ECryptocurrency is extremely popular nowadays. With the fast-developing financial services and technologies, it’s hard to lag behind the digital currency trend.
So while the ones who are used to conservative ways to earn with crypto are searching how to buy BTC in the USA on CEX.IO, others tend to look for creative ways of earning extra money. What are NFTs, and how can even children become rich with them? Read on to discover!
What Are NFTs (Non-Fungible Tokens)?
A non-fungible token is a technological-digital asset with identifying information recorded in a smart contract.
- Since each NFT contains this information, it cannot be replaced by another token directly.
- It is not possible to swap one NFT for another since not even two of them are alike.
Tokens like Bitcoin are fungible. A person can send you a Bitcoin, and you can send them one back, and you will still have one Bitcoin. It is also possible to send and receive smaller amounts of Bitcoin, measured in satoshis (think of satoshis – little units of BTC -as cents) since fungible tokens can be divided.
Tokens that are non-fungible tend not to be divisible, in the same way, that part of a concert ticket will have no value on its own and cannot be redeemed. Some investors, however, have experimented with fractionalized NFTs in recent months, though they remain in a legal grey area since they could be viewed as securities.
In contrast to NFTs, banknotes, if they hold the same value, can simply be exchanged one for another; for the holder, there is no difference between, say, a dollar bill and another one.
A good example of a successful non-fungible token is Beeple’s NFT collage sold for $69 million, which made him the third most expensive living artist at auction behind David Hockney and Jeff Koons. However, the world has recently discovered a small NFT artist – an 8-year-old boy from Japan.
Smart & Inventive Japanese Child & NFTs
Pencils, brushes, crayons, a piece of paper… Who didn’t draw in childhood! At that time, could you ever imagine that childish pictures may help you gain tons of money? Probably, not.
You might be missing a great opportunity if you or your kids still draw with crayons. In Japan, an eighth-grader has been creating artwork digitally, converting it into non-fungible tokens (NFTs), then selling them online for relatively large Ethereum (ETH) profits.
His name appears only on social media as Zombie ZooKeeper on both platforms, as well as in Business Insider Japan’s interview with him. He is the founder of the growing digital art empire Zombie Zoo, where secondary sales on individual items can reach ETH 18 (USD 61,190) on the OpenSea platform.
Currently, the ZooKeeper is filling his fast-growing emporium with around three new zoo-themed items a day, including dragonflies, crocodiles, and headphone sets.
With his profits, he buys some Pokemon-themed toys by cranking up production “between seven and nine” items a day “on holidays.”. However, as previously mentioned, these super-young crypto art prodigy works alone – zealous parents are frequently present to give “support.”
In the case of ZooKeeper, this role has been taken over by his mother, artist Emi Kusano, who runs the Zoo Keeper’s social media platforms and oversees the tech and financial aspects of the business. Likewise, she has created digital art for sale as NFTs.
In fact, Kusano has taken the clever move of allowing secondary sales of Zoo Keeper’s products to be subsidized for a whopping 10% royalty fee, with secondary sales on OpenSea booming.
In the Zoo Keeper’s ETH wallet, over ETH 3 (worth well over USD 10,000) are currently tucked away (at the time of writing).
In the daytime, the ZooKeeper attends elementary school, but at night, he draws pixel art on his iPad with a free app his mother told him about. His rise has been meteoric.
In the first week since listing his first works for as little as ETH 0.006, he experienced a “low-response” week before a flurry of activity began on September 2. Various artists, from notable Japanese illustrators to the virtual influencer Lil Miquela creator and Brud founder Trevor McFedries, have since been contributing to the Zoo Keeper’s collection.
Why Are NFTs Getting So Popular?
Non-fungible tokens have unique characteristics; usually, they are linked to a certain asset. From digital items such as game skins to physical assets, they can be used to prove ownership.
Nowadays, many famous IT companies are centered at elaborating special software for creating and embedding non-fungible tokens. Thus, Twitter has announced new settings for NFT avatars, and Adobe has partnered with NFT marketplaces OpenSea, KnownOrigin, Rarible, and SuperRare.
Twitter & NFTs
Twitter is also developing a personal account with settings for previously announced NFT avatars. As you can see, it will be possible to specify various kinds of settings for each individual token – author, collection, and other characteristics.
Adobe & NFTs
After this, software company Adobe has added a new feature to Photoshop that allows images to be prepared as non-fungible tokens (NFT) and to include additional information about the content creator (social media, crypto wallet).
Content creators will also be able to showcase their NFTs on their personal Behance pages with links to marketplaces.
What Can You Do With NFTs?
- The public galleries available on NFT marketplaces allow you to show off your collection on your profile.
- You may be satisfied with just purchasing NFTs if you’re a collector.
- You could also purchase NFTs now and resell them later when their value increases as an investment.
- In addition, you may give NFTs as gifts or utilize them in a virtual game.
NFTs aren’t guaranteed to increase in value like other investments. Most people end up selling them for a loss. In contrast, others have made hundreds or thousands of dollars in Ethereum by selling their NFTs at the right time. You are the one who has to decide whether you are willing to take the risk or not.