Welcome to our first installment of our NFTs for Witches Crypto Witch Club Guide.

Welcome back Witches! Here is the first segment of our NFTs 4 Witches FREE Mini Guide. We’ll cover all the basics you need to know to get into the wonderful world of NFTs. Learn how to purchase your first NFT, understand what ⛽️ gas fees ⛽️ do, and harness the power of NFTs for creators. (Whoo!) Can’t wait for Part 2? We hear ya! Download our full NFTs 4 Witches Mini Guide now on our website.

Ready to go? Let’s get started below!

THE BREAKDOWN

NFT stands for non-fungible tokens. An NFT is not a cryptocurrency, but — like cryptocurrencies — uses blockchain technology to assign ownership to digital and physical items. NFTs carry unique identifiers, allowing the tokenizing of real-world items through smart contracts. This facilitates the ability to buy, sell, and trade NFTs. Smart contracts built into an NFT’s code also allows for royalties to be executed. Ethereum is the most popular blockchain to run NFTs, but NFTs can be developed on other blockchains such as: Polygon, Binance Smart Chain (BSC) Avalanche (AVAX), and VeChain (VET), among others.

What COULD be an NFT?

Any digital asset that can represent a real-world object can technically be turned into an NFT.

This includes:

Music
Restaurant + Hotel reservations
Experiences
Your passport
Merchandise
Real estate

So, what does digital ownership mean for consumers?

Opportunity for self-custody of digital goods
Proof of undisputed ownership
Ability to resell digital assets for profit

What does digital ownership mean for creators, artists, and musicians?

Lifetime royalty rates
Ownership and control over creative content
connections with your community
No need to lose profits through a central sales platform

How blockchain plays a part in NFTs …

Digital ownership is made possible because of blockchain technology. To understand digital ownership, you must understand what blockchain is, and how it relates to cryptocurrencies and NFTs

What’s blockchain?

A blockchain is a growing list of records (known as blocks). Each block contains information and together forms a chain that cannot be altered or corrupted

There is not just one blockchain, there are many networks, and each operates slightly differently.

Imagine blockchain as train tracks. These train tracks are the foundation on which and NFTs and cryptocurrencies (the trains) run on. The blockchain provides security (through cryptography) and infrastructure that keeps the trains — NFTs and cryptocurrency — safe, without needing to be governed by a central figure or bank.

INVESTING IN NFTS

You don’t have to be creating NFTs (non-fungible tokens) to be involved in the NFT ecosystem. You can invest in projects you believe in + artists you like. You can also invest in collectibles and assets you can utilize (and sell later) such as fashion, land, and music. Investors in the NFT space make money through selling NFTs they mint on a secondary market. (Think of it as ebay.) Investors can also receive royalties every time the NFT is re-sold in the future.

Good places to start exploring the markets?

HOW TO FIND QUALITY NFT PROJECTS

Begin by browsing the markets and researching the projects that interest you the most. For projects already released, check the stats:

Is there a strong community and founding team?
Check the project’s roadmap — usually found on their website — and don’t forget to scope out their social media channels, like Discord, and see what the community engagement is like. (Bots don’t count boo.)
How many of the collection has been sold + the number of owners
Is the project sold out?
Are there any notable owners that hold NFTs from the collection?
What’s the current activity and sales volume? (You’ll want to see active movement and increasing volume in the project)

BUYING YOUR FIRST NFT

Step 1: Once you’re on the exchange you want to purchase from, connect your wallet! For NFTs that run on the Ethereum blockchain (most common) you can use MetaMask, COINBASE (wallet), Trust Wallet or another wallet that is compatible with ERC-20 tokens

Step 2: You’ll need to hold enough of the needed crypto in your wallet to cover both the cost of the NFT AND the gas fee. To check gas fees for ETH, log onto Etherscan’s gas tracker. Not enough in your wallet to cover purchase? Transfer more into your wallet or wait until gas fees lower

Step 3: Tap the purchase button and congrats! 🍾 You’ll get a final popup to confirm the total cost of NFT + gas fee. Once you confirm, you’ll receive a link with details of the transaction for your records

This post is for NFTs projects that have already been released and are available on public marketplaces. For projects yet to be minted, stay tuned for NFTs for Creators