10 ways how NFTs can benefit artists
Blockchain technology is actually not new; although it is evolving and improving every day, it has made incredible progress in integrated areas and applications.
In a domain and industry where it has traditionally been quite challenging to make money without prior rights or connections, NFT gives the artist much more control over their art. It can make money from it as soon as it is created.
The best part is that artists and creators have taken this technology to the next level and have been able to turn their creations into NFTs, which they then profit from by selling them. The NFT market is "huge," and it's no wonder that artists of all kinds benefit from it, not just digital artists.
This article outlines the benefits of NFT and why you should get started today.
NFT: The lucrative concept of art
The most well-known use of blockchain technology is the emergence of cryptocurrencies such as Bitcoin and Ethereum, which offer users tokens based on proof-of-work computer models.
These tokens, each of which is a unique answer to a complex mathematical equation, have a value in a traditional currency that people are willing to pay to own, use, or hold.
NFTs are distinct from cryptocurrencies, but they are closely related, albeit to some extent interdependent.
NFTs, or immutable tokens, are unique and immutable pieces of digital art, graphics, digital music, online games, sports memorabilia, memoirs, or even poetry created using a public blockchain, the most popular blockchain for NFTs being Ethereum.
This means that blockchain offers many benefits, advantages, protection, and control for any digital project.
Let's look at the leading and most incredible benefits of NFT for the artists themselves. Here are the 10 most useful ones.
#1 Restrictions and ultimate ownership
One of the most essential features of immutable tokens is immutable, which means they are wholly unique and disposable.
When someone buys a particular NFT, they become the sole owner of a rare and unique item that cannot be replicated.
This essence of beneficial ownership is essential because ownership of an NFT indicates who owns the digital asset and contains all the information needed to prove ownership and determine the authenticity and provenance of the asset.
This information is stored in metadata. Want to know what you can do with metadata and how to use it? Check out this guide to NFT metadata.
Although an individual may own an NFT and retain an official certificate of ownership, a version of that NFT may be copied by authorized users under the Smart Contract copyright and licensing system.
Some NFT authors even offer signed copies of the NFT in real life. However, no license is usually granted to allow the owner to make copies himself and sell them for profit.
Another issue worth mentioning is the possibility of partial ownership of NFTs. Suppose you want to sell a valuable work of art from the NFT, but its price is astronomical. One option is to sell individual pieces to different owners. With the NFT system, this is easily possible.
#2 Security
NFT is traded in a highly secure and transparent manner. Because NFT acts as an immutable digital signature, artists can more easily sell their work to collectors who previously had to do extensive research before purchasing a valuable piece of art.
Before purchasing, traditional art buyers had to research and verify a work's provenance. With NFTs being sold or traded openly, this research or verification is done with a few clicks on the blockchain.
This hidden security also makes it possible to move or transport high-value items worldwide in seconds.
Because the transaction on the blockchain is immutable, there is no chance that someone will intercept the sale or somehow replace the digital asset with a fake or that the asset will be fiddled with or manipulated, no matter where it is in the world.
We are not saying that there are absolutely no criminal activities and fraudsters in domestic financial institutions. We are saying that the current situation is reminiscent of the Wild West and that many people in reality have been cheated out of their hard-earned capital. Fraudsters have been breaking into wallets, selling counterfeits, and committing NFT fraud.
This article will help you understand what I mean: How to spot a fake NFT: a complete guide.
We also don't want to give the impression that NFTs are entirely natural. NFTs have their flaws, and not all artists are happy with them, as I explained in the articles "9 reasons why NFTs are bad for artists" and "6 reasons why artists hate NFTs".
#3 Self-reliance and self-sufficiency
You're a digital content creator, and you've decided you want to make money from it. Traditionally, the art world has needed a third party to help organize exhibitions or run a gallery and a marketplace that allows for the sale and legal transfer of official ownership.
In traditional art, this is usually someone who works as a manager or agent for the artist.
NFTs allow artists to create, promote and sell their digital assets with relative ease. This decentralization of power is a key advantage of blockchain-based technologies such as NFTs. It levels the playing field for many artists who would otherwise be considered non-traditional and have difficulty reaching buyers through traditional exhibition and sales channels.
It also helps artists make much more money from selling their artwork because they don't have to commit to paying an agent or management a percentage of the total sale amount, which can be as much as 80% or more sometimes.
#4 Authenticity and transparency
People create digital art and other online content from scratch. That's not going to change, but until the introduction of NFTs, the means for creators to claim authenticity and ownership were quite limited.
Each NFT and its inclusion in the blockchain contains compelling and irrefutable evidence regarding the current creator and owner, previous owners, and all transactions associated with the asset.
Tracking and tracing NFT transactions is virtually simple and can be done with a few clicks on the asset blockchain.
With this simple tracking method, you can also track the short and long-term appreciation of a currency. You can also track the increase and decrease in value of entire collections of NFTs.
How to determine the sales history and provenance of a given NFT: How to verify ownership of NFTs (7 methods).
#5 Accessibility for all lifestyles
In recent years, one of the many big trends, increasingly popular with the younger generation, is the reduction of physical assets in favor of ethereal assets.
This trend can sometimes be seen as an attempt to reject materialism and mobility or nomadism, meaning that physical concentrations are beginning to disappear.
People are moving away from art galleries and buildings dedicated to their collections to digital spaces or meta-spaces.
They can view and admire their collections on a smartphone using a compatible crypto-currency lender or see them in more immersive environments such as virtual reality, Decentraland, or other immersive art events.
However, if you are an older game and want to display your NFT collection on a physical wall, you can purchase a unique high-resolution NFT display from token frames.
#6 Lightweight and portable
Since all NFT transactions are recorded on the blockchain of your choice, usually Ethereum, there is no waiting or delay when buying or selling digital assets.
One of the main problems and shortcomings of the physical art world is the ongoing problem of late payments for purchased works, to the detriment of the artist who created them.
Transactions on the blockchain network are often completed in milliseconds: a transaction appears immediately on the blockchain network and requires several confirmations on the blockchain network before it is considered confirmed or completed.
While traditional art sales require a check, wire transfer, or ACH (Automated Clearing House) request for a large sum of money, and NFT transaction can be completed almost in an instant.
Collectors can use their credit cards to make purchases, instantly turning dollars or euros into cryptocurrency.
Since only a blockchain is required for payment, most artists will receive a payment within minutes or seconds of the transaction and crypto-currency syncing.
#7 Control of sales
Artists who use NFTs have much more control over how their funds are used when monetized. Smaller artists often find themselves in trouble when faced with foreign or even larger local companies using or reproducing their work without permission.
If an artist finds that a large company has used their work in an advertisement or product, they must file an expensive lawsuit, which in most cases makes no sense, as the large company has more costly and effective legal counsel.
In the case of NFTs, however, the work must be purchased from the artist or the NFT market before it is used. The author automatically receives a portion of the royalties encoded in work with each resale.
Overall, this can help small independent artists stay independent and regain control of their art. This is a significant change in the industry, often practicing favoritism where only a few privileged ones could make it big with their art.
Selling NFT is not as easy as it sounds, but this article will help: is it hard to sell NFT? 3 facts are explained.
#8 Hard-coded royalties
In the real world, working artists have a number of structures in place to help them reduce their income when selling work. Associations, artist guilds, and agencies help artists gain exposure and make sales, but they charge the artist a percentage of the sale price for the sales they help encourage, which means the artist receives less of their income.
NFT completely changed this situation and established a radically new balance of power in selling art.
In NFT and blockchain technology, royalties are coded deep into the asset itself, making it easy to track, report, and prove.
Hard-coding royalties into the NFT system mean that every time a creator sells, resells, or trades an asset, they automatically receive a share of the proceeds without additional work or research. Royalties are built into the NFT smart contract.
For artists who rely on secondary sales, this makes NFT a more viable option than any other transaction method.
For artists and creators who have a trusted fan base that buys, sells, and trades, NFT can help them build an artistic ecosystem that provides a steady income even when they're not creating new content.
#9 Compositionality and Interconnection
For artists who are keen on building further on their previous work and creating a sense of continuity in their work, NFT is the ideal tool for this strategy. These artists can benefit from the compositionality and connectivity of NFT.
In other words, digital content creators can use CLN to complement and even interact with previous works through future art publications. Artists can use them to more actively develop their successful works.
NFTs are digital objects that can be interacted with, edited, enriched, and promoted, which is a way of appreciating the possibilities that NFTs offer artists.
Artists can not only develop their own successful works but also create NFTs that complement or add to existing collections. This could be an 8-bit propeller cap for the monkey or a Bam Margera skateboard to use in VR.
You can also create Easter eggs for your NFT or exclusive hidden content that you can unlock by owning multiple NFTs. Moreover, the number of applications you can make on your NFT is virtually unlimited.
Artists who use such strategies may find themselves at the center of bidding wars in the NFT market. If a buyer doesn't buy collectibles, they can't unlock a previously unknown device or other additional content.
#10 Easy art
In the past, art creators knew that they would eventually have to sell their artwork in some market to make money from it.
NFT has changed this forever by allowing artists to display their work as freely as possible, with each piece imbued with their true emotions and most authentic self.
NFT artists always have the internet at their disposal in addition to global communications for building a strong audience without the limitations of the traditional gallery market.
The number of NFT platforms will soon increase significantly, giving NFT artists many more opportunities to make money than in traditional agency or service professions.
Independent artists will benefit the most, as they can use the extra income to work less on what has traditionally been their "main job" and focus on creating more and on being more fulfilled.
Last tip: If you are an artist who creates in the physical world, be it paintings, sculptures, or drawings, you can convert your creations into digital tools. Buy a friendly digital camera or hire a professional photographer to take pictures of your work, print the digital images, and offer them for sale.
The hardest part is choosing which NFT market you want to work in.
You will need to get a suitable crypto wallet to your case for storing your money and cryptocurrencies. Note: Depending on the blockchain you use, you may need to exchange fiat currency for cryptocurrency to pay the withdrawal fees associated with creating the NFT.
