Music fans love to collect memorabilia. But, instead of ticket stubs, band T-shirts, or vinyl records, why not begin collecting NFTs? We’ve got all the vital tips to get you started!
Collectibles don’t always have to live in frames on the wall, or in chunky binders on shelves. In an increasingly digital world, it may be time to start collecting NFTs. As a music fan, you can even collect tokens that earn you money. Sound interesting? At Fractis, we’re here to guide you through the process of building your brand-new NFT portfolio.
If you’re unsure what an NFT is, it’s actually pretty straightforward. A non-fungible token is a digital certificate of authentication. In other words, it’s proof of ownership of an asset (which can be just about anything) that is linked with that token. Stored on the blockchain, NFTs are the modern way to collect unique items, as well as unlock exciting perks and opportunities.
Before we explain how you can kick off your journey of collecting NFTs, let us show you just why you should be collecting them first!
Table of Contents
- Why Collect NFTs
- How to Start Collecting NFTs
Why Collect NFTs
Simply loving to collect things is a perfectly good reason to get into NFTs. However, there are a whole host of other benefits and enticing reasons to start building an NFT portfolio. As a lover of music, you can support your favourite artists, invest in music, promote positive change within the industry, as well as potentially even earning passive income.
Here are the top reasons why music fans should start collecting NFTs:
By purchasing music NFTs, you’re directly supporting your favourite artists. Many artists are now releasing NFTs as a way to monetise their music and connect with fans in deeper ways.
Revenue generated by NFT sales can help artists to continue to create music, start new projects, or go on tour. If you enjoy seeing an artist live, or listening to their newest creations, buying their NFTs is helping ensure you can continue to enjoy those things.
Get Exclusive Access
NFTs often mean you become part of an exclusive club, and gain you access to some great offers. Some music NFTs offer exclusive access to events, experiences, and content that is not available to the general public.
For example, an artist may release an NFT that includes a private virtual concert, or a meet and greet with the artist. By owning the NFT, you’re able to access these special experiences that you would have otherwise missed out on.
Own a Piece of History
Collecting NFTs means being a part of a time of significant change, and owning a piece of history. Music NFTs represent ownership of unique and rare items, such as exclusive concert tickets, limited edition vinyl records, and even ownership of a song or album. By collecting music NFTs, you own a piece of music history that is completely unique and one-of-a-kind.
Improve the Industry
NFTs are a relatively new and innovative technology that is changing the way the music industry operates. Collecting music NFTs means you’re also supporting the development of new technologies and platforms that are shaping the future of music.
Opportunities are more equal for both major and independent artists. Plus, independent artists are able to maintain more control over their art, enabling to have more fulfilling careers. Equally, independent artists can have more control over how they price their NFTs, with revenue going directly to them. All this promotes a fairer ecosystem within the music industry.
Enjoy Investment Appreciation
Just like traditional collectibles, music NFTs can appreciate in value over time. If an artist becomes more popular or releases more exclusive NFTs in the future, the value of your existing NFTs could increase.
You can help contribute to an artist’s increasing popularity by acting as their hype person. The louder you shout about an artist, the more people will listen to and love them. This then means your investment increases in value, plus you get to feel amazing about helping an artist’s career flourish!
Earn Passive Income
If you begin collecting NFTs with Fractis, you unlock an additional perk that many music NFTs do not offer. How does earning money while you sleep sound? Too good to be true? Well, it isn’t.
Fractis enables you to buy NFTs that are linked to an artist’s music streaming royalties – or a percentage of them, at least. This means that, as people listen to a song each month, you can earn some of the royalties for it, all thanks to the shiny new NFT you collected. By purchasing music streaming royalties NFTs, you give artists a hit of instant revenue. Rather than waiting for money to accrue each month, artists can then fund future projects more quickly. You get to hear more new music from the artists you love, whilst earning money without lifting a finger
How to Start Collecting NFTs
Now that you’re sold on the many wonderful benefits of collecting NFTs, it’s time to learn about how you can actually go about building your portfolio. There are a number of steps you’ll need to take, but don’t worry – we’re here to guide you through it!
The initialism, “DYOR” crops up a lot within the NFT space. Do Your Own Research encourages you to verify information and ensure you sufficiently educate yourself on something before investing in it is paramount. Not only should you get a basic understanding of what an NFT is and how they work, but you should feel confident about what you’re spending your money on.
Keeping yourself safe from scams and bad actors will help you to have a positive experience whilst collecting NFTs.
Choose a Platform
Once you’ve familiarized yourself with NFTs, the next step is to choose a platform to purchase and store your NFTs. Some popular options include OpenSea, Blur, NiftyGateway, and, of course, Fractis. The type of NFTs you want will somewhat dictate which platforms and marketplaces you use. It’s also worth staying up to date with a platform’s policies, for example, being aware of their stance on creator royalties.
Set Up a Wallet
Which marketplaces you buy NFTs from will also help you to decide which wallets you set up. This is where you will store the NFTs you collect. Different wallets work well with certain blockchains. When you buy NFTs on Fractis, we recommend you use a Phantom wallet, since we’re built on the Solana blockchain.
Browse the Market
Before you can buy something, you need to know that it exists. You might find out about music NFTs directly from an artist you love, but otherwise you may need to do some window shopping.
Many artists and record labels are now releasing NFTs as a way to monetise their music and connect with fans. As the creation of music NFTs becomes more popular, there is a greater range of NFTs to choose from on marketplaces.
Bid or Buy
When you find a music NFT that you’re interested in, you’ll have the option to either bid on it or buy it outright (depending on the marketplace). Bidding works just like a regular auction, where you place a bid and the highest bidder at the end of the auction wins the NFT. Buying outright means that you’re purchasing the NFT at a fixed price set by the seller.
It’s important to note that NFT prices can vary widely, so it’s important to do your research and make sure you’re getting a fair price. You can look at similar projects to gauge the value of an NFT, and determine whether the asking price is reasonable or not.
Store Your NFTs
Once you’ve purchased your music NFTs, it’s important to store them in a safe and secure location. The majority of NFT marketplaces offer built-in digital wallets for storing NFTs, but you can also transfer your NFTs to an external wallet for added security.
It’s important to keep your private keys safe, as they are used to access your digital wallet and transfer your NFTs. Some people find using a cold wallet, which is a bit like an external hard drive/USB, feels more secure, since it is not connected to the internet at all times. This makes it much more protected from hacking, however you need to keep it very safe so as not to lose it!
Sit Back, and Enjoy Your Collection
Congratulations, you’re now a music NFT collector!
Whether you’re a die-hard fan of a specific artist or simply interested in collecting music memorabilia, collecting NFTs can be a fun and rewarding hobby. As the music industry continues to embrace NFTs, the possibilities for music NFTs are endless.
The more NFTs you collect, the more experienced you will become in spotting an exciting investment. A hugely positive aspect of collecting NFTs is the community attached. People striving to be bigger music fans love to share their excitement with like-minded people. Find your tribe, and support the artists you love by starting your adventure of collecting NFTs now!
Sign up to Fractis today, and be first in line to start collecting NFTs that can earn you a passive income.