NFTinformer
NFTs (non-fungible tokens) were introduced on the Ethereum blockchain in 2017, using smart contracts for ease of use. While NFT market regulations are still getting ironed out, it’s not difficult to buy your first digital collectible now. Here is your guide on how to buy NFTs!
1. Choose Your NFT Marketplace
Various NFT platforms exist, and it’s a good idea to check them out thoroughly and buy an NFT that interests you. The best-known marketplaces are:
In addition, sites like ENS (Ethereum Name Service) allow users on the Ethereum blockchain to put “human” names on their crypto wallet addresses. This process is a game-changer because it will enable users to transfer funds more efficiently.
2. Are You Using Cryptocurrency or a Credit Card?
After you decide on marketplaces, follow their steps to create your account. Most marketplaces will recommend a wallet compatible with the blockchain, for instance, a web browser wallet like Metamask to hold Ether (ETH) cryptocurrency.
While most marketplaces accept ETH, some use their own tokens too. So ensure you have the correct tokens (and sufficient tokens to buy NFTs, including any associated fees).
One notable marketplace, NBA Top Shot, uses its own Dapper wallet that allows you to buy with cryptocurrency or either Visa or Mastercard credit or debit cards.
3. Connect Your Payment Method to the Marketplace
Depending on what a marketplace accepts for payment (ETH, specific tokens, or credit/debit card), you will connect your crypto wallet or set up your credit or debit card information. Again this step is easily explained in each marketplace.
4. How to Buy NFTs
Once you’ve connected your payment method to a marketplace, you can buy your first NFT.
Many marketplaces use an auction format (either English or Dutch style), so an NFT will either sell to the highest bidder or go unsold if the reserve price isn’t met.
You may need to submit an initial bid for an NFT, with all bids noted to determine a ceiling price for the item. This price keeps lowering at specific intervals until the NFT gets sold.
Let’s take a closer look at the buying process:
Choose According to Your Interests
Have you ever bought clothes on a whim and hated them when you got home? It’s a good idea not to do that when buying NFTs!
Each NFT marketplace will list its sales online, so take your time looking through categories that appeal to you as a collector.
It’s also wise to consider NFTs as investments, so look for more rare items and follow NFT creators on Twitter. Then, when you find out about new collections, you may be able to buy an NFT early, and you’ll benefit if the NFT goes viral.
Buying an NFT that goes viral can be financially promising, especially if the NFT remains popular and has longevity. The idea here is to purchase NFTs for a higher return in the future.
Placing Your Bid
Each NFT will have its own listing page with specific details on reserve price (if any), an auction time limit, and the accepted cryptocurrency.
There should be a prominent “Make Offer” button you press, then enter your bid in crypto.
Complete Your Transaction
If you’re the highest bidder when the auction ends and your offer meets the reserve price (if any), you’ve won that NFT, and the sale gets completed automatically.
Even if the scheduled auction is still running, the seller may accept your offer if you’re the highest bidder.
Buying an NFT on OpenSea
OpenSea is known for being one of the largest and most popular NFT marketplaces, so let’s use it as an example of how to buy an NFT.
Things to note: OpenSea uses Ether (ETH), and we’re using MetaMask on Google Chrome for a crypto wallet. Let’s get started!
Setting up Crypto Wallet
- Download Install MetaMask for Chrome
- Add MetaMask to your Chrome extensions
- Click Get Started
- Click Create a Wallet
- You will get prompted to Create Password
- You will reveal the Secret Backup Phrase and click All Done
Getting Ether Cryptocurrency
As MetaMask uses Ether (ETH), you’ll need to buy it from them using your credit or debit card.
However, if you’ve used ETH before in another crypto wallet, you can transfer it to MetaMask through the “Withdraw” page in your other wallet.
Get Your OpenSea Account and Connect Your Wallet
- Create your OpenSea account by clicking on My Profile → Sign in
- You will receive specific instructions to set up your account, and then click on Get MetaMask
- Your will receive specific prompts to connect your wallet to OpenSea
Buy Your OpenSea NFT
On OpenSea, you browse through all available NFTs, and you can either participate in auctions or buy NFTs at fixed prices.
Here’s the difference:
Fixed Prices
After selecting your NFT, make sure to review the details on value, how rare and collectible it is, and specific properties. Once you’re satisfied, click “Buy Now.” Your checkout window will appear, and all you need to do is fill in your wallet details and click “Confirm.”
Auction
Some NFT sellers prefer auctions to boost excitement and hopefully get higher prices. When you want to buy an NFT at auction, make sure you’ve reviewed all the details, and click on the “Make An Offer” button.
A prompt will ask you to review your bid before proceeding. Check your cryptocurrency and enter your offer amount and expiration date. Wait to see if the seller accepts your offer, and good luck to you.
Congrats on Your NFT Purchase
Now you know more about how to buy NFTs!
Buying your first NFT is a memorable moment, and if you enjoy digital collecting, it will hopefully be the first of many. Just remember to do your homework because it can bring you a higher return in the long run.
