How to Invest in NFT Art, According To the Wisdom of Warren Buffett

by AryanArtnews
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Follow these 5 buffet style tips before joining the NFT art boom.



(Getty Images)

Want to invest in NFT like a pro, but don’t know how to get started? Don’t worry. Take a closer look at these five “what you need to know” concepts before pressing the “Buy NFT Now” button.

Warren Buffett’s pearls, a billionaire investor, provide a rich starting point for NFT investment strategies. For your convenience, I have included some of Omaha’s Oracle principles to guide your NFT art strategy.

(Provided by Marc Beckman / Shuttershock)

“Rule 1: Never lose money. Rule number 2: Never forget rule number 1.” — Warren Buffett

If you’re thinking of NFT digital artwork as a speculative investment tool, start by setting up your actual budget allocation. From the beginning, plan to minimize your risk exposure. The total should represent a small portion of the entire asset portfolio. Remember that this is an unknown area. Start slowly.

The world of cryptocurrencies is so volatile that beginners need to be patient and approach the NFT market. As an example, Bitcoin reached a record high of $ 68,000 in November 2021, but by early December it had risen to $ 46,000.

Invest in NFTs with a “buy and hold” vision. It stays in the market for a long time to exceed normal fluctuations. Consider a contrarian approach during these unstable times. Buy at the dip and sell at the top of the wave.

Insider Tips: Keep some cash in the sideline to prepare for the dip purchase.

Tampa Bay Buccaneers Quarterback Tom Brady
(Provided by Marc Beckman / Shuttershock)

“Buy stock as you would buy a house. Understand and like it so that you are happy to own it even if you don’t have a market.” — Warren Buffett

Fortunately, NFT digital artwork is pretty ubiquitous and therefore appeals to most people. Consider your interests, hobbies and knowledge before jumping into different NFT marketplaces. Invest in the art you love and want to live with.

If you are a sports fan, consider accessing NBA OpShot. If you like music, consider Royal, Paradise’s new platform for investing in artists. Looking for a cleaner and more carefully selected artistic experience? Go to SuperRare.

For a large community of emerging artist talent, consider OpenSea and Nifty Gateway. Also, check out WeNew to capture parts of history and iconic moments.

Carefully curate: Be aware of high “gas charges” when purchasing digital artwork.

(Provided by Marc Beckman / Shuttershock)

Buffett recently revealed that he always has images of his children and grandchildren, one of his most valuable possessions, in his wallet.

Like Buffett, you need to find a safe place to store your most valuable artwork: NFTs and cryptocurrencies. (For clarity, you need a digital wallet to store NFTs and cryptocurrencies.)

There are many things to consider when choosing a digital wallet, but the easiest place to start is to consider whether it supports the type of blockchain you plan to use.

For example, MetaMask wallets are compatible with Ethereum Blockchain and should be considered for purchase with OpenSea, Foundation, and other Ethereum-based protocols.

Kukai wallets, on the other hand, are compatible with Tezos Blockchain, providing a great solution for leveraging marketplaces such as OneOf.

For sound security: Never share your wallet password. So far.

(Provided by Marc Beckman / Shuttershock)

“Price is what you pay. Value is what you get.” — Warren Buffett

The practical nature of NFTs and blockchain technology can provide owners with additional benefits such as great, exclusive access to limited edition products, unique experiences, and unique services.

These mint and burn scenarios often add value to the secondary market and therefore offer holders the potential for short-term economic plunges. Get merchandise, resell merchandise, and make money.

This past fall, luxury fashion powerhouse Balenciaga has worked with Fortnite to launch a digital fashion experience that goes beyond the realm of gaming, bringing high street style to the real world.

drop: Keep an eye out for limited edition goods from brands such as Gucci, Jordan and Dover Street Market.

(Provided by Marc Beckman / Shuttershock)

“If the market is closed for 10 years, buy only what you are completely satisfied with.” — Warren Buffett

This is about NFTs and digital artwork. Peer-to-peer transactions in the secondary market are a reality. Active. So, if you are participating in it for short-term profits and want to guess, it’s for you.

Keep in mind, however, that we are currently just beginning to invest in digital artwork. Consider the cave dweller’s artwork stage. Something like this can be of value in the long run. The CryptoPunk 4156 was purchased in June 2017 for less than $ 20. Sold for over $ 10 million on December 9, 2021.

Become an early bird: Act strategically and try to find early-stage trends.

Mark Beckman’s new book — a comprehensive guide: NFTs, digital artwork, and blockchain technology — is now available on Amazon.

Tags: Art Balenciaga Bitcoin Blockchain Book Cryptocurrency Investment Mark Beckman Money News NFT Sports Success Warren Buffett

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