Crypto 101: how to start investing

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Considering its well-known fluctuations, cryptocurrency is booming, and many traders are hoping to cash in on the trend. Savvy investors are also speculating on cryptocurrency for years. So,.it is time for you to discover more about Crypto 101, and act safe in the trading environment.

1. Crypto 101: What is cryptocurrency?

Cryptocurrency, also referred to as "crypto," refers to any decentralized, digital money based on encryption. To understand that, you must realize that there are the so-called flat currencies such as:

• Dollar;
• Euro;
• Yen, and other ones.

Decentralized means that, differently from these, cryptocurrency is not controlled by an institution or other central authority – for example: a government or bank.

Despite some cases, the value of most crypto is neither credited to a fiat currency such as the mentioned above, nor by a precious metal such as silver or gold.

Even though some people refer to crypto in tangible terms (such as coins), crypto is created and distributed digitally. The majority of cryptocurrency transactions is stored on a blockchain network, which is a kind of digital ledger.

With the debut of Bitcoin in 2009, the usage of distributed ledgers as the basis for cryptocurrencies had begun.

2. Crypto 101: How does cryptocurrency work?

Virtual currencies are established on a blockchain. This is a decentralized public ledger that contains the values and is up to date by currency bearers.

Mining requires using computational power to resolve complicated math calculations in order to earn coins. Users may also buy the coins from traders, something that they can then keep in encrypted wallets.

If you own bitcoin, you don't own anything tangible. You have a key that allows you to move data or a reference from one user to another without the use of a trusted third party.

3. Crypto 101: What is blockchain?

Blockchain technology became extensively employed as the basic foundation for most sorts of crypto in 2009. Since an interesting application of blockchain allowed the successful operation of Bitcoin. As a result, many people mistake blockchain for bitcoin, despite the fact that blockchain technology has several applications.

Blockchain is essentially an append-only ledger that may be used to track or record almost any type of asset. For instance, products, services, trademarks, smart contracts, and more.

This is possible due to the fact that the system is made up of blocks of data that are linked chronologically (thus the term blockchain). All operations are visible to anyone on the group, and blockchain records are theoretically unchangeable.

In blockchain technology, cryptography is used to protect information. In the case of many types of cryptocurrencies, mine coins, and tokens. A blockchain is made up of nodes, which are decentralized computers that allow consensus (peer-to-peer) validation, allowing for fast and reliable transactions. The validation can happen by different methods: proof of work and proof of stake.

Both proofs of stake and proof of work are two different validation methods and they reward verifiers. Adding bitcoin before transactions are added to the blockchain. To verify transactions, most cryptocurrencies employ these methods of validation. Each computer, referred to as a "miner," solves a problem.

It assists in the verification of a block of transactions, which is then incorporated into the blockchain ledger. The rush to solve blockchain challenges might consume a lot of hardware performance and power.

Proof of work is a way of certifying activities on a blockchain by giving computers a mathematical equation to solve. Every prospector computer solves an equation to help with the certifying of a transaction, which is then put to the blockchain. The race to tackle blockchain problems might use a lot of computing power. Miners may be capable of breaking even with the coin they are mining after factoring in the price of power and computer resources.

4. Crypto 101: What is crypto mining?

Crypto mining is a process of launching bitcoin units into the market as a result for transaction confirmation. While it is an alternative that the average person practice bitcoin mining, this process is getting increasingly difficult with proof-of-work systems. 

It is important to remember that processing Proof of Work bitcoin consumes a lot of electric energy, which is not truly a sustainable activity. According to studies, bitcoin farming consumes at least 0.21 % of the world's power.

Also, according to specialists, most Bitcoin miners spend 60% to 80% percent of their revenue on power.

While mining cryptocurrency under a proof of work system is impossible for the average person, the proof of stake approach does not.

5. Crypto 101: What are crypto exchanges?

Trading crypto on a traditional market is almost difficult, apart from new crypto-based securities. That is why some individuals seek a crypto exchange. Currently, there are some different crypto exchanges: hybrid, centralized and decentralized.

Whilst centralized platforms are now the most common way to trade cryptocurrencies, decentralized exchanges are becoming more popular. It is, however, critical to understanding the differences between the three so that you can select the best solution for you.

A centralized marketplace is a platform that allows users to buy and sell cryptos with the help of a third party. You may trade crypto as well as regular or fiat money like the dollar.

Decentralized exchanges (DEX) are more in line with the soul of cryptocurrency. Since they permit crypto traders to negotiate in a straight line with one another without the need of a middleman. Because there is no central platform that may be hacked, a DEX may be more secure in principle.

Hybrid exchanges are less known in comparison to the concepts of decentralized or even centralized exchanges. They strive to mix the best of both ideas, for instance, the fluidness of a centralized exchange with the protection and discretion of DEX.

6. Are Crypto legit?

Stick to the facts rather than the hype when you are thinking of investing in cryptocurrency. In the market, there is a lot of excitement.

Before you acquire or trade digital money, educate yourself on the risks. So you can evaluate whether or not it's a worthwhile option for you and your money. Almost every government and financial authority in the world has warned investors about the risks of investing in cryptocurrencies.

When an investment surfaces in headlines or via advertising and promotion as a way to make money, investors rush in without understanding the risks. One of bitcoin's distinctive traits is its tremendous volatility. You may make big money, or you could lose it all.

Cryptocurrencies companies may be embellishing the amount of money that can be made by dealing with cryptocurrency simultaneously downplaying the risks.

While the government almost always protects bank deposits, this is not always true with bitcoin investments. If a crypto exchange goes bankrupt, there's no guarantee you will receive your money back.

7. Where to find trustful crypto 101 alerts?

When dealing with crypto markets, one of the main factors to consider is timing. Crypto coin alerts, which arrive as an instant message on your mobile, are one of the greatest cryptocurrency trading tools. Fat Pig Signals offer alerts to its clients. There are a few different sorts of alerts that might help you get an advantage.

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Crypto alerts: how to trust them

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If you add crypto alerts to your trading game, you can become a smarter, faster trader. These alerts send you in-depth info on the market volume and prices for the assets you are investing so that you can earn the best profit out of them.

But if the cryptocurrency market is as volatile as they say, how can you trust a crypto alert to give you the best advice when trading? Of course, there is no magical formula. Large price fluctuations happen daily in the virtual economy and they are, indeed, a risk for your investments.

However, crypto alerts provide you the necessary tools to track prices and better analyze the market. At the very least, it will allow you to react faster to buy or sell a cryptocurrency, avoiding big losses and also making valuable profit. If you still do not trust crypto alerts, keep reading to find out why you should give them a chance.

What are crypto alerts?

Crypto alerts are trading notifications that tell you the price of an action, the technical conditions and even economic results related to the value of a cryptocurrency you are interested in. It is an easier way to keep track of a cryptocurrency activity in the market.

Those alerts are usually divided into three different kinds:

• Price alerts, which are notifications that follow a crypto move in the market in relation to a specific percentage of investment or as points of movement;
• Technical indicators that tell you when certain parameters are met, such as the stochastic oscillator or RSI (relative strength index;
• And economic result alerts notify you of the most relevant economic events, like interest rate announcements and central bank meetings, that are on the way, which can be helpful when planning your trading strategies and market decisions.

Crypto alerts, however, are no guarantee of a successful trade, since they work as a guess on the market movement, not necessarily a prediction. So, before making any decisions about your assets, you should take under consideration those alerts and add up to your own personal research, carefully analyzing the data, and then decide if it is a good opportunity for your profit goals.

Why are crypto alerts so relevant?

Numerous factors make crypto alerts so relevant on a traders journey. First of all, it is a good way to manage your investments and the time you spend on them, both trading and researching. Especially if you own several different investments, it is important to keep track of the potential losses each asset offers you. With crypto alerts on, that task can be easily done.

When trading, it is necessary to try and predict the potential prices of cryptos. Along with the price changes, you can get alerts about potential new prices and coin entrants, which makes your predictions for trading operations somewhat more accurate.

It also helps you protect yourself from unforeseen losses due to drastic price changes. The crypto alerts will warn you about the potential threats your investments are suffering so that you do not lose the money and time you invested while trading.

The alerts also allow you to keep track of the profits you make from your investments, since they notify you of every profit and loss you have.

Last but not least, by activating crypto alerts, you can become a successful trader in an easier way. Since trading requires a quick reaction to the market volatility, you can use these alerts to make both fast and smart decisions, turning you into a more competitive player on the market.

How to set crypto alerts?

Today, there are several different groups of crypto price alerts that you can find online. Usually, they are either issued by the cryptocurrency exchange itself (like Coinbase), or as an independent service you can hire to receive the notifications. Most of the big exchange networks offer this notification system in a user-friendly way, both for your internet browser and as a separate app for your cell phone.

If you want to set the alerts on your network exchange, it is very simple, you just need to follow these 5 steps:

1. Log in to your trading platform of choice;
2. Select the item ‘alerts’ on the menu;
3. Decide what the parameters for your notifications are, based on your cryptos of choice and trading goals;
4. Set up the alert or alerts;
5. Decide whether you want to open, edit or close your market position once the alert is triggered.

How to get crypto alerts?

Although it is common to get crypto alerts from the crypto exchange itself, it is natural for traders to seek a second opinion on the market moves. For that, you can sign up to a crypto signal service.

By joining a crypto signal platform you will receive the latest updates on the cryptocurrency world, charts analyses, tips on which crypto to buy, sell or trade and all the alerts on market moves and on market moves and crypto trends.

These signals are sent by professional, experienced traders who research the crypto market day and night so you do not have to do all the heavy work - and some of them even offer these signals for free.

By combining the alerts from your exchange platform to the crypto signals from your platform of choice and your individual research, you could get a better grasp on the cryptocurrency market trends, which coin is more likely to increase your profits and what investment moves you should avoid for a while.

The best way to get free crypto alerts

As mentioned, the best way to get free crypto alerts is by joining a good crypto signals platform, which gives you the best of both worlds when it comes to digital market analyzes.

Today, one of the best crypto alerts platforms available is Fat Pig. Their alerts are sent daily by professional traders with over 15 years of trading experience through a Telegram group chat. Their alerts offer daily market analyzes, the toppest cryptocurrencies of the day and a personal input of your own trading strategy, allowing you to evolve your trader game with some personal advice. The more information you get, the better your trading game will be.

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What Does It Mean to Burn Crypto?

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If you’re still new to crypto trading, there is still a lot for you to learn. That being said, if you follow the crypto market regularly, you must have heard of a term called crypto burning.

But what does it actually mean? This article will give you a detailed explanation of what it means to burn crypto and how it affects crypto trading.

What is Coin Burning?

The process of intentionally sending cryptocurrency to an unusable wallet address is called coin or crypto burning. It removes the coin from circulation permanently. Now the real question is, why would anyone want to burn coins that are so difficult to mine in the first place?

One thing is for sure; it is not an act that people would do for the heck of it. Burning coins would essentially mean wasting precious money.

Generally, coins are burnt by developers to increase the demand by reducing supply. This spikes the price of crypto, which earns crypto holders massive profits. It is a simple yet effective strategy that gives investors an edge in trading. However, the burning process does not always give you guaranteed results. For some, crypto burning is an entirely pointless process that has little or no benefit to offer.

Even still, developers burn coins every now and then. Why do they do so? There are mainly two reasons for it. These are:

• To deceive investors. Many developers claim to burn crypto when, in fact, they are sending the coins to a wallet that they can control. If you don’t want to be deceived by such tactics, it is essential to do your homework when investing. You can also stick to safer options when investing in crypto where burning isn’t involved.
• To hide whales. Whales are people who hold a significant number of tokens and have the power to control the price of the cryptocurrency. For instance, if a developer launched 1 billion tokens and burned 600 million while keeping 100 million for themselves, they are left with 400 million tokens. It would seem like the developer holds 10% of the total shares to the investors, but in reality, they now have a 25% share, much larger than the former percentage.

How Did Crypto Burning Start?

Crypto burning is not a new concept. If you are into the stocks market, you should know the concept of a stock buyback. If you don’t, here is a detailed explanation for you:

In a stock buyback, the company that launched the stocks repurchases the shares at market price. As a result, the company gains more shares which ultimately reduces the supply of the stocks for investors. While there are a few differences between coin burning and stock buyback, the underlying concept for both remains the same.

As for how crypto burning started, in 2017, developers burned many coins to boost the price by reducing supply. Initially, crypto burning started with Binance Coin, Bitcoin Cash, and Stellar. Newer cryptocurrencies have also adopted this practice as well. It is more common in cryptocurrencies that are launched in massive numbers.

The key tactic is to launch crypto tokens in trillions with little monetary value. The low price immediately attracts investors, and when a significant number of people have invested, the developers start burning the token. Burning leads to an artificial increase in the price, which ultimately benefits both developers and investors.

Blockchain and Proof of Burn

Blockchain is a consensus algorithm that keeps a record of all the transactions of cryptocurrencies. It confirms the transactions and keeps the network secure. Proof of work (PoW) and proof of stake (PoS) are two of the most widely used blockchains. But there is a new blockchain called proof of burn that can be used as an alternative.

Proof of burn is also a way of validating transactions and preventing fraud. Using this blockchain algorithm, users have to burn the same tokens they need to mine. The more tokens are burnt, the more tokens can be mined. The same cryptocurrency that needs to be mined is mainly burned, but in some proof of burn blockchains, you can also have the right to burn other cryptocurrencies.

A significant advantage of proof of burn blockchain is that it does not have extreme energy requirements like the proof of work model. Moreover, this model is effective and more efficient in allowing only valid transactions to go through.

Which Coins Can Be Burnt?

Any cryptocurrency sent to a burn address can be burnt. The crypto burning is not limited to certain types of cryptocurrencies. But if you want real-life examples of cryptocurrencies, there is a long list you can go through. Here are the top few:

1. Binance: In 2017, the Binance Coin initiated quarterly burns of the cryptocurrency. The crypto trading company will continue holding these quarterly burns until 50 percent of the coin supply is burnt and removed from circulation.
2. Stellar: In 2019, Stellar burnt around 50 billion XLM tokens which were more than half of the supply. This was done to spike the prices of the coin.
3. Shiba Inu: In 2021, the developers of Shiba Inu gave almost half the supply of the coins to Ethereum’s co-founder, Vitalik Buterin. Buterin burnt almost 90 percent of the supply and donated the remaining 10 percent.

Conclusion

Crypto burning is an intelligent strategy for boosting the price of coins and tokens in the crypto trading market. However, it is essential to burn the coins at the right time for getting the best results, or it could yield zero results, and you would just be wasting precious money. Once sent to a burn address, there is no way to retrieve the eliminated digital money. It is entirely removed from the circulation once and for all. But when used right, it can earn heaps of profits to both developers and investors.

Since the proof of burn algorithm’s requirement isn’t energy-intensive, it is also a great option to consider if you’re concerned about the environment and the excessive energy consumption of the proof of work model.

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Crypto signals: how to discover bullish patterns

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Crypto signals will most likely be your best friend when entering the digital currency world. By using them, you are more prone to achieve the best out of your investments, dodging from the biggest risks of the process of cryptocurrency trade: substantial losses, corruption scams and the unpredictable bullish patterns – are they good or bad for your trading strategy? How can they enhance your cryptocurrency game?

Crypto signals, of course, are not the answer to every single one of your questions, but they will certainly respond to most of them! In the following article, learn everything there is to know about crypto signals, how to deal with bullish patterns and what is the platform for to you to join.

What are crypto signals?

Crypto signals are trading tips sent from professional traders to help you deal with your virtual investments. They are based on numerous factors, such as news, technical analysis, market climate and even world ongoing events. These cryptocurrency signals tell you when to buy or sell a certain crypto at a given price and time.

With a reliable signals service, a trader can find the path to developing a good investment strategy and finally achieve valuable profit.

The biggest benefit of a cryptocurrency signal service is that they offer substantial data about trading. With their professional insights, you can handle your assets in an easier, more effective way.

Through those signals, even a newbie in the trading world can learn how to set investment targets, stop losses and when to enter and exit a trade in order to achieve maximum profit. Signals are, basically, a more in-depth kind of information than any other you could find online or via random analysis on social media.

Are cryptocurrencies legit?

Cryptocurrencies are a legit form of investment, especially after the burst the digital market had during the last few years. Today, even though the regular stock market tends to be a safer option, several investors around the world choose to allocate their assets on cryptocurrencies due it’s higher profit return.

Looking at a historical standard, cryptocurrencies tend to be riskier than traditional investments, but its growth potential is unlikely to go away anytime soon.

Bitcoin, for instance, aims to replace the one and only gold when it comes to value, and Ethereum is looking forward to disrupt the entire economic industry, completely transforming the financial services as we know.

That, however, does not minimize the risks offered by investing in the cryptocurrency world. At the end of the day, you should be careful with your trades and constantly study the crypto market – that, combined with crypto signals, should lead you to success and minimize your losses.

What are bullish patterns?

Bullish patterns are a way to signal the reversal of price movement in the cryptocurrency market. They are a way to indicate traders to consider joining a long position in the market to make profit from the upward trajectory that is coming next.

This pattern forms two different lows almost at the same price level. Their volume reflects the weakening of a pressure that comes from below that will most likely diminish as it forms, picking up a little during each low, but less on the second one.

In order to use bullish patterns in your favor, it is important that you learn how to actually read those patterns – and the easier way to do it is by analyzing candlestick charts.

They go by the name of candlesticks because of their rectangular shape and long lines that are usually formed by a price action during a specific period of time. Candlesticks also give you hints to price your trades, telling you the mood of the market in regards to a certain asset. With time, several candlesticks form patterns that will signal traders and help with their decisions. See? It is all about signals in the trading gaming.

There are hundreds of different candlestick patterns to indicate a bullish price in motion, but here are the Top 5 you should know about:

• Bullish Engulfing candle
• Bullish Hammer
• Piercing Line
• Three White Soldiers
• Rising Three Methods

Of course, each trader has its perks and preferences when it comes to strategizing the trading process. These 5, however, are the easiest ones for you to use, and they will help any trader trying to join the cryptocurrency market.

The best spot to look for crypto signals

A good way to avoid bullish patterns is by using crypto signals in your favor and developing the best trading strategy to your personal goals. For that, it is necessary to join a good crypto signals service, that will offer you not only the information you need, but also the security and safety you need to transform knowledge into profit.

Today, one of the best crypto signals on the market is the Fat Pig Services. Their community stands on reliable, trust-worthy professionals with over 10 years of experience in the market. By joining their Telegram group, you will receive daily market analyses, updates on the top cryptocurrencies available today and financial tips on what you should personally do with your assets, making it a personal experience for each member.

More than just telling you what to do, the Fat Pig team will teach you everything there is to know on cryptocurrencies so that you make the best out of your personal assets.

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The 2 Key Price Indicators Every Crypto Trader Should Know

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Keeping up with the ever-changing chart patterns in crypto trading is essential if you want to have the edge over other traders. But there aren’t any indicators that fit all markets perfectly. You want to stay on the right side of the trends and stay alert as the trend changes.

So, how can you do that when there is no specific key price indicator that tells you how the trends change? A simple solution would be to use a combination of different price indicators. But using too many indicators can have the opposite effect and adversely influence your decisions.

To avoid such situations, you should stick to using only a few types of key indicators so you can make decisions consistently. Pro traders tend to use only a few indicators to analyze price charts, especially in crypto trading.

But then again, there aren’t any dead set rules that bind you to use specific indicators. However, this article will discuss the key price indicators that have proved to be the most useful to crypto traders.

Key Price Indicators for Crypto Trading

Here are two key price indicators that every crypto trader should know:

Moving Averages

Unlike other key price indicators that forecast trends, moving averages give delayed information after the price has already moved in a particular direction. It is the main reason why moving averages are sometimes referred to as lagging indicators.

Generally, moving averages are used in a time frame of 20, 50, and 200 periods. These periods are considered the most favorable by most traders. However, moving averages of 5 and 10 periods are also used by short-term traders. But it is important to note here that these short-term periods move around frequently, making them unreliable and unsuitable for all traders.

Moving averages are divided into four main categories. These are:

1. Simple moving averages
2. Exponential moving averages
3. Smoothed moving averages
4. Weighted moving averages

Out of all the four types, simple and exponential moving averages are the most widely used. In the case of simple moving averages, equal weightage is given to all the price data. That’s why simple moving averages react slowly to fluctuating prices. Generally, simple moving averages are used to analyze trends over longer periods as the price does not change quickly.

On the other hand, exponential moving averages tend to react relatively faster than simple moving averages. In this case, more weightage is given to more recent price data, which leads to more immediate results. The exponential moving averages are preferred for short-term periods of 10 and 20 because of how fast they react to the price fluctuations.

Relative Strength Index

If you want to regularly capture all the price changes, you should use a relative strength index, also known as RSI. The RSI is a momentum key price indicator that acts as an oscillator. It ranges between the values of 0 to 100.

To understand how the trends are changing, a value falling below 30 is termed “oversold.” On the contrary, a value that goes over 70 is termed “overbought.” Ideally, a relative strength index should only be used in range-bound markets. During the trending phase, RSI can give false signals, leading to bad decisions.

So, if they tend to give false signals, why should you use them, even in range-bound markets? It’s because, in range-bound markets, the prices do not deviate from average trends for extended periods.

The most widely used time frame for the relative strength index is the 14-period. But if you are a long-term trader, you may use 21 and even 30 periods RSI. On the other hand, short-term traders prefer to use 5 and 7 period RSI.

The relative strength index is perfect for letting traders know when a trend reversal is about to take place. This helps traders make wise decisions instead of buying or selling crypto in haste when things go out of hand.

Example of a Range-Bound Market in Crypto Trading

In range-bound markets, the moving averages do not deviate in either direction (up or down) for a prolonged period. It is difficult to spot changes in the price because there is no specific direction the trends move toward.

A prominent example of a range-bound market is Bitcoin, when it remained stuck in one place from August 1^st, 2020, till October 20^th, 2020. The moving averages remained flat during this timeframe. However, on October 21^st, 2020, the price skyrocketed and went above the range, pushing the RSI into the overbought region.

There is no way to tell how long the trend will remain regarding downward trends in the crypto market. Unlike upward trends, downward trends are difficult to follow. They might end up creating a bearish market or swiftly move after seeing a sharp decline in prices.

One of the most prominent signs of trend reversals is when the RSI stays at the lower tops even when the price of crypto increases. But then again, there is no dead-set rule that would say that this indication will always lead to bearish markets. However, if you use a combination of price actions with such indications, you can avoid disastrous outcomes in the long haul.

Conclusion

Out of all the key price indicators in the crypto trading market, moving averages and relative strength index or RSI are the two leading indicators you can’t overlook. They both help in identifying changes in the prices over specific intervals. Of course, not every indication you see will be foolproof.

Reading and analyzing the charts comes with experience. If you are a beginner, you should use these two indicators. If they don’t seem favorable to you, you can experiment with other key price indicators. However, there is a high chance that you’ll find both these indicators to be helpful when identifying bull and bear markets. Remember, the more you practice using these two indicators, the better you will get at reading trends in general.

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Minting Your First NFT - A Beginner’s Guide to Creating an NFT

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NFTs are taking the crypto trading market by storm and revolutionizing the industry by enabling users to sell any tangible or non-tangible asset on the internet. Whether it’s a unique avatar, a rare virtual baseball trading card, artwork, or even your high school poem, you can trade it using your preferred blockchain, including Ethereum, Solana, Cardano, and Tezos, to name a few. However, before you can do that, you need to learn how to create a non-fungible token.

In this post, we’ll cover the basics of NFTs and share the steps to minting your first one on different platforms so you can start earning from it.

What Are Non-Fungible Tokens?

A non-fungible token (NFT) is a cryptographic asset created with the same kind of blockchain-based programming used to build Bitcoin, Ethereum, and other currencies. However, the key difference is that NFTs are non-interchangeable units of data with unique identification codes and metadata – hence, the term “non-fungible.”

Simply put, non-fungible tokens store data. This data could be:

• Game objects/avatars/skins
• Web 2 databases
• Access codes
• GIFs
• Collectible
• Identity
• Location
• Redeemable
• Art and music
• Real estate
• Historical artifacts, etc.

In contrast, cryptocurrencies store monetary value, which can be used to purchase goods and services. In most cases, NFT files aren't actually stored on blockchains. Instead, users store the link to the file’s location.

How to Create a Non-Fungible Token

Now that you’re up to speed with non-fungible tokens, here’s a step-by-step guide to creating your first NFT:

1. Determine If You Want to Store Or Sell Your NFT

If you’re new to crypto trading, you need to decide whether you want to simply secure your digital files in a blockchain or sell your NFT. Most NFT platforms charge a transaction fee for trading NFTs so you’ll need to be proactive in deciding what you’re going to do with your creation.

Secondly, you should know that most NFT platforms run on the Ethereum blockchain, which uses an energy-intensive operating model. Simply put, if you intend to sell your NFT, you are using a system with a massive carbon footprint. The good news is that there are blockchains that consume less energy. However, they might not be as popular or as profitable as Ethereum.

2. Decide On Your NFT Concept

Next, you need to decide what you'll be storing inside your NFT. Are you looking to store audio clips of your music, tickets to an exclusive event in the future, a rare or limited edition comic book, sketches, and paintings, or your Axie Infinity Axies? Whatever you’re planning to store, it should have a certain level of perceived value to your target audience.

3. Pick A Platform

Most people believe you need to be incredibly tech-savvy to get into crypto trading. While this can help, it’s not necessarily a mandatory prerequisite. Plus, if you don’t have coding skills or an IT background, non-fungible tokens are an excellent alternative to cryptocurrency mining and trading.

However, creating and selling NFTs is a reasonably complex process, so we recommend opting for a beginner-friendly platform. Popular options include:

§ OpenSea

OpenSea is the world's largest NFT marketplace headquartered in New York City. It's an Ethereum and Polygon-based platform for buying, selling, and auctioning multiple types of NFTs, especially artwork. You can upload or "mint" your file into your profile and list it on the platform. However, since it works on the Ethereum blockchain (partially), you have to pay high service fees or "gas."

§ Rarible

Rarible is an Ethererum, Flow, and Tezos-based NFT platform popular for creating and trading NFTs containing books, movies, music, and digital art. It’s among the only platforms allowing users to take a sneak peek of users’ creations to build trust before transactions.

§ Holaplex

Holaplex is an NFT platform built by creators for creators. The Solana-based platform also allows users to discover, explore, and collect NFTs related to digital art and content. It is more cost-effective compared to OpenSea.

4. Pick A Compatible Wallet

Next, you need to invest in a place to store your NFTs safely. This is where a crypt wallet comes in. Popular options include Spire, Temple Wallet, Galleon, Umami, and Kukai Wallet, to name a few. However, you need to ensure that the wallet you pick is compatible with your platform.

5. Spread the Word and Build Your Community

Before you create your NFT and put it up for sale, you need to connect with your target audience and build your community on social media channels like Twitter, Facebook, YouTube, and Discord. You can also join crypto forums, especially those related to crypto gaming. You can also share samples of your artwork and content to attract potential buyers.

6. Create Your Art, Music, Or Content

Next, you need to create and finalize your value offerings. Whether it’s a painting, in-game character, or music, take your time to ensure the best results. Once you’re done, pick a file type for your content according to your platform’s compatibility. For instance, OpenSea accepts PNG, MP4, JPG, MP3, WAV, GTLF, OGG, etc. Secondly, make sure it’s no more than 100 MB in size.

7. Mint And Share Your NFT

To mint your first NFT, look for the create button on your preferred platform. Next, upload your creation in the supported format. Once you’ve created it, you can share the link on your social media accounts. To sell your NFT, you’ll either put it up for auction or sell it for a fixed price. Your NFT will then be listed on your platform.

Conclusion

From our simple guide on how to create a non-fungible token, you might have understood that creating your first NFT would take some trial and error. However, once you get through the process, it'll become easier from then onwards. So, what are you waiting for? Check out the best NFT platforms in the market today and sell your digital creations and assets for huge returns.  

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