Can You Still Make Money With NFTs?

Believe it or not, the world of NFTs is still highly lucrative and there are ways to make a living off them. NFTs can be just an investment on the side or a large passion project to build your empire.

There are four main ways to make money with NFTs:

- Flipping

- Holding for long term

- Running a project as an independent artist

- Collaborating on a project

NFTs have grown popular over the last few years due to their lucrative nature. There are many ways you can make money with the technology.

Flipping NFTs

The most popular way to do this is by flipping NFTs.

This is when you scout NFT platforms such as telegram and twitter for projects that may be valuable.

You will then either secure a whitelist spot or purchase the NFT as soon at is minted for the cheapest price possible. As the project becomes more popular and the demand for these NFTs increase, you can chose to resell them for a higher price than you paid. This is normally done very quickly during the hype phase of a project. For example, you could purchase an NFT for $10 as soon as it is minted, then as demand for that NFT increases and someone may be willing to pay you $60 for it a few hours later.

However, this method is very risky and time consuming. You put all your time into researching and project and getting whitelisted in the hopes that hype with drive up the price. This is never guaranteed and can leave you stuck with an unwanted NFT or selling at a loss. The entire process relies on speculation, risk and timing.

Those who flip NFTs generally also have no regard for the success of the project and often undercut others trying to do the same thing, driving the price of a project to the ground. This leads not only the project to fail, but the possibility of selling for profit even smaller.

This is partly why other investors chose to hold long-term. By finding a project will less hype, the market is less volatile and they may be in with a better chance of success.

Holding for long term

popular strategy in the stock market is to find companies that are actually undervalued. This means there is not a lot of hype around the company and their stock is very cheap, but their business model is good and they are set to make a profit in the future.

The same can be done with good NFT projects with valuable utility. The idea behind this strategy is to find undervalued NFT projects which are set to provide value in the long term. This means projects with a good roadmap and a solid team can sell you their NFT for cheap. If the team successfully fulfils their roadmap and provides value to their community, there is a possibility the monetary value of their NFT will also increase.

However, this method requires a lot of patience and research into the creators. It’s better to invest in projects you genuinely believe in and will enjoy being around. After all, this process can take years while the team work on adding value to their community. Again, make sure you don’t invest money you can’t afford to lose or will need when investing as NFTs are not very liquid and cannot be easily sold if you need emergency funds.

Running a project as an independent artist

Alternatively, you can chose to be on the other side of the space and run your own NFT project.

This may be a better choice for you if you have a talent you want to share with the world. It will also help you build a profitable portfolio to showcase your work.

You could create a brand around your name as an artist and sell your NFTs using the name. This may be better than traditional methods of selling art since you will have full control of the sale and can earn royalties from secondary sales.

However, you will be responsible for all the marketing, engagement and sourcing fans to support your work. You will also need good understanding of blockchain, NFTs and project management in order to be successful. If this sounds like something you could manage, then maybe this method may be for you.

Collaborating on a project

If this sounds like too much for you to handle, you could chose to collaborate with others on a project. This way the workload is split between multiple people all with different skills and passions.

As part of a team, your strength will add something to the project while others fill in the gaps that you can’t quite do yourself.

However, being in a team means you must be able to communicate effectively, trust the people you are working with and work together to bring the project to success.

Conclusion

Before getting into NFTs, you need to set your expectations so they balance with reality.

It is very unlikely that NFTs will have you rolling in gold bars by the end of the month. Although there have been cases where people have made millions through NFTs, it’s very rare. Its best to keep these success stories for motivation and focus of playing it smart.

As with all investing, you should only invest money that you are happy to lose. You should also set realistic expectations as to how much you expect to make and understand that this is never guaranteed.

If you want to know if you will get rich with NFTs, the real question you should be asking is “are NFTs a good investment?”

You will also need to consider which method of investment is suitable for you. Are you mainly interested in making money from NFTs? You may be better off flipping NFTs. Are you looking to build a portfolio for your career as a photographer? You may benefit from running your own project as an independent artist.

If you are interested in making lots of money, I wouldn’t recommend running an NFT project.

Why? Because 99% of NFT projects don’t succeed. The NFT space is moving away from hype-based projects and looking towards a future where innovation and utility hold up the NFT market. This means projects who are focused on how “unique” and “collectable” an NFT is are unlikely to receive much traction, suggesting the money spent building the project will have been wasted.

If you are interested in building your own NFT project, you will need more extrinsic motivation and a purpose that it outside your own personal wants. For example, we at Biker Babes NFT are focused on building Web 3 projects and charity contribution through our NFT project. Our goal is that our utility will see our project through and lead to a community bigger than the confines of investing culture.

You can check out our roadmap and join our discord to be part of the ride. We are also on on Medium, Twitter, Instagram or YouTube. There is no obligation to join in, but feel free to start a conversation and get to know us.