How To Guide: Buying an NFT
How to buy a NFT?
Thoughout this year, you might have read the acronym NFT a lot. In the Blockchain world, NFTs are positively giving ownership to digital and physical items. Non-fungible tokens are items you can buy using cryptocurrency, and its ownership lives on a blockchain. The most common one is the Ethereum blockchain. Better than a watermark, if you ask us.
This is part 2 of our 3-part series on NFTs. A while back you read a beginner’s guide to NFTs. Now, let’s see how do you actually buy one. What do you need? What are some trustworthy places and some more!
Where to buy NFT's?
The most notorious site to buy NFTs is Opensea.io, or as they call themselves… ‘The world’s first and largest digital marketplace for crypto collectibles and non-fungible tokens’.
Competitors to Opensea have come and gone, but so far it’s the one that’s stuck more in the market.
From Opensea you can view collections listed in the website. Some notable ones are CryptoPunks, HappyLand Gummy Bears or Bored Ape Yacht Club. You can also view the NFTs somebody else has, add them to your favorites, bid or outright buy it from them.
How do you pay for NFTs?
That’s cool and all, but how do you pay for an NFT in OpenSea? You need a wallet that connects to Decentralized Applications like OpenSea. There’s a ton of wallets out there that do that, but for this tutorial, we’ll use Metamask — You can use it pretty much anywhere in the Ethereum blockchain.
To start, go to metamask.io and click the blue ‘Download now’ button:
Afterward, choose your device of choice and install the app. Metamask has iOS and Android versions, but it’s highly recommended to have your Metamask wallet in your desktop browser. For the use of this tutorial, we’ll use the Chrome version.
Click the blue ‘Add To Chrome’ button and install the extension.
The app will greet you as soon as you open it, and ask you to import an existing wallet, or create a new one. Let’s go with option 2. When you create a new account, you can choose to share your usage data or not. We’re more on the private side of the spectrum, so we’ll click no, but feel free to choose otherwise.
The app has two layers of security to protect your account.
First is with the usual password system (8 characters minimum).
The second one is a key phrase. If you’ve created a wallet in other apps, this shouldn’t be strange to you. It’s just a 12-phrase, randomly generated password.
Write it on a piece of paper and save it somewhere safe. If you lose these keys, there’s no way Metamask or somebody else can help you recover your account.
After you’ve saved your private phrase, you officially have your Metamask account up and running! Now it’s time to deposit some ETH in your account and buy your NFT.
To deposit ETH, click the blue “Buy” button and choose the third option “Directly Deposit Ether”.
A QR code with your wallet address will show up. Go to your wallet app of choice with ETH already bought and scan the QR code or paste the address. It’s really important that you don’t manually type the address — one wrong letter or number and that ETH is gone.
When the transaction is in your Metamask wallet, you should see your balance there change. Now, it’s time to buy some art!
(Side note: before you decide to jump on a cheap NFT, read about the project beforehand, and ask yourself if this is a project you can back. NFTs are usually seen as a pump-n-dump investment, but holding your NFT might actually give you benefits in the long term. Choose wisely.)
Go back to Opensea.io and click the wallet icon at the top-right corner. That will slide a prompt to choose your wallet, click Metamask.
Choose the account you want to use with your account (the one you deposited ETH before), and click “Next”, accept the permissions and that’s all!
If you can see the funds you have in your account, then you’ve successfully connected OpenSea to your Metamask account.
Now, find an NFT you like and you’ll see its price and the option to buy now or make an offer.
Where can you see your NFT?
Okay, so now you’re the shiny new owner of an NFT. You’re one step ahead of the game. But how do you see them? It’s easy… They’re in your profile!
Go to OpenSea.io/account and you’ll see you have an Unnamed account. You need to set up your account before you can truly own your NFT.
Head over to your settings and enter your username, email, and a bio if you want. Simply verify your email address and you’ll be all set!
What can I do with the NFT I chose?
Depending on the project, your NFT might be something more than a JPEG.
Some projects like HappyLand Gummy Bears have added real-world utility to the token and get discounts on our exchange. Some others grant you access to unique groups, or give you a say in important decisions within the community.
It all depends on how creative the community is to constantly add more benefits and perks.
We’ll delve deeper into the benefits and future of NFTs in the final installment of our 3-part series on NFTs.