We all know that the NFT is the next big thing and has many future-oriented potentials and benefits. As you find more NFTs trading on different marketplaces, ask yourself what to do next: “buy or not to buy”.
Here are six NFT trading mistakes newbie traders should avoid.
No promotion of your NFT
After you buy the NFT you like, that NFT is yours. Most people have this mentality that the Creator should encourage, and as holders of the NFT, we sit back and watch the prices go up.
I am afraid that is not correct. If you promote your NFT copy, your unique NFT could be sold the fastest. Always remember that you control your wealth. There is no need to wait for the creator.
Turn it over too fast
In the bull market, you’ve heard from NFT experts that they flipped their NFT 100X for millions of dollars in an hour.
Yes, that is possible at that time. Right now, in this declining market, you need to think long-term. You have bought something that you believe has good value and potential. You bought a low price and you don’t mind keeping it. That kind of mentality will take you far. “Good things take time” – remember that.
Buy it in the wrong marketplace
There are currently many NFT marketplaces in the space. Some of them are more controlled; They filter what can be listed and remove items that are inappropriate, not authentic, or have copyright issues. While some are more open and employ an “anyone can list” model, they have minimal oversight and anyone can list almost anything on their platform.
If you choose the latter, you could buy a fake, and by the time you spot it you’re too late. There is no one to take care of your complaints. And yes, there are no refunds either. So choose wisely.
Buy an NFT you don’t like
This is a real example. I have friends who use their monkeys and punks as profile pics to show they are wealthy. But the fact is, they don’t like her. One guy told me he wants the tiger more and it’s his lucky one, but there isn’t a big blue chip tiger NFT project. So he bought the monkey.
Also Read: Busan Blockchain Week 2022: Trends Shaping the Future of NFT
My sincere advice is to buy something you like, not just for the value. Last month I bought an NFT for $0.01 on the Bybit NFT marketplace. It’s affordable, has potential and most importantly I like the colors and I’m keeping it. It should be so. There’s no stress there.
Not using the right tools
There are many groups out there that will give you tips on which ones to buy. You can take their advice, but I suggest you do your research before agreeing and committing to your first NFT.
Many NFT tools currently on the market will help you with your decision. For example, some tools allow you to check the rarity types. Some tools allow you to analyze volume and determine if wash trading is involved. stop guessing Use the right tools!
Listen to the wrong advisors
NFT developers who have listened to the wrong advisors is another common thing. They tend to hire the more expensive consultants because they think they know everything. Based on a survey I conducted of companies that have launched their NFT, they paid an average of $300,000 to consultants to get the ball rolling.
I advise companies and individuals to research resources online before hiring consultants. I know NFT studios that have helped other creators by sharing their resources for free and helping them get listed on platforms for free.
One of the groups I started in 2006 does just that. They nurture emerging NFT stars, run the NFTs for them, and don’t charge a dime from the creators. I think the spirit of sharing is essential and they did everything right.
I’m not here to make sales proposals. I want more people to easily enter the NFT market. And that’s why I released my book, NFT: From Zero to Hero by Anndy Lian, in August.
An NFT, or non-fungible token, is a unique digital identifier stored on a blockchain used to certify authenticity and ownership. Remember the above. It’s not a profile picture or just another speculative product. Its true value lies in its usefulness. Don’t make this mistake too.
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