Making the Most of Your NFT
Before getting into anything complicated, join your collection’s community if you haven’t. Back in the day, community was what made the NFT world go round — all of these utilities didn’t exist, you’d only want to enter the strongest communities with the coolest people & best alpha. However, most NFT collections nowadays offer some sort of utility — we’ll go through a broad overview of different benefits different collections can get you.
Community & DAO
You should already be in the Discord server (from the research phase in article 1). Now it’s time to show off your NFT, and get to know your new brothers & sisters! The best NFT communities are strong — by strong I mean loyal, caring and dependable. We’ve seen so many people comforted by their communities during tough times, it’s really admirable.
DAOs (Decentralized Autonomous Organizations) could be the future of all voting & governance structures. They allow certain people access to information, voting, and more. Most NFTs give you access to a DAO where you can vote on certain aspects of the project’s future and get even closer to the community and project founders. The could also be DAO-only events, games, etc… [shoutout MonkeDAO, Solana’s first community-owned and operated NFT DAO]
To do this, you’ll most likely need to use Grape Protocol, Matrica Labs or a similar service and connect your wallet to your Discord account. That way, either Grape or Matrica will be able to see that you hold x NFT in your wallet, and give you access to the DAO channels and other hidden channels.
We’re seeing a growing number of NFTs that are part of P2E games. Find your where your collection is in the development of the game, and check if you can already play a Beta version. In a later article we’ll go through some Solana NFT projects that have games that are already up and running. Shoutout to Cyrii & $COPE for creating the first-ever pay-to-play game on Solana!
An example of a more recent Solana NFT gaming project is BR1 Metaverse, a battle royal first person shooter.
Some NFT collections give you access to certain services, websites & information that you will not be able to access without the NFT. Some of these services include snipe bots, wallet dashboards & discounts on marketplaces. We’ll also be going through these in more depth in future articles — there’s a ton of value on Solana, all you need to do is look in the right places. One example is the Solluminati Navigator tool that helps you snipe NFTs based on rarity and price.
Staking & Tokens
Several collections now have a staking feature where you can lock your NFT to receive tokens. There are different staking mechanisms: for some you’ll need to lock your NFT for a set time, for others it’s flexible, and for a few you just need to hold your NFT in your wallet to receive the tokens. Here’s an example with the Famous Fox Federation, where you can stake your fox for $FOXY.
Other collections give you token allocation or the ability to participate in an IDO, without staking. There will be a series on Staking & Tokens and the different collections that provide them.
Remember when we mentioned cycles & trends in NFT collections? Well the metaverse cycle was one of the most hyped, and we saw so many (some may even say too many) metaverse projects. Of course, there are differences in these as well. Some give you access to a room or space, others act as galleries, while some are whole worlds. All of these are still in development, so it’s very important to do your own research before investing. Moduluc is leveraging Unreal Engine 4 to build a very realistic metaverse, shown below.
Revenue-Sharing & Royalties
The last collection types we’ll go over in this article are the revenue-sharing and royalty-sharing NFT collections. Revenue-sharing collections are essentially companies that offer a product or service, and the NFT sale is kind of like a funding round to get the business going. NFT holders receive a percentage of profits from the product or service offered. Monkelabs is one example of a revenue-sharing business plan where NFT holders receive 50% of launchpad profits.
Royalty-sharing collections give a percentage of trading royalties to the NFT holders. Every time you buy an NFT on a secondary marketplace, a percentage of the sale goes to a pool which is then split between NFT holders. The first Solana NFT project to do this was the Meerkat Millionaire Country Club, where 100% of secondary sale royalties are given back to holders.
Now you know how to do your own research, buy your first NFT, and engage with the NFT collection! You’re ready to dive deeper into more technical topics, project overviews & analysis, and op-ed pieces. We’ll try to print out 3 articles a week for starters, and go from there. We hope you enjoyed this introduction to NFTs on Solana!
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