How To Buy NFTs in Nigeria
Non-fungible tokens (NFTs) are the new craze worldwide as people talk about the gains that they have made from selling NFTs, while others discuss how this new asset class and technology may revolutionize the Internet.
Regardless of why you are interested in NFTs, everyone in 2022 seems to be buying an NFT. This article will explore how you can purchase an NFT in Nigeria.
What is an NFT?
Before NFTs, tokens were usually fungible. For instance, you could replace a gold bar with another gold bar of equal weight: same way, 1 ETH can be replaced with 1 ETH. Non-fungible tokens, on the other hand, are unique and limited in quantity.
NFTs can represent unique artwork, collectibles, data, and memorabilia. Recently, gaming characters, digital identities, and certificates are also being minted as NFTs.
Non-fungible tokens have become popular for several reasons. Some investors are excited by the technology and its potential for the future. There is also a crowd of investors attracted to various works of art by the beauty of the artwork, just like art collectors spend millions of dollars on traditional art.
More advanced use cases are being developed for NFTs, which has led to more buyers lining up to purchase every drop. For instance, owning certain NFTs would give you access to exclusive content or special spaces on the internet. Finally, the popularity of NFTs as PFP (profile pictures) has also created a new wave of digital identification and community participation online.
NFTs like Bored Ape Yacht Club, Crypto Punks, and World of Women are some of the most popular non-fungible token projects. For instance, some Bored Ape NFTs are worth 100 ETH (worth $257,577 as of 31st January 2022).
People who bought popular NFTs early became wealthy for their purchases at the start of the new trend. New NFT projects are being released every day as more people try to cash in on or adopt the new use case for blockchain technology.
Steps Involved In Purchasing An NFT In Nigeria
There are several steps involved in buying an NFT in Nigeria. Users who have experience purchasing cryptocurrencies already can skip parts of this section, while users who are completely new to crypto should read through every step.
Here is a summary of what you need to to buy NFTs in Nigeria:
- Get a wallet - For instance, MetaMask or Trust Wallet.
- Buy crypto to load the wallet - Buy Ethereum from AAX exchange.
- Find an NFT marketplace - For instance Open Sea or LooksRare.
- Purchase an NFT - For instance, Bored Ape Yacht Club, Crypto Punks, Cool Cats, Cat Bricks Clubhouse.
1. Get a Wallet
NFTs are special tokens, as we have already discussed, so you will need special wallets to keep them. Some regular wallets don't display NFTs, and some are not compatible with NFT marketplaces (platforms where NFTs are bought and sold).
The wallet you choose depends on the blockchain or network you are purchasing the NFT on. For this article, we will buy an NFT on the Ethereum blockchain.
For Ethereum NFTs, you will need to get a wallet like MetaMask or Trust Wallet (or any other wallet with the Wallet Connect function).
After downloading the wallet, create a new wallet or import an existing wallet to move on to the next step.
2. Buy Crypto
Surprise, surprise, NFTs come at a cost. Depending on the NFT you want to buy, you may need a couple of hundred dollars or thousands of fiat. To fund your wallet, you will have to find an exchange to purchase Ethereum on.
AAX Exchange lets you buy cryptocurrencies like Bitcoin, Ethereum, USDT, and Binance Coin from anywhere in the world with your bank card. Create an account on AAX.com, verify your identity, and purchase ETH.
Next, copy your wallet address from your MetaMask or Trust Wallet and send your funds to it. You are now another step closer to buying your first NFT.
3. Find an NFT Marketplace
The next step involves finding a platform to purchase your NFT. There are several places to trade non-fungible tokens.
The most popular of the options is OpenSea, the world's largest NFT marketplace. OpenSea has the largest trading volume and an extensive range of NFTs to choose from. Most new projects launch on the marketplace, and those that don't, quickly list items on the platform. However, OpenSea has come under some criticism lately and usually has a high gas cost.
Other alternatives include Rarible, Nifty Gateway, SuperRare, Foundation, and LookRare. Some of these alternatives are preferred by some buyers because they only sell exclusive NFTs or reward users who actively trade NFTs.
4. Purchase an NFT
After you select a marketplace, it is time to buy your first NFT in Nigeria. For this example, we will use OpenSea.
Visit the marketplace and connect your wallet.
A pop-up will appear, prompting you to connect your wallet. Finish that step so you can use the marketplace.
Next, you can browse through the various NFTs to select the NFT you want to purchase. For instance, if you want to buy a Crypto Punk, you can check out the collection to choose from different artwork and prices.
Click on the NFT you want to purchase and click on Buy Now. A pop-up will show a summary of your order, including the cost of the NFT and the transaction cost (all transactions on the Ethereum network happen at a cost).
You will have to wait for the transaction to be confirmed for the NFT to show up in your wallet. It may take a while, but it will eventually show.
Congratulations, you just purchased an NFT.
A Nascent NFT Industry
The NFT space is still young despite the hype and adoption. This means that several projects are popping up regularly that may only exist to benefit from the hype without providing real utility.
What's more, some malicious actors sell copycat or knock-off versions of popular NFTs to confuse newbies. Always do your own research and verify that you are purchasing the right NFT from the original collection.
With NFTs set to add more utility, the sector is expected to grow as major brands like Addidas and Nike develop ways to leverage the new technology.
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