How to Gain Exposure to the Upside of NFT Markets by Defi Dad
Whether you’re new to crypto or a long time veteran, you’ve probably heard a lot lately about this thing called NFTs! According to OpenSea’s NFT Bible…
Non-fungible tokens (aka NFTs) are unique, digital items with blockchain-managed ownership. Examples include collectibles, game items, digital art, event tickets, domain names, and even ownership records for physical assets.
While DeFi has been enjoying a Cambrian explosion of new digital finance applications built on Ethereum, NFTs on Ethereum have also been on the rise for more than a year. Since early 2018, NFTs have been at the center of a very creative community within Ethereum thanks to the introduction of the ERC-721 standard for NFTs. While there was some initial success thanks to platforms like CryptoKitties, a blockchain game for collecting, breeding, and trading digital cats, in the last year especially, NFT art has exploded in primary and secondary sales volume.
So why are NFTs so interesting? Put very simply:
- NFTs allow anyone to create a unique, digitally scarce thing
- That thing can be transferred and stored like any token on Ethereum
- The ability to transfer and store an NFT empowers creators to engage directly with their audience and fanbase--selling art, collectibles, music, video, etc without going through rent-seeking middlemen
And while DeFi requires a somewhat steep learning curve to master both a new language and traditional finance concepts, NFTs are simpler. They often relate to more visual concepts like art, trading cards, digital collectibles,
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