What is NFT Art? More than just digital illustrations! Summary of NFT Art features, marketplace, and more!

What is NFT Art?

  • What is NFT in the first place?
  • What is NFT art, and what are the characteristics and mechanisms of NFT art?

What does NFT mean in the first place?

NFTs are digital assets that exist entirely in the digital universe and cannot be physically touched, but can be owned.
NFT stands for “NonFungibleToken,” but what does that mean?
NFTs are often compared to the term “substitutable tokens,” and from a money perspective, a $100 bill can be exchanged for five $20 bills and still retain the same value.
In other words, the $100 bill is a substitutable token.
On the other hand, NFTs are called non-substitutable tokens in comparison to these substitutable tokens because each one has a different value and will never be the same.
NFTs can be any kind of digital file, including artwork, articles, music, and even memes such as “Disaster Girl.”
One of the main characteristics is that the rarity of the item can make it very expensive.
Examples include digital images such as Beeple’s “Everydays- The First 5000 Days,” which was created as a “non-alternative token” (NFT) and sold for $69.3 million.

What is NFT art, and what makes NFT art unique and how does it work?

Next, let us understand what NFT art is, its characteristics and how it works.
NFTs, as mentioned above, are non-substitutional tokens, meaning that they cannot be exchanged as equivalent values.
It also means that, as with any investment, its value may increase or decrease in the future, depending on circumstances.

Benefits of NFT Art

Now that we know about NFT art, its features and how it works, let me explain what advantages it offers us.
NFT art has the following advantages

  • Guaranteed unique value that cannot be tampered with
  • Anyone can sell and buy
  • Potential for future appreciation in value

Guaranteed unique value that cannot be tampered with

Before cryptocurrencies existed, it was impossible to actually own something fully digitized.
The rise of NFTs has changed this concept, allowing creators to rent, sell, and display their digital artwork as they wish.
In order to sell them, designers must take some sort of “legal” ownership of their work.
When NFT art is created, the work is created as a token that resides on a blockchain.
This blockchain is a digital transaction system that records information in a way that makes hacking and fraud very difficult.
This system makes it very useful for tracking copyright ownership and maintaining a record of creation.

Anyone can sell or buy

The second is that anyone can buy and sell.
Once an NFT is listed, anyone can buy or sell it worldwide on the Internet in the NFT Marketplace.
All you need is a smartphone, computer, and the cryptocurrency needed to make the purchase.
Also keep in mind that you will need a digital wallet, called a wallet, to store the NFTs you purchase.

The value could soar in the future.

A third advantage is that the purchased artwork may soar significantly in the future.
NFT art is an entirely new way of classifying digital art, allowing designers to monetize their work.
This differs from wayward traditional artworks because the designer creates the work and enjoys a return for his or her creativity, making it easy to receive revenue online.
Since everything is recorded on the blockchain, there is no need to receive direct documentation or certificates for payment.
Some NFT art also comes with royalty rewards for the artist.
Essentially, each time an artwork is sold, the artist receives 8-10% of all future sales.
This depends on the platform the artist is using.
Thus, if you sell your NFT artwork in the future when the price of the artwork rises significantly, you can make a profit and also receive a royalty fee for each time you resell the artwork.

Disadvantages of NFT Art

So, on the other hand, where are the disadvantages?
There are three main disadvantages that need to be considered

  • The legal system is unclear in some areas.
  • Fees may skyrocket in the future
  • Value could drop significantly.

Legal framework is unclear in some areas

As for NFTs, the legislation is not yet in place.
The October update of the Financial Action Task Force (FATF) guidelines has placed the responsibility for determining how to classify and regulate NFTs on government agencies, which the government is gradually addressing.

Fees may continue to rise.

One thing to note is how high the fees for creating NFTs are.
Designers must pay high fees to create artwork on the blockchain.
The price of this fee depends on the ethereum and can range from $80 to $1000, depending on the time and network at the time.
This fee does not guarantee the designer a sale, but without it they cannot market their work.

The value could drop significantly.

If the NFT market as a whole slows down, the possibility of a decline in value will also increase.
For some works, the price was already near the high end of the market when you purchased them, and you may have lost money.

Is it true that digital data can be sold?

What can actually be sold as art?
Let’s look at them separately below.

  • Digital Art
  • Audio, video
  • Twitter
  • Domain
  • Game Items

Digital Art

Most popular among creators is digital art.
Just as physical paintings and other digital art tend to fetch high bids, NFTed paintings and other digital art tend to fetch relatively high prices.

Audio and Video

Simply put, when you create audio and then NFT, you officially own the specific audio file you created.
You can easily create an NFT by creating an image, audio, or video with a creation application and then uploading it to a marketplace such as Opena.

Content posted on Twitter

Even the content of Twitter posts can be written.
In particular, you will find many Twitter accounts using the following project icons

  • Cryptopunks
  • BAYC

Domain

The main name also exists at the NFT.
Domain names can be registered and sold on the NFT market, which has certain advantages.
Buying on the NFT market allows you to eliminate intermediaries and create your one and only domain.

Game Items

Games are an essential part of one of the most popular categories in the NFT space.
There are many gaming projects, and the following games allow you to NFT various items in your game.

  • Axieinfinity
  • Sandbox game
  • Illuvium
  • League of kingdoms

These items can, of course, be sold at markets such as OpenSea.

What kind of NFT art sells?

We will look at specific examples of NFT art.

Beeple-Everyday
Zombie Zoo Keeper’s summer free study
1SEC virtual sneakers

TwitterCEO’s first tweet piece

Mr.Beeple Everydays – The First 5000 Days

Today, the NFT of his work sold for $69 million at Christie’s.
According to the auction house, the sale puts him “in the top three most valuable living artists.”
And one of the NFTs originally priced at $66,666.66 resold for $6.6 million.

Zombie Zoo Keeper’s free research work during summer vacation

Amidst the excitement of the Non-Fungible Token (NFT) boom, there is an 8-year-old elementary school student who has made a splash.
That student is NFT artist Zombie Zoo Keeper.
His digital art, which he started using a free app to draw as free research during his summer vacation, has been sold one after another at high prices on the NFT marketplace “OpenSea,” attracting attention and serving as a major catalyst for the spread of the concept of NFT art in Japan.

1SEC’s virtual sneakers

The market for virtual sneakers is in North America. A virtual fashion brand called rtfkt has made headlines with sales of over $3.1 million in seven minutes.
1SEC, a company based in Los Angeles and Tokyo, Japan, that develops software for the XR business and produces blockchain content, has launched a virtual sneaker as an NFT.
1Block is Japan’s first 3DCG-based digital fashion label.
The label offers integrated production that combines digital fashion, digital content development, and digital marketing strategy planning using the latest technologies such as 3DCG and Blockchain.
We will collaborate with various creators and media in the future.
Twitter CEO’s first tweet
Jack Dorsey sold his first tweet as NFT for over $2.9 million.
The tweet “just set up twttr” was first posted by Dorsey on March 21, 2006.

Twitter and Square CEO JackDorsey sold the first tweet as an NFT or non-alternative token for more than $2.9 million on Monday when bidding closed on the “Valuables” platform operated by Cent, a blockchain-based social media network. 

 NFT Art Marketplace Listings 

Here is a list of marketplaces where you can buy and sell NFTs. We’ll take a look at what makes each one special!

  • OpenSea
  • LooksRare
  • MagicEden
  • Foundation
  • Rariable

 OpenSea 

OpenSea is the largest NFT marketplace in the industry.
OpenSea recorded a record transaction volume of nearly $5 billion in January 2022.
Pieces listed on the website include art, virtual world materials, trading cards, domain names, collectibles, sports, and utility tokens.
The platform indexes art from other NFT marketplaces, so at the time of writing there is an extensive collection of over 1 million art listings.
All items are priced at ETH, with some available at specific prices and others at auction.
Any artist can apply to list their digital art on OpenSea, but submissions typically must go through a team review process before being approved for full public trading on the platform.
Artists may also define royalty parameters for their work.
In any case, OpenSea, an Ethereum-based marketplace, has a broad overall lead in the NFT market, with transaction volume worth approximately $2.19 billion over the past 30 days, per DappRadar.

 LooksRare 

The platform called LooksRare has gained great hype on social media platforms.
Two unidentified founders using the pseudonyms “Zodd” and “Guts” launched the platform in January 2022, with an 11-member team working to develop the project.LookRare’s goal was to unseat OpenSea from its number one position in the NFT market The
With attractive features for users and a daily volume of over $394 million, it aims to be a competitor to OpenSea.
LookRare is a decentralized, community-first NFT marketplace that actively rewards traders, token stackers, creators, and collectors who participate in the platform.
Most appealingly, LookRare is the community’s first NFT marketplace that rewards participation, and to earn rewards, you must buy (or sell) NFTs.
In addition, transaction fees are 20% lower than OpenSea.

MagicEden 

MagicEden is a new NFT marketplace using the Solana virtual currency.
According to data from analytics firm DappRadar, Magic Eden generated approximately $461 million worth of NFT transaction volume over the past 30 days, compared to just $12 million for Solanart, the next highest Solana marketplace.
NFTs can represent digital artwork and media, but they can also foster community.
MagicEden has already increased its monthly transactions to 4.64 million in the past 30 days, compared to OpenSea’s 2.28 million.
To further expand the scope of its products and services, MagicEden has raised $27 million in a Series A funding round.
The company said it will use the funding to build its gaming industry and launch an NFT mobile application for viewing, creating, and transacting NFTs on the go.
In February of this year, MagicEden announced the launch of a DAO or decentralized autonomous organization called MagicDAO, which will allow users holding Magic Ticket NFTs to have a say in the future of the market.

 Foundation 

Foundation is a platform aimed at building a new creative economy.
NFT creators must obtain an invitation code to create an NFT, and invitations can only be sent to members who have already sold at least one NFT on the platform.
Collectors can bid on auctions without restrictions; Foundation users need a Web 3.0 wallet, such as Metamask, to trade on the platform.
The Foundation is built for the Ethereum (ETH) blockchain and all NFTs are managed in Ethereum.

 Rarible 

Rariable, along with OpenSea, is one of the largest market presses in the world.
On Rarible, all items are priced at ETH and available for “Buy Now” or auction.
However, to get the most out of Rarible as an artist, you must apply for and obtain a verified badge from the team.
The approval process usually takes less than a week to complete, and you must provide proof that your work is original.
In addition, artists must share links to their social media channels.
It is also worth noting that Rarible offers royalty rewards of up to 10%.

 NFTアートについてまとめ 

How was it?
The key points of this article can be summarized as follows 
The merit of NFT art is that it has a unique value that cannot be tampered with and can be sold or purchased by anyone
NFT art has the potential to soar in value in the future
Recommended marketplaces for selling NFT art include OpenSea, LooksRareMagicEden, Foundation, and Rariable.
The recommended marketplace is OpenSea, so you can open an account here.

OpenSea official website