What is Non-Fungible Token and How to Make Money with NFT

It looks like new crypto coins are being created each and every year. There are many kinds of crypto coins. Some of them are volatile, while others have a fixed value. However, one of the most interesting tokens is the NFT Token. NFT token has gained a lot of popularity recently. NFT token stands for “Non-Fungible Token”. So what does that mean exactly? Let me explain in simple words! In order to understand what is a “Non-Fungible Token”, we must first understand what does the term “Fungible” means.

The term “fungible” is used to define any kind of asset that can be bartered or exchanged with the other item that has an equal value. For example, two five-dollar bills can be exchanged for one $10 bill because both of them have an equal value. The term “Non-Fungible” is quite different from that and it is used to define assets such as cars, shops, property, smartphones, etc because they cannot be exchanged or bartered, as they have different qualities and they also have a totally different value.

How NFTs Work?

Before I explain how you may earn money with NFT, you must understand how NFTs work. NFTs are tokens that are associated with the ownership of any digital file such as informative videos or tutorials, online artwork, unique images, etc. It can be used to sell anything valuable for a price. For example, the Twitter owner sold his first tweet using NFT. NFTs can also be used to assign ownership to any kind of in-game product. This is how people make profits making and selling NFTs and this is why different NFTs may have a different value. Each NFT may have its own unique signature code or token symbol. This specific token is hoarded on a blockchain. A blockchain may provide the following information:-

• Details About The Owner(s) Of The Digital Asset

• NFT Trading History

• NFT Ownership History

Creating And Selling NFTs

There are many platforms that allow you to create NFT tokens. Here I will be using the Rarible platform in order to show how you could start minting your own NFT. So here is a step by step guide:

1) You would require to set up a MetaMask wallet and you can do that by downloading a MetaMask wallet using their official website and add some Ethereum to it. It is advisable to add a good amount of Ethereum to it (at least $100-$150). If MetaMask is not available, then you may also opt for Coinbase. Rarible supports the Coinbase wallet. You can also check the other available options.

2) Go to Rarible.com and click the “Create” button which can be found in the top right corner.

3) You will be given an option to select a “Multiple Collectible” or a “Single Collectible”. It is much better to select the “Multiple Collectible” option as it would make it possible for you to create many NFTs for a single artwork.

4) After you select your collectibe option, you will be able to upload the file and you will also be able to upload the preview of the file and also set the price of your artwork. You will also be given an option to add the Title and description of your product. Additionally, you can also set the royalty and set the total number of copies of your artwork.

5) Rarible provides two minting options:-

• Create your own collection by creating an ERC-1155 token

• Minting on Rarible

It is up to you to select the right option!

6) You will be directed to the wallet when you will click the “Create Item” button at the bottom of the page after filling out all the details.

7) You will be directed to the wallet page. Select the wallet of your choice to complete the transaction. You can scan the QR code to complete this process.

8) After going through the steps mentioned above, you may need to mint the NFT token on the platform by signing into the platform. You can do that by simply clicking the “Upload Files & Mint Token” button.

9) In the end, you will be able to see your art work and your address which is uniquely assigned to your artwork.

10) That’s it. Your artwork should appear on the Rarible platform after a few seconds if everything goes fine.

You may also use NFTs to sell in-game products. The following are some of the NFT marketplaces related to gaming which you may use to sell in-game products:-

• Dmarket

• GameFlip


One thought on “What is Non-Fungible Token and How to Make Money with NFT”

  1. Your explanation of fungible versus non-fungible finally put this concept into plain enough language for me to understand. It’s almost like being able to make your own money!! I have only heard of NFT tokens being used for art and music. But you say it is also used for gaming. I am wondering now about all of the possibilities.

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