The Beginner’s Guide to Coinbase NFT
This article covers an introduction to a new NFT platform, Coinbase NFT, and an overview of navigating through the NFT space for beginners.
Coinbase announced on October 12, 2021 that the waitlist to use their new NFT platform, Coinbase NFT, is open for people to join.
Coinbase NFT is a peer to peer marketplace that allows users to mint, purchase, showcase, and discover NFTs on different blockchains. On launch, Coinbase will only support Ethereum based NFTs that follow the ERC-721 and ERC-1155 standards, but will allow multi chain support in the near future.
This waitlist allows new users early access to one of the biggest NFT marketplaces that will compete with current NFT platforms like OpenSea, Rarible, and Binance NFT.
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What Are NFTs?
Non Fungible Tokens represent a unique digital asset on a blockchain. These digital assets are created by Blockchain developers who write code in a smart contract to create NFTs.
The smart contract code is executed by the blockchain which creates the NFTs that people collect. People collect NFTs for unique reasons and we’ve seen a lot of successes, and a fair share of failures.
You can collect NFT art generated from AI and algorithms, cool NFTs that can be used as profile pictures in social media, and even generic list of words. Different kinds of use cases are still being discovered for NFTs today.
How Many NFT Projects Are There?
Blockchains can contain an infinite amount of NFT projects. Blockchains are decentralized in nature so anyone that has an understanding of how to code will be able to create NFTs. This is both good and bad.
It is good because it unlocks a new kind of creative medium for people. This NFT is just a generic list of words, but actually provides value to its holder by adding additional utility on top of the NFT. An example in Cryptoodles is that this Toodle Loot Bag NFT allows people to access exclusive NFTs within the project, earn digital credits passively that’s used within blockchain games, all while new features are being built within the Toodle Loot Bags.
However, not all NFT projects have the right intention. Learning to protect yourself, and making educated purchases around NFTs with your hard earned Crypto will help your wallet last longer in the NFT space.
Cryptoodles will release a separate Medium article outlining ways you can protect yourself in the NFT space. Be sure to follow us on Twitter, join our Discord, or sign up to be notified for when we publish new Medium articles! In the mean time, check out this simple guide to research NFTs and tokens:
What Are the Different Ways I can Get NFTs?
The main ways to get NFTs today include buying for a set price, buying from other people in secondary markets, and minting for free. It all depends on how the blockchain developer coded the NFT’s smart contract.
Buying for a set price means that the developer is including an extra fee for when you pay to receive their NFT.
Buying from other people in secondary markets is the traditional way people receive NFTs. In this method, you would use an NFT platform like OpenSea or Coinbase NFT to purchase the NFT from another person that owns it.
Minting for free means that the developer does not charge you an extra fee, but you will still pay a gas fee to cover the price of having the blockchain create the NFT for you.
If you’d like to try minting a free mint project, check out this step by step guide to minting a Toodle Loot Bag NFT for free:
What Kind of NFTs Do Beginner’s Collect?
Beginners focus on collecting NFTs that they are visually attracted to. Beginners look at an NFT, and if the art produced by someone has caught your attention, they simply buy the NFT to support the artwork produced.
Intermediate NFT collectors not only focuses on the visual aspects of an NFT, but also look to collect ones that provide additional features. This is referred to as the utility of an NFT. It could be that the NFT unlocks access to certain locked content within that NFT community.
In the case of Cryptoodles, minting a free Toodle Loot $BAG NFT will give you access to additional NFTs only accessible through holding the $BAG NFT. This additional utility allows you to build a growing NFT portfolio at a minimal cost.
Intermediate and Advanced NFT collectors will also surround themselves with influencers in the NFT space. These influencers attend NFT meetups, and NFT art shows with celebrities, with the hopes of buying a unique NFT from well known NFT creators.
Advanced NFT collectors analyze buy and sell volume, the floor and ceiling price levels in secondary markets, as well as “famous” wallets of NFT collectors who are collecting specific NFTs. A well known NFT analysis tool is icy.tools:
A rule of thumb is to NOT rush your way into being an Intermediate and Advanced NFT collector. You will learn a lot of lessons about the NFT industry as a beginner that will benefit you in the long run. If you rush into being an Intermediate or even an Advanced NFT collector, you may not have enough in your wallet to make it far in the NFT space.
There is no shame in being called a beginner in the NFT industry, we are all still early in this space.
It is recommended to join a community of NFT collectors so that you can grow and learn alongside that community. Join the Cryptoodles Discord here to get started in collecting NFTs.
Which NFT is a Good Starting Point for Beginners?
Beginners should start with free mint projects that unlock extra features to help provide utility and grow your NFT portfolio. Instead of buying an NFT simply for the art, also look for NFTs that unlock additional features within a project whose dev team will stick around in the long run.
We recommend Toodle Loot $BAG NFT as the first NFT for beginner’s because it is a low cost, free mint project that unlocks additional features in the Cryptoodles community, and provides utility to your NFT portfolio by giving you access to more free NFTs over time.
The dev team is also dedicated to ensuring Toodle Loot $BAG succeeds in the long run.There will only ever be 10,000 Toodle Loot $BAGs available, so owning a Toodle Loot $BAG now is the best time to add it onto your Coinbase NFT portfolio.
You can find the instructions here to mint Toodle Loot $BAG using Coinbase NFT, or use the instructions here to mint Toodle Loot $BAG directly from the official smart contract.
Cryptoodles will be releasing Medium articles on guides around NFTs for beginners. The next article will be around a Beginner’s Guide to NFT Security. Be sure to join the Cryptoodles Discord to join our community of NFT analysts!
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