How to Buy an NFT?

Mohamed Bitar

Last Update vor 4 Monaten

NFTs are a hot topic these days and they won’t be going anywhere, so it’s time to start thinking seriously about investing in these new forms of digital tokens. Just like most physical items, NFTs can be purchased from two different sources: the producer or a second-hand supplier

As for secondary markets, buying an NFT from a second-hand supplier means you have to go through an auction-like process. This means you first need to place a bid and see if your bid for wins among all other bids in the market. It is similar to eBay in certain ways. Some suppliers allow you to buy NFTs at a fixed rate as well; in this case, no auction takes place. After NFTs have been distributed by creators, they get listed on sites like Opensea, Rarible, and others. To make a purchase, you need to have an account and an Ethereum wallet with funds. And because cryptocurrencies are constantly fluctuating, the “fixed” prices may also fluctuate as well depending on the market. 

Now, when it comes to purchasing directly from the producer, it’s a different process and it’s called “minting.” Prices in this case are set by the producer, which is arguably the lowest price you’ll ever see the token at, but that all depends on the market demand as well, so do your research first! However, buying directly from the primary source makes it a bit challenging to estimate the demand for the token you’re buying, versus the secondary marketplace, where you have the ability to look at previous purchases to compare the rate at which you’re buying and to understand the true value of the token you're purchasing.

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