It is next to unimaginable that in this fast-paced techno-dominated world you are unaware of NFTs, but here we will not be talking about NFTs, rather we will deal with Confusion all around the NFTs, Let’s see if we can chain this cat and unveil the true nature of how it actually behaves in detail. The extremely complicated cycle is what makes the NFTs a bit complex and we all know whatever deep-rooted understanding we have or one has there are always tonnes of space left for confusion to creep in. Let us try and clear most of them…
How NFTs are created?
NFTs can be created by setting up a wallet like Metamask and a platform like Opensea which would act as a place for you to buy an NFT or Sell yours. We need to connect the Wallet and the Platform and Create art in any audio, video, or art that can be sold over and can be bought too from the same platform by paying the service charges plus the Cost, you can take it as the same as Google Playstore where you can download anything from and if you have created anything in an app you can upload on it too.
Who buys them?
This could be answered in a very generic way it could be anyone, but on the top of the ladder would be the Millionaires, the investors, the ones who love collecting the arts in whichever form it is, and of course the fans of big NFT creators and now most of the majority are the Resellers who want to make money out of it.
Why do they buy?
At present, there’s no fully proof-satisfying answer to this other than money-making and as a status or pride owner of the costly NFTs which the owner can show off may be as a rare owner of a unique asset or one can say for the love of art it can be anything for justification or maybe just a token of differentiation.
What do they do with the bought NFT?
As of now other than being proud owner, the only use that is being rumored other than reselling is the use of the NFTs in Metaverse and in the Gaming which we can say the main puller towards it, and in games like Hunters of chain and in places like Parcel they can also be used to buy Virtual land.
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What is Tokenisation?
It is this token that when received proves the authoritative ownership of your minted NFT, So we can say tokens assure ownership of an asset bought like NFTs. But the claim that the token received is unique is somewhat debatable as there isn’t a physical transfer of the digital art that is been traded, it would be somewhat like a change of ownership that is been done with some Cryptocurrency.
So technically that would be just a change of name, the real deal is if someone steals or scams your art he would be inevitably the owner of the NFT. Little has been done to stop this, as action needs to be taken from the platform and wallet on both sides. Recently a platform has studied and said that more than 80% of the NFTs are copied and modified here and there a bit, and have minted it. The latest developments by the Opensea platform are to add copy-checking and verification features.
Can NFTs be copied?
Technically yes but they are subject to fair use laws unless subjected, As there would be a rider here the original content creator will be having the copyright but if sells to a seller then he would be purchasing the art in NFT form, and the copyright would still remain with the original creator itself.
It is very risky and not an Ethical way to list your NFT as it would lower your value in the future, So it’s better to stay away from such practices. We can use our brains to create something creative at best that’s very seldom seen or expected. Go with the trend and make anything creative related to it rather than copying.
Copied NFTs case study: Suppose someone has listed a costly NFT and we just took a screengrab of it and kept it in the collection or can sell it in the same market downgrading the price of it from the original one, the original creator won’t negotiate while the fake one might sell it to a lower value as anything is good for him. So always follow the original source and make sure to check more than once before finalizing for the originality, so that we don’t end up getting scammed. So better go for trusted sites/links and trusted creators whenever you are buying whether it be gif, audio, or any other form of digital art.
The thing to keep in mind is yes you can fool somebody one time but not everyone all the time. The buyers especially the NFT ones are very aware of what’s going around, So they will be doing their all research before finalizing anyone. Because there’s always the risk of getting caught and sued by the original creator and once that happens you’ll end up paying a hell of a lot more than what you earned selling fake ones or duplicates.
How to differentiate between original and fake NFTS?
The number of fake NFT stores have increased in recent time threefold and these stores sell those NFTs which don’t even exist and dupe the public.
Spotting fake NFTs is really tricky as they use a fake identity, social media, and using influencers of SocialMedia, Crytpo marketers, and even many youtube channels have fallen prey to these fraudsters, so it is always better to double cross-check and always buy from authentic sellers, before jumping on the board or influenced by these kinda things Scamsters are portraying themselves as original creators to loot people using there identity.
Is the withdrawal process tedious?
This is actually pretty simple no need to push the panic button, just log on to your Metamask wallet and the Ethereum shows up the balance if you have sold any of your NFT. If you have to withdraw in any other currency then you need to open an account with an exchange wallet like Binance, Webull, WazirX, etc. By paying just some basic service charges we can get it into our account and in any desired country currency.
Can they be listed on multiple platforms for selling?
Listing the same NFTs in multiple market place comes with many drawbacks, this is the most confusing query one has about NFTs. Can we actually sell the Same NFT in multiple Market Places at the same time? The answer to this is positive but that comes with a rider that if you put it at many places at the same time then the possibility is much that the value of your NFT might lose that clamor, that is there when it’s listed in only one Market place.
Because NFT is all about fungibility and it more or less says about special and uniqueness that gets hit if placed in multiple places, but practically yes you can put it across platforms no violations would be done. The Advice would be Not to do it.
What is Royalty in NFTs? How much and how to set Royalty? What percentage will we get every time it’s resold?
We will go step by step here,
You need to go to the Profile section of a platform like Opensea and follow this, Profile->Collections->Edit at the bottom you can set the royalties. And you can set it within the percentage of 5%-10% of whatever you will.
We need to give our Ethereum wallet address and it will get Credited after 2-3 weeks, which you can withdraw later. You can set different royalties for each of the NFTs.
Everything about Gas Fees cleared
If you are a seller, they give a nominal fee of 1% on Binance, and it’s different for Metamask they charge a flat 2.5% and if you are a buyer this may be much bigger like for a $100 NFT a $30 to $40 are charged as Gas fees.
Gas Fees depend on the miners at that particular time or the traffic present on the blockchain to wrap up the transaction process.
What is the future of NFTs will they survive in long run?
A virtual Economy that will revolutionize the transaction is one of and most significant expectations from NFTs. NFT gaming as already discussed will be the future of the gaming industry and at present, there are a thousand games available that allow users to use the privilege that the NFT gives those games or the owner of the NFT. And in games like Axie Infinity provides users to Earn while they play games.
And MetaVerse has said it would make the traditional gaming experience to the whole next level. As recently Mark Zuckerberg said the more we shift towards the online world there we would need to prove the authenticity of an individual with a secure way that is built-in and here NFTs take charge.
Digital Twin where all the consumables in the next 10-15 years will have an online digital twin, The Music Entertainment, Health, Finance everything is expected to get along and use this technology. Only the future will hold answers for this whether it will materialize in factually time holds the answers for this.
CONCLUSION
The bottom line is once the creators are well aware of the concepts of Crypto wallets, Minting, Gas fees, and Market places that would be good enough to make a risk-free debut to the Non-fungible token selling or buying Journey.
The door for scams too opens with every presiding new technology inception and there are many related scams already in the history books. Read more about NFT Scams