What are NFTs and how are they traded? If you’ve recently come across the term NFTs, tried to do a bit of research on how you can trade NFTs and after the entire process, you still felt confused and overwhelmed, you’re not alone.
Trying to understand the terminology and the workings of Web 3.0 can be an overwhelming task and so we’ve decided to try and simplify NFT auctions and how you can start trading them.
According to Web3 University, the first prominent NFT was created in 2017 by Dapper Labs and was called CryptoKitties. Since then, NFTs have grown in popularity and have seen astronomical successes.
The world-renowned art auction house, Christies finally joined the digital artwork bandwagon and auctioned off Beeple’s (Mike Winkelmann) controversial Everydays: The First 5000 Days for $69,346,250 in March 2021.
According to Airnfts, there are various ways in which NFTs are sold, these are namely listing an NFT on a marketplace or selling the NFT via the various auction options, depending on the goal you want to achieve with your NFT.
With a reserve NFT auction, a public reserve price is set and once the reserve price is reached, the NFT auction is closed. With a scheduled NFT auction, the auction is scheduled to start and end at a specific time, regardless of whether the NFT reserve price has been met or not.
NFTs consist of collectables, game items, digital art, event tickets, domain names, and even contract ownership records for physical assets that are sold on NFT marketplaces and traded via the Ethereum cryptocurrencies
Compared to countries like the Philippines, Thailand, Malaysia, the UAE and Vietnam, South Africa is lagging behind in regard to the number of NFT owners. Despite this, Momint (South Africa’s first independent NFT platform) was launched in April 2021. It’s exciting to see that South Africa is slowly but surely catching onto the Web 3.0 technologies.