Thinking about buying your first NFT? Before you do so, it’s important to understand what exactly NFTs are, how they operate within digital marketplaces, and where the best place to make an investment is. Keep reading for a concise, yet comprehensive, overview about where to buy your first NFT and what to keep an eye on when it comes to investing in digital assets.

What is an NFT Marketplace?

Let’s start with the basics. What is an NFT Marketplace? Well, it’s pretty much what it sounds like. It’s a digital marketplace that sells NFTs, or non-fungible tokens. Not all NFT marketplaces are created equal, though, and marketplaces vary across their size, price range, and the kinds of NFTs that are listed.

How to Buy NFTs on an NFT Marketplace

NFTs are purchased with cryptocurrency, and are listed through digital marketplaces. If you’re looking to purchase an NFT, then you first need to acquire cryptocurrency, a digital wallet to store your currency, and connect your wallet to a digital marketplace. If you are interested in buying an NFT you need to have a wallet connected to a marketplace to be able to search for and buy NFTs.

What Kind of Market Are You Looking For?

The next question to ask is what kind of NFT are you looking for, and then search through a marketplace that has what you’re looking for. With so many different kinds of marketplaces, it’s important to be sure of what you’re looking for when you build your digital wallet and start looking.

From collectible marketplaces to open markets with a wide variety of NFT listings, there’s something for everyone in the digital marketplace and it’s really about what your priorities are in terms of investment and ownership.

Open Marketplace

An open marketplace, like OpenSea, is a great place for those of you just beginning to familiarize yourself with the NFT marketplace, cryptocurrencies, and the expansiveness of blockchain technology. OpenSea is the biggest place for buying nFTs, and therefore has a wide variety of NFT listings at varying price points. An open market is not invitation-only, and has something called lazy minting, which allows for a more financially accessible way for artists and creators to list their work on the OpenSea platform.

Curated Marketplace

Marketplaces that are curated are based around either exclusive access, invitation-only status, or a certain person or team that is carefully curating a selection of NFTs to be minted specifically on that platform. Most of the time these marketplaces offer higher-tier NFTs or a select few artists that are joined together by a unifying theme, gallery, or collectors circle.

Collectible Marketplace

One of the most popular types of NFT marketplaces, a collectible marketplace is exactly what it sounds: it’s a marketplace with collectible NFTs. Don’t be confused, because technically all NFTs can be considered collectible, but collectible-specific NFTs are often in relation to an affinity group; films, sports teams, music, cultural connections, digital toys, and more offer unifying factors around what comprises a collectible NFT.

Buying Your First NFT

In terms of finding and buying your first NFT, it really depends on what your investment and NFT goals are. Take some time to think about what you’re most drawn to, and how you want to invest your money. Do you want a hot topic profile picture that will immediately be recognized as a status symbol? Are you interested in investing in emerging artists, or placing your trust in an emerging NFT project that you believe in?

Whatever your goals are, seek out a market that aligns with those goals through the NFTs it has listed, the kinds of projects it uplifts, while also factoring in each marketplaces transaction and listing fees. How much does the original artist make with each transaction? How much do you have to pay when you become a buyer? THerse are all factors to consider when buying your first NFT.

The Bottom Line

An NFT, like any other form of property, is a reflection of you and your choices. When it comes down to it, the NFT that you choose to invest in should honor your priorities and investment commitments. If you’re feeling lost as to where to buy NFTs, bring your intentions in line with your goals. What kind of NFT do you want to purchase, and how does that purchase align with what you’re seeking from your investment?

OpenSea is a great place to start when it comes to an accessible, broad, and varied marketplace. More selective or curated marketplaces such as Foundation, Rarible, Mintable, and SuperRare have a smaller selection at generally a higher pricepoint. If you’re thinking about buying your first NFT, take into consideration the history of the project, how the project’s roadmap is articulated, and how much you’re interested in investing.