Selling and distributing art has always been a pain in the ass, but blockchain offers a potential solution with NFTs – which stands for Non-Fungible Token. Imagine being able to sell your piece of work, which can be everything that you can bring into the digital space, immediately and worldwide with 100% proof of who created it, who bought and therefore owns it, and built-in mechanics to collect royalties if it is resold. That is the concept behind NFTs.
How does it work?
A blockchain is a list of transactions. When you create an NFT, you summon a token that represents your work in the digital space. This token has a smart contract attached. A smart contract is just a fancy term for a code (a programme) that handles the sales and ownership. If someone buys the work, ownership is transferred (as if you would buy a painting). But the blockchain will forever show that you are the creator. Suppose the new owner decides to sell it again. In that case, the smart contract will automatically send a % of the resell price – defined in the smart contract – to you. No intermediaries needed.
Is it really that easy to use NFTs?
Honestly, not yet. NFTs are slowly drifting into the mainstream, and everyone who gets on board now can be considered an early adopter. Not super early, but still. If you want to use them now, you need to be a little bit tech-savvy and interested in how these things work.
At the moment, NFTs are priced and bought in cryptocurrency. This will likely remain the status quo for a while. But with the rise of NFTs, there will be apps and service providers that will make it easy for everyone to enter the NFT space.
I suggest you get on-board immediately, but I understand if you want to watch the space first. Just don’t sleep on it and miss a potential opportunity that could unleash your work. Early adopters are always the ones who profited most when “their” tech goes mainstream.
My experiences with NFTs
I tried it and created my own NFT. As I can’t record a more significant dance piece right now, I went with a comic that speaks to the crypto-community. I am not a painter myself, so I commissioned the piece. Setting up the contract was a matter of 30 minutes, but I already had a crypto-wallet ready for use.
Until now, I did not run into any issues technically. I am currently promoting the piece on Twitter around crypto-folks and hope someone buys it.
It cost me around 0,17 ETH (which is EUR 230 at the moment of this writing), including the artwork itself and the fees to set up the smart contract.
As my intent is not selling but getting my head around how it works, I priced the token relatively high for what it offers. If someone buys – nice, if not – I have a token that predicts the future of cryptocurrency, created in 2021 – before the whole world started talking about NFTs.
In case you are interested, here is my NFT “A Taste of Things To Come.”