFTs?
It is not too late to get into NFTs, the blockchain technology is evolving day by day. The NFTs will take at least a decade to be adopted and accepted as normal. Most non-technical people are still unaware of NFT technology. So, it is the right time to get into NFTs.
In this post, I will answer this question in complete detail and provide you with solid reasons why it is not too late to get into NFTs. Let’s get started.
What makes NFTs still in the early stages?
NFTs gained popularity in 2021 and have been around since 2017. We can compare NFTs with social media. Social media took 23 years to get adopted and there was no influencer marketing. Now everyone has access to social media, the internet, and influencer marketing exists as well. So, we can estimate the duration of NFT’s full implementation. It will take approximately one decade.
You can simply compare NFTs to other technology-based platforms like Facebook, Instagram, and Spotify. Facebook was founded in 2004, but it took almost a decade for it to be widely adopted. Now let me tell you the history of NFT technology.
The complete history of NFTs:
NFT was introduced in 2014, when it was known only by a small group of developers and investors.
The first NFT was also released back in 2014. In the six years between 2014 and 2020, a number of key developments occurred that contributed to the boom of 2021.
The first ever NFT named rare pepes sold on a bitcoin-based blockchain counterparty. It was also the first crypto-based art marketplace in the NFTs space also ended up there. In 2020, Ethereum finally created a way for pepe holders to wrap their NFTs in the ERC-721 token, so they can sell them with an Ethereum wallet. This is the main reason why rare pepe are not so famous.
In 2017, larva labs launched their first NFT collection, cryptopunks. The team encountered technical difficulties, so the collection was given away for free. But the holders sold these punk NFTs for thousands to millions of dollars.
So the moral of this story is, that all this happened in the span of six years from 2014 to 2020 when nobody knew about the NFTs. It is just a two-year-old story.
In 2021, the real revolution occurred when NFTs became popular to everyone. It all happened when Beeple sold his NFT art “Everydays” for $69 million and this news spread like fire into a jungle. This sale made this artist the third most valuable living artist.
With this news, every artist started jumping into the NFTs and hundreds of collections were released each day. Most of them get sold, but these days this is not how it works. Due to high supply, some of them did not get sold and this is the reason you are reading this article.
By watching the abundance of NFTs, audience members got educated and began asking creators about the use of digital art. The audience was thinking beyond the arts.
After the success of PFP NFTs like cryptopunks and bored apes in 2021, creators started creating illustrations of every animal they have seen. Those collections were also not performed like apes due to utility and demand. Because most of the collections were created during the hype phase of 2021, they failed badly. NFTs worth $40 billion are being traded in just 2021, with experts estimating that volume will rise to $80 billion by 2025.
2021 will always be remembered as the most important year in the history of NFTs technology. This all happened just one year before so NFTs are still in their infancy.
Is it still a good time to be involved in NFTs?
Get into NFTs if you’re interested in NFTs technology and are looking for something really valuable. If you get involved as a long-term investor, it will be your investment. If you want to become a short-term trader, it will be your source of income. The key point is learning. Learning is compulsory in NFTs. If you think you can do it without education you are wrong. It requires a lot of knowledge and experience. Here are some reasons why it’s still too early.
We live in a digital world:
Things evaluate with time. Things that were valuable in the 80s are not as valuable today. Because of the theory of evaluation. Humans have progressed day by day. When we think back 20 years, do you consider the number of social media followers and blue ticks?
Human nature is to express what they have in life, which is why they post every financial achievement on social media. So they can gain more followers and show off their lifestyle. People share their expensive clothes and branded cars on social media. As PFP (Profile-picture NFTs) projects were launched like bored apes in 2021, people purchased the project for thousands of dollars and used it as their profile picture on Twitter. The primary purpose behind making this purchase was just to show off their expensive NFTs.
NFTs are now more than just show-offs; their utilities are now more concerned.
The increasing relevance of brands:
When we buy something, the first thing we think about is the brand. No matter what you buy, people always love and trust certain brands. In the case where a brand launches NFTs, its audience will definitely support it and buy their NFTs. In the same way, Starbucks and Nike launched their NFTs and their audience bought all of them. So it’s just the beginning. This is not adopted by all brands so it’s quite early.
Transparency is brought to society by NFTs:
NFTs brought something new to us that was never here before, transparency. Every transaction and ownership of an NFT is not hidden from anyone. All information is publicly available on the blockchain. So you can easily verify the ownership and the transactions of an NFT. Nobody can claim someone else’s NFTs. For example, people used to take pictures with other’s cars and claim on social media that it’s their cars.
This transparency feature will also be used at the industrial level.
Industry-wide impact of smart contracts:
NFTs are based on blockchain and smart contracts. A smart contract is nothing but a simple digital contract with some conditions. Smart contracts only perform actions when all conditions are fulfilled.
Smart contracts are not fully explored by industries yet. Once they are explored, we will enter a new era of technology.
We already moved to QR codes instead of using printed papers. So the next step can be predicted, and it is most likely NFTs.
But it will take 10 years for experiments and full implementation. This also proves that it is still too early.
There is still some work to do on creator royalties:
Royalties were never common in our society but NFT’s smart contract made it possible. Now, artists can receive payment for every secondary sale of their NFT. In fact, they can earn royalties after 10 years of selling their NFTs. This is all possible because of smart contracts in NFTs. When someone buys an NFT on a secondary sale, the artist’s royalty fee is automatically transferred to their wallet.
These royalties are not currently implemented in our daily lives. This feature can be used by brands and also in the industry at large.
Awaiting derivative asset debut in NFTs:
We are still waiting for derivative asset creation in NFTs. The creation of derivative assets is a collaboration between a brand and an artist. Let’s suppose, Netflix and a well-known artist make collaboration and the artist starts creating NFTs for extra perks in membership that will expire in 1 year. Members of Netflix can purchase that NFT and benefit from additional benefits for 1 year. They can also sell those NFTs to others before and after the expiration. Because this NFT was still created by a famous creator. The brand and artist will continue to earn royalties on every sale of their NFTs.
Is it too late to get into NFTs and make money with them?
As I have mentioned, it’s not too late to get into NFTs, it’s still early. You can still make money with NFTs. You can join as an investor, trader, creator, and developer. You can create NFTs and develop smart contracts if you are an artist or a developer. Or you can be a long-term or short-term trader as well. There are many options available in this field, it all depends on you.
NFTs are still in the early stages, and there are still many opportunities ahead.
You can make the investment in NFTs:
You can make money by investing in NFTs. In NFTs, there are two types of major investments.
Long-term investing: Long-term investing is a safer model than short-term investing. In this model, you buy an NFT, hold it for a prolonged period and sell it at the right time at the right price.
Short-term investing: In short-term investing you trade NFTs on a daily or weekly basis. It requires a lot of work, research, and experience.
You can learn any of them according to your choice. I have listed some key points to consider before you get into any type of NFTs investing.
- Learn first: The importance of education cannot be overstated in any field of life. A lack of education can make everything dangerous. I strongly suggest you learn how blockchain and web3 work before investing in any NFT project. I have also written a complete guide on “What is Blockchain Technology and How does it Work?” that you can read.
- Consider your interest: There are many types of NFTs like arts, real estate, utilities, PFPs, and generative arts. Do not forget to consider your interest before you start investing. There is a good chance that you will become bored if you do not consider your interest in NFTs.
- Do your research: Research is mandatory in NFTs. Do not blindly trust brands and influencers. Take some time to research deeply what you are interested in. It will help you to avoid scams and enhance your experience.
- Invest only what you can afford to lose: This is the major point to keep in mind while you are investing in NFTs. Do not invest your savings. Invest only what you can afford to lose. The NFTs are in their infancy and the market is very volatile, so spend wisely.
Take note of all the above important points before diving into NFTs.
Start as an NFTs creator:
If you are an artist, you can easily start your NFTs journey as an NFTs creator. There are many marketplaces that allow you to mint your NFTs free of cost. Yes, without any gas fee.
To start as an NFTs creator you have to build your community and have to stay active on social media. By building an audience, you can sell your NFTs to them. It requires a lot of hard work, consistency, and patience. If you are not willing to do this, you can still join as an investor.
You can get into NFTs as a blockchain developer:
You are interested in learning new technologies and you are a coding geek. You can join the NFTs space as a blockchain or smart developer. If you don’t know about coding and blockchain, you can learn these from any online platform like Youtube or Udemy.
Once you learned, you can start selling your development services to brands and creators. I assure you that it’s a high-paying job and there are many opportunities ahead. Because NFTs are still a young technology.
Providing consulting services to NFT brands:
As NFTs are in their infancy, there are a lot of brands that want to utilize this technology but do not know much about it. As soon as you join NFTs and learn how this technology actually works, you can offer consulting services to brands who are looking for consultants.
You can charge them and provide free advice as well. But this all depends on your learning.
Providing digital marketing services to NFT brands:
NFTs brands are always looking for promotions and promoters, and NFTs are all about marketing. Digital marketing is the only way to build a strong community around the globe. NFT brands are defined by the size and support of their communities. So, this is how this circle works.
If you join the NFT space as a digital marketer, discover how you can promote NFT brands and bring them results. Believe me, you will be always in demand. Learn the skill first and grab the clients. It’s not too late to get into NFTs.
Here are some tips to help you to get started with NFTs:
Once you decide to join NFTs, there are chances that you will get a lot of questions and confusion in your head. No matter if you join as an investor, collector, creator, or developer. Here are a few tips to help you get started in the field of NFTs.
Do your research:
As I have mentioned above, research is mandatory, especially in NFTs. Start with research and note your questions. To stay updated, visit educational websites, subscribe to YouTube channels, and follow NFTs enthusiasts.
Join NFTs communities:
Join NFT communities on discord servers and twitter. Follow other NFTs enthusiasts and build your network. Your network is your net worth. Stay active in the communities.
Ask questions to others:
As you noted questions during the research. Ask your questions in the NFTs communities on Discord and Twitter. Get your head clear so you can move forward with the right concepts.
Practice what you have learned about NFTs:
Once you have clarified your concepts and questions, you can begin practicing. Get your hands dirty. Without practical, education is nothing. There is a high chance you will forget what you have learned. Output is compulsory.
Keep an open mind and keep learning:
No matter how much you have learned, do not close your mind to new information. Keep learning and evolving, as NFTs are just getting started and the technology will continue to evolve. Do not stop, just keep going forward.
Conclusion – Is it too late to get into NFTs :
I began this post with a history of NFTs, discussed the current state, and discussed how you can join the NFTs. The motive of this complete post is to answer your questions about whether is it too late to get into NFTs. The moral of the story is it is not too late to join NFTs. This technology is just beginning and is here to stay forever like social media. I have tried to discuss every point in detail. If you have any questions or suggestions, please do not hesitate to ask.