Do you want to collect NFTs but don’t know where to start? Keep reading because this article will answer all your questions.
One of the most important events that put NFTs in the spotlight was the record sale made by Christie’s auction house in 2021, when they sold the digital artwork Everyday’s: The First 5000 Days, by artist Beeple, under this modality.
Pay attention: at that event transactions that added up to 69.3 million dollars!
More headlines about NFTs as protagonists arose with the sale of a group of nine cryptopunks from Larva Labs, for 17 million dollars.
Does this surprise you? Well stay here. Next we will delve into the NFT collection.
What is an NFT?
NFTs represent a special type of cryptographic tokens that constitute assets, including digital works of art, which are unrepeatable and unique.
- Non-Fungible Tokens (NFTs) are an asset that can only be replaced by another identical one.
- These are transacted through smart contracts, which are similar to a deed, but executed on the Ethereum blockchain.
- This creates a public, open-access record with data about origin, price, authenticity, and ownership.
What is an NFT collector?
An NFT collector is someone who acquires and accumulates non-fungible tokens such as artwork, a photograph, a video game, or a song.
As we have mentioned in other articles of this blog, NFTs are created and stored on a blockchain, making them unique and immutable, thus enhancing their value as collectible items.
NFT collectors value the authenticity and exclusivity of these tokens, and often seek to acquire collectible or culturally or artistically valuable pieces.
At the same time, some collectors may also be NFT creators, producing and selling their own artwork or digital content as NFTs.
The popularity of NFTs has grown tremendously in recent years, and many collectors have seen the value of their collections increase significantly.
Why are NFTs collected?
The NFTs collecting boom, which has been registered in 2021, is due to the following reasons:
Authenticity and exclusivity
As we warned in the previous section, many collectors value the authenticity and exclusivity of NFTs, as they are unique and non-transferable.
Cultural or artistic value
Some collectors seek to acquire NFTs that represent pieces of great cultural or artistic value, such as famous works of art or historical pieces.
Many collectors see NFTs as an investment opportunity, as the value of some NFTs has increased significantly in recent times.
Some people simply enjoy collecting NFTs because they are interested in the content or theme represented by the token.
Participation in the Community
Many collectors also view collecting NFTs as a way to participate in a community of people with similar interests and share their collections with others.
How to Start Collecting NFTs?
To start collecting NFTs, the first step is to familiarize yourself with the technology and, thus, with the concepts. Follow these steps:
Understand What NFTs Are and How They Work
NFTs are non-fungible tokens that represent the ownership of a unique and non-transferable piece of digital content, such as a work of art, a photo, a video game or a song.
Get a Cryptocurrency Wallet
You’ll need a cryptocurrency wallet if you want to buy and store NFTs. Don’t choose one at random, but we recommend that you choose a secure and reputable wallet.
To buy NFTs, you’ll first need to acquire cryptocurrencies like Bitcoin or Ethereum. You can acquire cryptocurrencies from a cryptocurrency exchange or from an individual through a peer-to-peer platform.
Find an NFT Platform
There are many different platforms where you can buy and sell NFTs, like OpenSea, Rarible, and SuperRare. Research and compare different platforms to find the one that best fits your needs and preferences.
Once you have a cryptocurrency wallet and have found an NFTs platform, you can start exploring and acquiring NFTs that interest you. Make sure to research and fully understand the value and quality of each NFT before buying it.
Similarly, there is recommended material such as the NFT Bible, on Open Sea, which is a must-read for those wanting to take their first steps as collectors in this space.
How to decide which NFTs to collect?
Many contemporary art collectors agree on this: to decide which NFTs to aim for, it is key to review the background and professional trajectory of the artist.
In addition, it is advisable to know the narrative and historical meaning of the work, as occurs in traditional collecting.
Let’s see some important points to make decisions in NFTs collecting:
- It is advisable to collect things that resonate with one, as well as the messages that may have an objective or purpose.
- Outside of technology, the most important thing is to collect what touches your soul, for which it is necessary to connect with artists with whom you want to establish an association and to investigate things that make you happy.
- Blockchain technology has proven to be particularly beneficial for all those creators who, in some way, feel excluded from the traditional art world.
- NFTs are providing a platform to those who are looking to express themselves differently and in different spaces than those offered by traditional art.
Thus, cryptographic art opens the doors to a wider range of perspectives in relation to this area.
How do NFTs connect collectors and artists?
Even though NFTs exist mainly in the digital world, its most important value has to do with the human connections they enable.
The platform brings to the point that many experienced collectors are followers of the arts and their interpreters, so they feel committed to all the artists they manage their collections.
What do the experts think?
TokensAngels, an Italian collector and owner of Homer Pepe NFT, notes that the value of collecting means establishing a “link between your name and an artist or a work”.
The specialist adds that “there are two types of players in the space, such as true collectors and traders, so the advice is to buy what you like and what gives you excitement”.
Likewise, Homer Pepe sent words of encouragement to collectors to find those real artists whose works could be remembered in the future.
Top Collectors Most Important of NFTs
Among the most important collectors we can mention the following:
He is a filmmaker whose epicenter is between London and Barcelona. His collection includes very notable PFP (profile image) projects, among which are Bored Ape CryptoPunk, and Cool Cats.
This is one of the first NFT collectors, who has been involved in the space since 2018. He has works by Beeple, Pak, Mad Dog Jones, FEWOCiOUS and Refik Anadaol.
He is an Italian collector who comes from a family of art collectors and is currently the owner of Homer Pepe NFT. He is one of those who has given the most significant value to the art of collecting.
Eduardo Burillo is a collector residing in Miami and has been characterized for tackling NFTs in the same way he does with more traditional contemporary art. He gifted a CryptoPunk to ICA Miami, making it the first NFT to join a major museum collection.
A distinctive factor that revolves around the NFT world is its own community. When you buy one of these tokens, you join the collector community that has also collected that same artist.
The key is understanding that the current surge that technology has, despite being new, suggests that the applications of blockchain technology in this art will continue to grow exponentially.