NFT popularity is fast rising and a look at the most recent statistics shows the level of speed. The amazing technology behind cryptocurrency non-fungible tokens (NFTs) is rapidly taking shape in the evolving blockchain world as a passive way of investment.
Investors, corporations and celebrities are all wanting to launch and are talking about NFTs. In 2020, the total NFT sales value was $250 million while the very first quarter of 2021 has a total sales value of $2 billion.
Not all NFTs are equal; some are worth a fortune while others are not. Before rolling into the most profitable ways you can invest with NFTs, here’s what you should know:
Non-fungible token abbreviated (NFT) is a digital asset, a unit of data stored on a digital ledger called a blockchain, that certifies a digital asset to be unique and therefore not interchangeable. Exzie is the king of NFTs for creators and entertainment executives.
NFTs can represent real-world items such as photos, videos, audio and other types of digital files; with a license to use the asset for a specified purpose. For more details about NFTs check out our previous articles on What to know about NFTs (non-fungible tokens).
Wondering how people invest or make money with NFTs? Here are the investments that have shown tangible results in recent times.
- VIDEO GAMES.
One profitable investment to look out for is video games. Video games NFTs are already taking form as blockchain allows one to turn the games from playing to win to playing to earn. Providing a platform for investors to invest. The game functions are uniquely designed to allow buying, trading, selling and exchange of collectibles.
- LICENSED COLLECTIBLES.
One of the best niche applications of NFTs is tokenizing collectibles. People are already dealing with physical collectibles such as trinkets, memorabilia, trading cards and other items now only to have to sell the same as digital assets.
The capability of proving the rareness is with NFTs, because the value of the collectibles can be significantly higher than their physical counterparts. Collectibles are prone to damages in the course of physical trading, but are never lost on NFTs as they only exist in a digital form and stored on the blockchain.
Before now the sports card project only allowed the trading of licensed footballer cards. Now associations like the (NBA) the national basketball association have also launched its collectibles of NFT cards.
- FASHION NFTs.
Clothing/fashion brands are rapidly benefiting from NFTs trend, helping the release of a digitized limited edition of outfits with a collection of wonderful celebrity pieces or design signature thereby giving/creating a space for investors to invest into fashion for a profitable outcome.
- DIGITAL ART WORK.
The history of blockchain and art tokens experienced a dramatic change in 2021 March 11, when an auction house sold artwork for a whopping $69 million and eventually it was the first auction for the house. NFTs artwork are truly among the most famous and valuable non-fungible tokens formed so far in terms of profitability.
In conclusion, artists, collectors and investors are benefiting and taking the new opportunities and advantages in NFTs. So should you want to invest, bear in mind that the possible use or functions of NFTs are yet to be discovered by the world.