11/29/21
This guide is intented to educate the reader as to how to purchase Cardano non-fungible tokens (CNFTs). This information, graphics, and explanation was taken directly from @SteeleTrading on Twitter with their kind permission.
Why CNFTs?
There are a few reasons why CNFTs are currently undervalued. First, the CNFT space is young and rapidly developing. Defi and smart contract Dapps are just beginning to launch. To see growth potential we can compare Bluechip ADA NFTs to ETH NFTs.
This poses much opportunity for people looking to get into the space early. NFT market places on Ethereum and Solana are quite saturated, hence purchasing undervalued NFTs on Cardano may be quite profitable.
Second, Cardano's blockchain is also cost-efficient compared to Ethereum. Cardano operates with negligible fees so you can invest more of your funds into projects and less into gas. A transaction that might cost anywhere between $50-$400 on Ethereum will never cost more than $.10-$1 on Cardano.
The last and potentially most important reason the Cardano NFT space is set to take off is the community. Cardano has an insanely interactive and passionate community. Other chains are full of toxicity which makes Cardano a breath of fresh air.
Step 1 - Link Personal Wallet with NFT Marketplace
Once you've added funds to your wallet (the transaction can take a while when coming from an exchange), you're ready to start interacting with the eco-system! As of now, the most popular NFT marketplace is http://CNFT.io. Navigate here to begin creating your account.
For account creation, you will be required to link your wallet. To do this, they will ask you to send a random amount of ADA to a given address. This is normal as Yoroi and most Dapps are not yet ready for Wallet/Dapp integration.
Step 2 - Purchase CNFTs!
Once your wallet is linked you're ready to start buying NFTs. This can we overwhelming as there is a massive amount of projects, not all of which will return the same level of value. For good long-term holds, look to the current blue-chip projects as shown below.
Now obviously, not everyone can afford to jump into the top and buy a blue-chip, so there are a number of things to look for when trying to find undervalued projects. To find projects that are set to launch in the near future check out http://nextcnft.com
Once you find a project you like, the most obvious and sometimes best option is to just sweep the floor. Buy the lowest asset listed for the project. These are usually the easiest to liquidate too. You can also use http://cnft.tools to find traits you like as shown below
Cardano also has projects working on Metaverse worlds that have a ton of potential. @SteeleTrading's personal favorite is @CornucopiasGame which has an extremely experienced team and a very detailed roadmap. This game will be a game-changer for this space.
So now you know the basics of how to buy and sell assets within the Cardano eco-system!
Big shout out to all the amazing projects mentioned here...