Discover everything you need to know about buying, selling, and collecting digital art through our comprehensive guide to NFTs. Stay up-to-date on the latest developments in the NFT industry and explore some of the best NFT artists on the blockchain.
Person using digital drawing pad - Photo by Kelly Sikkema on UnsplashNFT Industry: Everything You Need To Know About Digital Assets
Are you interested in how to be a crypto artist or how to sell and collect crypto art? If so, then you should learn about NFTs (non-fungible tokens). NFTs are digital tokens that can be used to purchase and own digital assets, such as artwork, video clips, music, and other digital goods.
In this guide to NFTs, we'll cover everything you need to know about crypto art, from how to buy and sell them, to how to become an NFT artist and collect digital art and discover some of the best NFT artists who have been minting art on the blockchain since its inception, as well as some of the best marketplaces to sell on. As well as the overall benefits and risks of digital assets. So, let's get started!
What are NFTs?
NFTs, or non-fungible tokens, are digital assets that represent ownership or proof of authenticity of a specific piece of digital content, such as art, music, videos, and even tweets. What makes them unique is that they cannot be replicated, exchanged, or divided into smaller units.
Essentially, an NFT acts like a certificate of authenticity or a digital signature, giving a sense of exclusivity and uniqueness to a particular piece of digital content.
NFTs are typically bought and sold using cryptocurrency, with transactions recorded on blockchain technology. This brings us to the concept of Web3, which is a decentralised version of the Internet where NFTs can exist and thrive.
Some of the best NFT artists in the world are already using this technology to create unique and exciting works of digital art that can be owned by anyone.
Overall, NFTs are changing the way we view and own digital content, and their impact on the art world and beyond is only just beginning to be seen.
The history of NFTs
NFTs, or non-fungible tokens, are a relatively new concept in the world of digital art and collectables. But despite their recent popularity, the idea behind NFTs dates back several years.
In 2017, the first NFT project, CryptoKitties, was launched on the Ethereum blockchain. Players were able to acquire and trade digital cats, each one identified by a unique NFT. The success of CryptoKitties paved the way for other NFT-based projects and helped establish the value of digital collectables.
What is an NFT exactly? Simply put, it's a unique digital asset that is verified on a blockchain. Because it is unique and verifiable, an NFT can represent a one-of-a-kind piece of digital art, a collectable item, or even virtual real estate.
But NFTs wouldn't be possible without web3, or the decentralised web. Web3 refers to the internet infrastructure that is built on blockchain technology. This decentralised network allows for digital assets to be traded and verified without the need for a central authority.
Some of the best NFT artists include Beeple, Trevor Jones, and Mad Dog Jones. These artists have gained widespread recognition, and their works have sold for millions of dollars.
As the popularity of NFTs continues to grow, many people are curious about how to buy and sell these digital assets. Stay tuned for the next sections of this guide, where we'll explore the ins and outs of buying, selling, and collecting NFTs.
What is Web3?
Web3 is a term that refers to the evolution of the internet, from Web 2.0 to the next phase of the internet, which is expected to be more decentralised and user-controlled. It involves the use of blockchain technology and cryptocurrencies to create a new digital economy, where users can buy, sell, and trade digital assets.
This includes NFTs, which are a unique type of digital asset that is stored on a blockchain. Web3 is expected to change the way we interact with the internet and is seen as a key factor in the growth of the NFT market.
With web3, creators can easily mint their NFTs and sell them directly to their fans, without needing intermediaries such as galleries or auction houses. This creates a more democratic and accessible art market, where anyone can participate in buying and collecting digital art.
Overall, Web3 and NFTs represent an exciting new frontier in the digital art world and are expected to revolutionise the way we think about art ownership and the value of digital assets.
Who are the top NFT artists?
With the explosion of NFTs, a new crop of digital artists has emerged to create unique and collectable pieces that are changing the art world as we know it. Some of the top NFT artists include Beeple, Trevor Jones, Krista Kim, Pak, and Mad Dog Jones. Each artist brings their style and flair to the NFT space, with some specialising in animation, while others focus on static imagery or even music.
Beeple is one of the most recognisable names in the NFT world. He made headlines in March 2021 when his piece, "Every Day: The First 5000 Days," sold for a whopping $69 million at Christie's auction house. This made it the third-highest auction price achieved for a work by a living artist, following only Jeff Koons and David Hockney.
Trevor Jones is another NFT artist whose work has gained attention for its unique and creative use of technology. His pieces often combine traditional media like paint with digital effects to create mesmerising visuals.
Krista Kim is a digital artist and futurist who creates otherworldly, neon-hued NFTs. Their work explores the intersection of art, technology, and spirituality. Meanwhile, Pak is an anonymous artist who creates interactive and innovative pieces that use cutting-edge blockchain technology to make each work unique and inimitable.
Finally, Mad Dog Jones is a Toronto-based artist whose NFTs often depict dreamlike cityscapes and explore themes of isolation and connection in the modern world.
As the NFT space continues to evolve, we’ll likely see more and more artists emerge to experiment with this exciting new medium. With the potential to democratize art ownership and empower creators in new ways, NFTs are poised to revolutionise the art world for years to come.
Best NFT artists
Art is subjective, but in our eyes, here’s a list of some of the best ‘OG’ NFT artists who have been in the industry since the beginning, way before NFTs gained popularity and went mainstream. These artists discovered NFTs because of their passion for art, not simply wanting to make money online and have therefore been dedicated to this fast-evolving digital landscape and have helped shape the NFT community:
1. Gary Cartlidge
Known as ‘TroyFitzpatric’ on Twitter, Gary Cartlidge is an 'OG' in the NFT space who has been creating NFTs since late 2018 and has dedicatedly minted thousands of high-quality NFTs over the past five years and has had their works displayed in galleries and exhibitions all over the world.
As well as creating all art elements themselves in the digital and physical world, they also create their music and animation to add to the unique pieces themed around mental health and current social topics, making this original crypto artist highly skilled in mixed media art. Even Gary’s reputable Script Breakers collection was intricately made without the use of generative software.
Born near Birmingham in England, Gary, the perfectionist, ironically threw his GCSE art exam piece in the bin hours before the deadline. This didn’t stop the passionate artist from gaining a degree in Graphic Design, helping them to be extremely skilled in all Adobe creative software.
2. XCOPY
XCOPY is a popular digital artist known for creating intricate and detailed NFTs featuring dystopian and futuristic themes. Their unique style involves using a 3D model rendered in 2D format and then enhanced using digital tools. XCOPY has gained a significant following in the NFT space, with some pieces selling for hundreds of thousands of dollars and has collaborated with various NFT platforms.
3. Miss AL Simpson
Miss AL Simpson's passion lies in black ink and collage. Their work draws on vintage movies and fashion magazines, incorporating the influences of Kippenberger and Rauschenberg. Through found items such as billposters and magazines, Miss AL Simpson creates textured mixed media surfaces that explore themes of confused popular culture, layering the work with power and fragility. Fragmented portraits hidden in urban landscapes reveal an honest and broken reality, reflecting a mixed-up version of popular culture.
4. Norman Harman
Norman Harman, a traditionally trained painter from Edinburgh, faced difficulties exhibiting their digital art due to the traditional gallery system's lack of understanding. However, Norman’s interest in digital technologies led the artist to explore programs like Photoshop, resulting in a substantial digital painting portfolio.
In 2018, Norman Harman learned about NFTs, which gave the painter a portfolio and a permanent home on the blockchain and a means to sell digital work directly. Harman's art comprises different elements from physical practice, ranging from traditional painting to the use of AI art.
How to buy an NFT
Now that you have a basic understanding of what NFTs are and their history, you might be interested in buying one for yourself. So, how do you go about buying an NFT?
Firstly, you'll need to know what NFT you want to purchase and where to find it. This is where Web3 comes in. Web3 is the new generation of the internet that uses blockchain technology, allowing for decentralised apps, including marketplaces for buying and selling NFTs.
OpenSea, Nifty Gateway, and SuperRare are the most popular NFT marketplaces. These marketplaces offer a vast collection of NFTs from various artists, ranging from digital art to music to collectable items.
To buy an NFT, you'll need to have cryptocurrency like Ether or Bitcoin, which is accepted by most NFT marketplaces. Once you have your cryptocurrency, you can browse through the marketplaces and choose the NFT you want to purchase.
Each NFT has a unique smart contract that contains all the details of the NFT, including the owner and the transaction history. When you're ready to buy the NFT, you'll need to connect your digital wallet to the marketplace and complete the purchase and pay a gas fee.
Before purchasing an NFT, it's crucial to conduct research. You'll want to ensure that the NFT you're buying is authentic and valuable. Check the artist's reputation and past sales history to ensure you're making a sound investment.
Overall, buying an NFT is a straightforward process that requires some cryptocurrency, research, and access to a web3 marketplace. It's an exciting and innovative way to own and collect digital art and other virtual assets.
How to sell an NFT
Now that you know what NFTs are and how to buy them, let's talk about how to sell them. Selling an NFT can be just as easy as buying one, as long as you know what you're doing. Here are the steps you need to follow to sell an NFT:
1. Choose a marketplace: There are several NFT marketplaces available where you can list your NFT for sale. Make sure you choose a marketplace that suits your needs and has a good reputation.
2. Set your price: Decide on a price for your NFT. You can either set a fixed price or choose to auction it off. Make sure your price is competitive with similar NFTs on the marketplace.
3. Create your listing: Once you have chosen your marketplace and set your price, it's time to create your listing. You'll need to upload your NFT file and add a title, description, and any relevant tags. This is where you can showcase your NFT and provide information about what makes it unique.
4. Promote your listing: Promoting your NFT listing is key to making a successful sale. You can use social media platforms like Twitter and Instagram to promote your listing and consider reaching out to NFT communities to help spread the word.
5. Close the sale: When someone makes an offer on your NFT, you'll need to accept it to close the sale. The buyer will then transfer payment to your wallet, and you'll need to transfer ownership of the NFT to their wallet.
Selling an NFT can be a great way to monetise your digital artwork and make a profit (or loss). Just remember to choose a reputable marketplace, set a competitive price, and promote your listing to potential buyers. With these tips in mind, you'll be on your way to a successful NFT sale in no time!
How to collect NFTs
Now, it's time to learn how to collect them. Collecting NFTs can be an exciting hobby for art enthusiasts, tech enthusiasts, or anyone looking to diversify their investment portfolio.
To begin your collection, first, decide on a theme or artist that interests you. Many NFT marketplaces have search filters to help you find NFTs based on specific criteria, such as art style or genre. Once you find an NFT you want to collect, make sure to research the artist and their previous works to ensure they are a committed and dedicated artist who will increase in value, not just someone looking to do a ‘pump and dump’ with no actual interest in the art industry.
Another way to collect NFTs is by participating in auctions and drops. Many NFT artists and platforms will host exclusive events where collectors can bid on unique NFTs or purchase limited-edition drops. These events can be highly competitive and require quick reflexes and a solid understanding of what the market is looking for.
It's also essential to store your NFTs in a safe and secure wallet. Many NFT marketplaces offer their digital wallets, but it's recommended to use a third-party wallet for added security.
Lastly, keep an eye on the NFT market trends and news. With the growing popularity of NFTs and the emerging web3 ecosystem, there is no telling where the market will go in the future. Staying informed and ahead of the curve can help you make smart decisions and potentially even profit from your collection, but that’s not always guaranteed.
The future of NFTs
As more people discover the unique appeal of NFTs, it's clear that this digital art market is here to stay. What's particularly exciting is the way NFTs are connected to web3, which represents a new era of decentralised technology.
As we move towards a world where blockchain is increasingly intertwined with everyday life, NFTs are becoming a part of this digital revolution. The way we think about digital ownership and creativity is changing, and NFTs are at the forefront of this movement.
In terms of what's next for NFTs, there are a few possibilities to consider. For one, we're likely to see even more mainstream artists embrace NFTs to monetise their work and connect with fans and collectors. This will, in turn, drive interest in NFTs from a wider audience, creating a self-reinforcing cycle.
Another area of growth could be the development of more niche markets for NFTs. Currently, most of the attention is focused on digital art and collectables, but there are opportunities to expand into areas like music, gaming, and even virtual real estate.
Ultimately, what the future holds for NFTs is anyone's guess. But one thing is certain: if people continue to value creativity, ownership, and the power of decentralised technology, NFTs will have an important place in the digital landscape. Whether you're a collector, artist, or investor, there's never been a better time to get involved in the exciting world of NFTs.
Just like the physical world right now, be wary of scams and hacking and don’t always fall for the hype. Just because something looks popular doesn’t mean it is; statistics can easily be inflated.
What is the best NFT marketplace for artists to sell on?
If you're an artist looking to sell your digital art as NFTs, it's important to choose the right marketplace. For example, you’ll need to pay gas to mint an NFT, so for artists starting you may want to use a marketplace that uses Tezos or Sol as these are more affordable cryptocurrencies to mint art on the blockchain.
Whereas ETH will cost you considerably more to mint, but is often the most preferred by collectors. So, before minting, you’ll have to check the Ethereum Average Gas Price, which fluctuates throughout the day. If you choose to mint when gas is high, this expense will take away from any potential profits you make.
An important thing to note is that depending on where you live, you will be subject to income tax or capital gains or both, so you must declare your earnings as trading art is a business.
There are several options out there, but some are better suited for artists than others. Here are some of the best NFT marketplaces for artists to consider:
1. OpenSea:
This is the largest NFT marketplace out there, with over 4 million items listed. It's a great option for artists who want to reach a wide audience and have a lot of visibility for their work. OpenSea also offers a lot of tools for artists, such as customisable smart contracts and the ability to sell multiple editions of an NFT.
2. Rarible:
This marketplace is known for being user-friendly and easy to navigate, making it a great option for artists who are new to NFTs. Rarible also offers a lot of community features, such as a social network and a forum, which can help artists connect with other creators and potential buyers.
3. SuperRare:
This marketplace is more exclusive than some of the others on this list, as it only accepts a limited number of artists. However, if you're accepted as a creator, you'll have access to a lot of perks, such as curation, marketing, and support from the SuperRare team. This can be a great option for artists who want to build a brand and establish themselves in the NFT space.
4. Foundation:
This marketplace is known for its high-quality curation, which means that the art listed on the site is typically of a very high standard. This can make it a competitive marketplace to get into, but if you're accepted as a creator, you'll have access to a lot of potential buyers who are looking for unique and innovative NFTs.
5. Nifty Gateway:
Nifty Gateway is a platform that enables users to trade digital art and collectables on the Ethereum blockchain. The platform offers a range of limited-edition digital art and collectables from various creators, and users can purchase them using credit cards or cryptocurrency. Nifty Gateway has become popular among collectors and investors interested in investing in unique digital assets.
6. OBJKT:
OBJKT is a platform that allows creators to mint and sell their NFTs on the Tezos blockchain. NFTs are unique and verifiable digital assets that cannot be replicated or exchanged for other assets. Creators can upload their artwork and set their terms for ownership and sale. OBJKT has gained popularity among creators and collectors interested in unique and valuable digital assets, as it’s a more accessible marketplace open to all, and since it’s on the Tezos blockchain, the gas to mint is a lot more affordable than the marketplaces that use ETH, and the sale fee is a lot less, too.
Overall, choosing the right NFT marketplace will depend on your goals as an artist and the type of art you're creating. However, by considering factors such as audience, tools, and community features, you can make an informed decision about which marketplace is right for you.
How can an NFT artist build a community of art collectors?
As an NFT artist, building a community of art collectors is crucial to the success of your career. With the rise of web3 technology and the growing interest in NFTs, there are endless opportunities for artists to connect with their audience and build a following.
Firstly, to be an NFT artist, it’s important to have a genuine interest in art and creativity. Do not just enter a sector to make a quick buck and leave, as that’s unfair to passionate artists who try to make a living from their creative talents.
So, to show collectors you are authentic and serious about becoming an NFT artist, it will help to show that you have previous experience in the physical world, have built a portfolio or have gained qualifications or unique skills that help validate that you are genuinely interested in building an online brand.
Here are some tips on how to build a community of art collectors:
1. Create a strong brand:
Establishing a clear brand identity is essential for building a loyal fanbase. Consider your unique style, voice, and messaging when creating your brand. Use consistent branding across all platforms, from your website to your social media profiles.
2. Engage with your audience:
NFTs provide an opportunity for direct engagement with your audience. Host Q&A sessions, ask for feedback on your artwork, and respond to comments and messages from fans. Building personal connections with your audience can lead to a more dedicated following.
3. Offer exclusive perks:
One way to incentivise collectors to purchase your NFTs is to offer exclusive perks. This could include access to behind-the-scenes content, signed physical prints, or early access to future NFT drops. Creating a sense of exclusivity can make your art more valuable and sought-after.
4. Collaborate with other artists:
Collaborating with other artists can expand your audience and introduce your work to new collectors. Seek out artists with similar styles or audiences and work together on a project. This can also help build a sense of community within the NFT art world.
5. Participate in NFT communities:
Joining online communities dedicated to NFTs can provide opportunities to connect with other artists and collectors. Engage in discussions and share your artwork to gain exposure and build your reputation within the community.
Overall, it’s important to be actively engaged in the community, but don’t ‘shill’ or ‘drop’ too many pieces too often and make sure to connect and share other artists’ works, not just your own; they will most likely do the same back. You’ll find that the phrase ‘GM’ for good morning is used often in this community, but we would recommend not using it, as it has become tiresome.
By following these tips, NFT artists can build a dedicated following of art collectors. What is an NFT without a community to appreciate and collect it? With the power of web3 technology and a strategic approach to building a brand and engaging with an audience, the possibilities for NFT artists are endless.
Benefits and Risks of Investing in NFTs
NFTs, or non-fungible tokens, are a unique form of digital asset that is revolutionising the art world. While NFTs have many potential benefits for artists and collectors alike, there are also risks that investors should be aware of.
One of the main benefits of NFTs is their ability to provide artists with a new way to monetise their work. Unlike traditional art sales, which rely on physical pieces being sold to buyers, NFTs allow artists to sell their digital works in a way that is secure, transparent, and verifiable. This can help artists to gain exposure and recognition for their work, as well as generate a new source of income.
NFTs also offer collectors a new way to invest in art. By owning an NFT, collectors have a unique digital asset that is easily transferable and that can appreciate in value over time. This can be especially appealing to younger generations who have grown up in a digital-first world.
However, there are also risks associated with investing in NFTs. One of the main risks is the volatility of the market. As with any new technology, there is a risk that the value of NFTs could crash if the market becomes oversaturated or if there is a major technological failure. Additionally, there is also the risk of scams, fraud, and hacking, which could cause investors to lose their entire investment.
Ultimately, the decision to invest in NFTs is a personal one and should be made based on an understanding of what NFTs are, what Web3 is, and the potential benefits and risks associated with this new form of digital asset. As with any investment, it is important to do your research and to work with reputable and trusted sellers and platforms.
What is the biggest problem with NFTs?
Despite their many advantages, NFTs have one major issue that has raised concerns: the environmental impact. NFTs use blockchain technology, which is highly energy-intensive, and this means that creating and selling NFTs has a high carbon footprint. Some estimates suggest that a single NFT transaction can produce carbon emissions equivalent to a flight from London to New York.
This environmental issue is particularly troubling when you consider the speculative nature of NFTs. While some artists have made significant profits selling NFTs, there is no guarantee that any given NFT will appreciate in value. This has led some critics to argue that the hype around NFTs is more about making a quick profit than supporting artists or buying and collecting art.
Why are NFTs bad? To be clear, NFTs are not inherently bad. They can provide a new and exciting way for artists to sell and monetise their work, and for collectors to invest in and support emerging talent. However, it is essential to be aware of the environmental impact and the likelihood of making money before diving headfirst into the world of NFTs. Also, some blockchains are greener than others. For example, Tezos is considered to mint ‘clean NFTs’ and is more environmentally friendly than ETH or BTC.
If you are interested in buying or selling NFTs, make sure you do your research and choose reputable marketplaces that prioritise sustainability and transparency. Additionally, it may be worth considering alternative ways to support artists and invest in the art world, such as buying physical artworks or supporting artists directly through platforms like Patreon. Ultimately, the key is to approach NFTs with an open mind and a critical eye, considering both the benefits and the risks.