Would you believe us if we told you the most expensive piece of NFT art had a price tag of almost $70 million? Well, that’s what luxury goods auction house Christie’s got for artist Beeble’s “Everydays: The First 5000 Days” in January 2021.
Admittedly, only the wealthiest collectors are getting in on those kinds of sales. Thankfully, there are cheaper—and, arguably, no less interesting—NFT artworks out there waiting for newbie collectors to snap them up.
Are you looking for new ways to diversify your investment portfolio? Perhaps you have a little extra money to play with. Or maybe you just absolutely love digital art.
No matter why NFTs pique your interest, you need to educate yourself before sinking money into this emerging art form. Read on to learn about the steps you should take.
1. Research NFT Art Broadly
Don’t know the answer to the question, “What is NFT art?” You’d better find out before investing money into this rapidly growing asset class.
Here’s the quick answer: NTF stands for Non-Fungible Token. When paired with digitally created artwork, they act as an artist’s signature, proof of authenticity, and proof of ownership for the collector. The big difference with traditional art is that you need to purchase NFT art using cryptocurrency.
Another thing you need to know about NFT art (or art in general, admittedly) is identifying how rare something is. While no NFT is made the same, some have extra goodies, like:
- Unique features
- Limited editions
- Unlockable content
This makes them rarer than the rest, impacting their value now and in the future.
2. Learn About the Artists You Like
There’s an adage in art collecting: buy what you like. It’s sound advice, but to understand what you do, indeed, like, you need to educate yourself on art and artists.
Before buying NFT art (even a cheap piece), research the artists making this type of artwork. NFT artworks come in the form of:
- Short films
- Digital collages
- Digital photographs
The list goes on… Since pretty much anything can be digitized today, physical paintings, sculptures, and even performance art can also become NFT art.
What kind of art forms, subject matters, or colors do you gravitate toward? After you define your preferences, find out who is making art like that. Learn more about their aesthetic motivations, production output, and, of course, what prices their art sells for.
3. Check if the Art Is Authentic
Buying NFT art randomly is almost guaranteed to get you in trouble.
As we demonstrated in the introduction of this article, there’s lots of money to be made in NFT art. So just like in the real-life art world, fakes and rip-offs abound.
NFT scams are increasingly common. The market is pretty much brand new, after all. Plus, the blockchain is foreign territory to a lot of us.
How to spot a fake when everything’s digital? You should:
- Verify the artist’s identity
- Examine the NFT website for scammy language
- Cross-check the smart contract address
- Do a reverse image search to check for duplicates
Finally, check where the artist is selling their work. Do they have a verified profile on a reputable NFT marketplace or platform?
4. Choose a Reputable NFT Platform
NFT art is sold through a marketplace.
You can consider it the online version of an auction house like Christie’s or Sotheby’s or an internet sales platform like Amazon. In some cases, NFT artworks are auctioned to the highest bidder; other times, they have a fixed price.
So another way to avoid getting ripped off is by ensuring the platform you buy art from is legit.
Play it safe by sticking to the most popular platforms, like OpenSea and Rarible. Some crypto exchanges, like Binance, also sell NFTs. You can use the same strategies listed in the section above to confirm the platform’s authenticity.
If reading about what to look out for isn’t helping, check here for an example of a reputable NFT art platform.
5. Set Your Budget
NFT platforms are exciting places. At the click of a button, you can be the proud owner of a one-of-a-kind digital artwork made by your favorite artist.
In other words, you can easily get carried away and spend way more money than you intended.
Before signing onto a platform, review your budget and see how much you can afford to spend on NFT art. Then, do your very best to stick to it—even if that means writing your monthly limit on a sticky note or setting a pop-up reminder on your phone.
6. Dig Deep Into the Terms and Conditions
Smart contracts regulate who owns any given NFT. But sellers also have their own terms and conditions.
These regulate things like what creative rights are retained by the artist (if any), how the new owner can use the NFT they’ve acquired, royalty payments, alteration rights, and more.
A link to these T&Cs should be included by the marketplace the NFT is listed on. If in doubt, contact the seller or the marketplace customer service team before buying.
7. Engage With Other NFT Enthusiasts
If you’re sure NFT art is where you want to invest a lot of your time and money, start connecting with NFT communities. There, you can connect with artists and other collectors.
Nerd out on how NFTs are created, get first dibs on the newest released from your favorite artists, avoid the latest scams, and troubleshoot technical issues.
Build Your NFT Art Collection the Right Way
In the NFT art world, pixels reign supreme. A digitalized art world is a daunting space for traditional art collectors. That gives you, the newbie collector, an advantage.
Follow these eight tips, and you’ll be navigating the ever-shifting realm of NFT art with confidence in no time. Do your research, embrace authenticity, set a budget, and engage with the community. And don’t forget to secure your hard-won NFTs in a digital fortress fit for a techno-king or queen.
If you’re looking for more exciting tips, tricks, and general news, dig into our other articles. We publish new content often!
Ahead of the Broadway Opening of Lempicka The Longacre Theatre Is Showcasing Art Work By Tamara de Lempicka
The Longacre Theatre (220 W 48th St.), soon-to-be home of the sweeping new musical, Lempicka, is showcasing a curated selection of renowned artist Tamara de Lempicka’s most famous works. Eschewing traditional theatrical front-of-house advertising, the Longacre’s façade now boasts prints, creating a museum-quality exhibition right in the heart of Times Square. The musical opens on Broadway on April 14, 2024 at the same venue.
The Longacre’s outdoor exhibition includes works of Self Portrait (Tamara in a Green Bugatti) (1929), Young Girl in Green (1927), Nu Adossé I (1925), The Red Tunic (1927), The Blue Scarf (1930), The Green Turban (1930), Portrait of Marjorie Ferry (1932), Portrait of Ira P. (1930), Portrait of Romana de la Salle (1928), and Adam and Eve (1932).
Starring Eden Espinosa and directed by Tony Award winner Rachel Chavkin, Lempicka features book, lyrics, and original concept by Carson Kreitzer, book and music by Matt Gould, and choreography by Raja Feather Kelly.
Spanning decades of political and personal turmoil and told through a thrilling, pop-infused score, Lempicka boldly explores the contradictions of a world in crisis, a woman ahead of her era, and an artist whose time has finally come.
Young Girl in Green painted by Tamara de Lempicka (1927). Oil on plywood.