What do NFTs mean for their creators?
Until now, there has never been the opportunity to own something completely digital. For years we have been sending each other videos and emojis in chats, but there has never been the opportunity to own a digital file or an artwork. The arrival of NFTs has brought innovation and the ability for creators to sell or showcase digital artwork.
In order to sell their creations, creators have to get a certificate that legalizes their artwork. So, after being created, the NFT is tokenized on the blockchain, a digital transaction system that is very difficult to hack or scam.
In the end, this process should allow digital artists to gain formal recognition for their work.
What about the income?
NFTs allow designers to monetize their work. It is considered a faster process and a more affordable way for designers to create and collect the fruits of their labor.
Some NFTs include royalties for the artist, which means that each time the work is sold, the artist gets between 8% and 10% of all future sales. This varies depending on the platform the artist is using.
But how do you value a physical artwork versus a virtual one? The value of NFTs is based on the value of the cryptocurrency: NFTs are sold on Ethereum, and it is translated into the monetary value. When the value of Ethereum goes down, then the value of the artwork goes down as well.
At Rarecubes, we value transparency a lot when it comes to paying our artists! We have in-house artists and also long-term agreements with external professionals.
The process of payment is very simple: there is a revenue share on the sale of the NFT created by the artist. The creator is then given a percentage of the sale of his/her work. The percentage is agreed upon together before the work begins.
The rise of NFTs is a progress because it means that art collecting has been able to move online, opening up to many artists on a global scale, some of whom may have never even had the chance to sell their work.
In addition to generating income, an NFT could also unlock a ton of opportunities for a huge number of artists, especially those who are less well-known.
NFT platforms grant designers immediate access to a global audience, but having a pre-existing online following will help artists gain exposure on the market. But how do you convert your audience into buyers? You have to find your audience and learn how to connect emotionally with them to find what works best for your case. If you don’t already have a large online presence, you should also take a look at your marketing approach.
The NFT art industry wants to create an inclusive and protected environment for digital artists. Anyone with access to a computer can make an NFT and be successful, regardless of the genre of their art.
Does the NFT art industry have a future?
With so much potential the NFT art industry seems unlikely to fizzle out anytime soon. Over the last decade we have been moving towards a predominantly digital age and this is just another step of innovation.
To summarize, the sale of crypto or NFT art could transform the entire creative industry. The NFT art world needs to position itself as a trusted and inclusive environment where digital art can be sold.
Let’s keep an eye on what happens next and hope that everything turns in favor of this great progress!