NFT could be the investment opportunity of the year — perhaps even the decade.
But before you go try to look up a ticker symbol for “NFT,” I have to warn you:
NFT is not a stock!
It’s not an option, an ETF, or a bond, either.
But yet, for many investors, it’s already turned into the trade of a lifetime.
Let me explain…
So What Is “NFT”?
As I mentioned, NFT isn’t a stock, or any other traditional investment.
Instead, NFTs are a new type of digital asset. In fact, they’re similar to cryptos, but with a few big differences. And these differences are what make NFTs such a powerful investment.
First off, “NFT” is an acronym — it stands for “Non-Fungible Token.”
I know, that’s a mouthful. I won’t bore you with an explanation. Here’s what’s important for you to know:
- NFTs are like “digital ownership certificates” for digital items.
- Every NFT is unique. It can’t be replicated or swapped out for a copy. Therefore, there’s built-in scarcity — which can lead to higher demand and value for the items they represent.
- Almost any digital item can be turned into an NFT (e.g., digital art, digital videos, digital trading cards, digital music, etc.).
Basically, NFTs provide a way to bring the traditional worlds of fine art and collectibles online.
And because of that, NFTs have become an extremely exciting (and profitable) asset class recently.
For instance, one of the hottest categories for NFTs right now is digital collectibles.
And one of the most popular sites for purchasing these collectibles is the NBA Top Shot site.
As you’ll see here, these digital collectible packages include video clips, “signed digital trading cards,” original artwork, and more…
And they sell for a fortune!
Just take a look…
As you can see, someone is selling this LeBron James collectible pack for $213,000!
In the past 30 days alone, it’s been reported that over $237 million of trades have occurred on the Top Shots platform.
And sports collectibles aren’t the only category generating big sales and profits…
Look what’s happening in the art world with NFTs…
Someone just dropped $388,938 for the rights to this 55-second digital video »
And now Christie’s, the famous auction house, is getting in on the action — it auctioned off an original digital artwork NFT for $69 million!
How You Can Get in on the Action
If you’re interested in exploring this new asset class, there are many ways to dip your toe in the water.
For example, you could trade on one of the NFT platforms I linked to above:
- For NBA memorabilia, check out NBA Top Shot »
- For digital art, check out a site called Nifty Gateway »
- And for all things NFT, check out OpenSea.io (the largest NFT marketplace) »
Something to note before you dive in:
You can’t buy NFTs using your credit card or bank account. Instead, you buy them with cryptos like Ethereum. Ethereum is easy to purchase on exchanges like Coinbase.
But what if you want to capture the excitement and upside of NFTs without going through the process of setting up new accounts and buying cryptos?
Well, as it turns out, a handful of stocks are riding the NFT wave — and they’ve already begun handing investors substantial gains.
For example, take a look at Takung Art (TKAT). Takung is an online Asian art marketplace, and in the past two weeks alone, its shares have soared by over 800%.
Then there’s Oriental Culture Holdings (OCG). OCG is an online auction platform for all kinds of collectibles, from sculptures to paintings to stamps. In the past few weeks, its shares have shot up by 400%.
The reason for these big stock moves is simple: investors are betting that these traditional online art and collectibles dealers will move into the world of NFTs.
Obviously, that may or may not happen — but these stocks do offer investors an easy way to speculate on this exciting, emerging trend.