How to Buy an NFT
Understanding NFTs
The basics
The first step to buying NFTs is to understand the difference between a non-fungible token and a cryptocurrency, as well as the different types of NFTs.
Non-fungible tokens, (unique digital assets on the blockchain), are unlike cryptocurrencies in the sense that if you trade one token for another, for example bitcoin, you'll have exactly the same thing because bitcoin is "fungible".
There are many types of NFTs: art, music, photography, video game items, tickets to events, avatars and profile pictures, domain names, trading cards and tons of other digital items. Thanks to blockchain technology, NFTs can provide utility both in the metaverse and in the real world, with access to special features or even real estate.
What is the hype about?
NFTs and associated memes are trending. But why?
Interest in the blockchain network and its decentralized nature has soared in the past years. Social media, the quality artwork produced by creators and digital artists for their digital collectibles and the sense of community within the ecosystem play a huge part in the popularity of NFTs, and the NFT market's growth.
Some noteworthy events also participated in the NFT boom: in 2021, NFT sales volume surged to over $2.5 billion; Beeple sold a digital collage for a record-breaking $69 million; Jack Dorsey, former CEO of Twitter, sold an NFT of his first Tweet for $2.9 million; A four-bedroom house in Tampa, Florida, was sold as an NFT in early 2022, the buyer paid 210 ethers to acquire the rights to the house, which were stored in an NFT on the ethereum network. The list goes on.
Ready to buy NFTs?
NFT Marketplaces
To buy NFTs, you'll need to go to an NFT marketplace, an online marketplace where you can find, explore, buy, trade and sell NFTs. You'll be able to purchase digital art, discover NFT projects such as Cryptopunks, Bored Ape Yacht Club, Megapont, the Guests and more.
The marketplace you choose depends on the type of NFT you are looking to buy as well as the blockchain ecosystem you're looking to join. If you're looking for NBA collectibles, head over to NBA Top Shot. If you're looking for a game-oriented NFT marketplace, head over to Axie Infinity, where the assets of the online gaming platform can be minted, sold and bought.
If you're looking for digital artwork and profile picture collections, consider other popular NFT marketplaces such as OpenSea, Rarible, Nifty Gateway or Superrare on the Ethereum blockchain (ETH), Magic Eden and Solanart on the Solana blockchain, Aavegotchi on Polygon, and Gamma on Stacks, a blockchain layer built on Bitcoin, the must trusted blockchain.
Get started
First, you'll need a digital wallet and cryptocurrencies. Some NFT marketplaces accept debit and credit cards payments, but the majority will require a cryptocurrency wallet.
A crypto wallet is where you store your cryptocurrencies and digital assets. Popular wallets include Metamask, Coinbase, Gemini, Electrum and many others. At Gamma, we accept Leather Wallet and Xverse, both compatible with Stacks. Note that different wallets enable access to different NFT marketplaces and smart contracts, therefore different NFT collections. As an example, a Metamask wallet or a Coinbase wallet allows you to access ETH dApps, a Temple wallet allows you to access Tezos dApps and a Leather wallet allows you to engage with Bitcoin dApps built with Stacks.
If you don't have any cryptocurrencies, you will need to exchange your fiat (currencies such as dollars, euro etc) for cryptocurrencies (such as bitcoin, ether, stacks). You can head over to a crypto exchange platform such as Binance or Coinbase.
When you have cryptocurrencies and a crypto wallet compatible with the NFT marketplace you'd like to use, you can get started!
Buy Bitcoin NFTs
Bitcoin is the most trusted blockchain. Stacks is a settlement layer built on Bitcoin, enabling smart contracts secured by Bitcoin.
Gamma is the largest NFT marketplaces on Stacks. Our user-first marketplace makes buying and selling NFTs as easy as shopping on Amazon or eBay.
Once you've completed the cryptocurrency exchanges process and created your digital wallet, head over to the Gamma marketplace. Connect a supported digital wallet browser extension to Gamma and allow usage of your wallet's cryptocurrency for the purchase of an NFT.
While we have no explicit affiliation with Leather, we recommend using the Leather wallet extension for the best experience. You can download the Leather wallet at Leather.io/install-extension. You can find more information on how to purchase STX (Stacks) in this blog post.
Once your crypto wallet is connected, you can start exploring the NFT art and collections available on Gamma. You can buy an NFT at a fixed price on the secondary marketplace, make an offer on a collection or individual NFT, place a bid on an auction, mint new NFTs and more !
We've put this together this helpful guide in learning some of the ways you can protect yourself as a user, screen for high quality projects and avoid scams, but you should always perform your own research before purchasing any NFT for any amount of money.
As a buyer, the price listed includes all marketplace commission fees, so the final cost will only include the list price plus the actual transaction fee charged by the network to secure and confirm your transaction.
When you list an item for sale on Gamma, we'll prompt your wallet extension with a transaction that includes the details of the sale plus our commission fee. Your digital wallet will then submit the transaction on your behalf. When you sell an NFT, you'll pay a transaction fee associated with the blockchain (also called gas fees), as well as our commission fee. We make money when your NFT sells, not when it is listed; if your NFT never sells, you will not be charged a fee.
Are you ready to get started on your own NFT adventure?