The art world has flipped upside in a matter of months. Crypto art is the hottest topic right now, capturing headlines and even an SNL sketch with Pete Davidson and Jack Harlow. Skeptics are writing the phenomenon off as a fad. The mainstream media is struggling to catch up after just learning what a Bitcoin is, while the artist and resellers are raking in millions of dollars worth of crypto in the process.
We are going to break down everything you need to know about crypto art and what is fueling the madness, NFTs.
What is Crypto Art?
Any type of digital file can be sold as crypto art; this includes images, GIFs, videos, and audio files. These pieces don’t have to be related to cryptocurrency; although many are, they do need to be verified as originals on the blockchain.
In the same way that an original painting is verified by an appraiser and documented, blockchain technology allows digital artists to essentially do the same thing. The documentation, in this case, is digital and can be verified and resold.
When a piece of crypto art is purchased, the new owner is transferred the documentation known as an NFT.
WTF is an NFT?
An NFT or non-fungible token is a digital ledger that verifies proof of ownership of a digital item built on the Ethereum blockchain. NFT’s aren’t exclusively associated with art, but that is what has created all the hype.
Twitter founder Jack Dorsey recently sold the NFT for his first tweet, from 2006, for just South of 3 million dollars. NFTs are also used to buy and sell digital sports cards.
Why Would Someone Buy an NFT?
We aren’t quite sure why someone would buy the NFT for Jack Dorsey’s original tweet or a Grimes video of a bunch of flying baby angels for over $300,000. But most people didn’t understand Bitcoin when it was worth only pennies a decade ago.
(Side note, Nifty, the most popular crypto art trading platform, is constantly crashing due to the insane amount of people on their server.)
The fact that digital artists can verify their original work with an NFT and profit is entirely understandable. Most of the art sold on Nifty and Rarible features incredible artists who haven’t really had a way to sell their originals directly to consumers.
Crypto Art Breaks Down Limitations for Digital Art
Before NFTs gave artists the means to sell their original digital files, they were restricted to licensing, getting hired by a company, or selling a print to profit off their work. The ability to sell digital artwork with no other purpose than being visually appealing opens the door for artists to create what they want. There wasn’t a multi-million dollar opportunity to sell a GIF of Donald Trump dead, naked, and covered in graffiti before NFTs. Now that artists can sell their originals, the digital art world will reach places we never thought possible.
An artist already pushing the medium forward is French immersive artist Anna Zhilyaeva. Her piece Danaë seems like an ode to a traditional Greek painting of the goddess of rain showered in bitcoin. When the video plays, it comes to life and shows her creating the piece with a VR headset, capturing the inspiration and providing the user with a unique insight into the creator.
The internet had already changed the world of art, but NFTs will give the artists the ability to truly unleash their potential. We couldn’t be more excited to see what will be created in the years to come.
How to Make Money Off Crypto Art
Crypto art provides several opportunities to make a digital buck. If you are an established artist with a massive following and feel your talent is suppressed, crypto art could be a life-changing opportunity.
Anyone can upload their art to a crypto art platform. The two most popular are Nifty and Rarable. You will need a crypto wallet and some Ethereum to get going. Create an account, link your crypto wallet, upload a file, and buy an NFT linked to the file. There is a gas fee to generate the token; they are running about $50 at the time of writing this article. Artists can modify how many copies they want to sell and even their royalties on each sale.
Established artists like Anna Zhilyaeva and Beeple (the guy who sold the dead Trump Gif for millions) are killing it. But they were already successful artists. NFTs have given them the ability to sell their original works for unbelievable amounts.
If you have had success buying and selling crypto, this may be another way to profit off the blockchain. Resellers are flipping NFTs making vast sums of money in the process.
Buyer Beware
Like Bitcoin, this is a volatile marketplace that is leaving newcomers penny-less on the daily. While the potential to make huge gains is possible, hard work is required. It is much more likely you will lose money if you don’t put in the work and figure out the market.
Like what we have to say? Sign up to subscribe to email alerts and you’ll never miss a post.
