Once upon a time, Bitcoin was the new kid on the investment block. People didn’t know what it was, and many people did not take it seriously for years after its debut. Now, Bitcoin is a serious player in the finance world.
Like with everything, something new has come around that’s generating a lot of talk. NFTs are the hot, new investment opportunity.
If you’re weighing the option of NFT vs. Bitcoin, you likely have questions about both of these digital assets. If you’d like some direction on which way to go, keep reading to learn a bit more.
NFT vs. Bitcoin: A Breakdown
If you’ve been paying attention for the last six years, you probably already know that Bitcoin is the premier cryptocurrency. Created in 2008, a single bitcoin was only worth $0.08 at the beginning. Today, Bitcoin is worth just over $40,000 for a single coin.
The highest price Bitcoin has ever been is $68,000, which it achieved in November of last year.
NFTs, on the other hand, have been around since 2017. The main difference between these two mediums is that Bitcoin is a fungible token – you can exchange it for something of equal value, like money. NFTs are non-fungible tokens, which means they can’t be exchanged in the same way.
Each NFT represents a unique entity. They have primarily found use as a way for digital art collectors to collect artwork. However, they can be anything, from music, to even iconic tweets.
Like physical art, the hope is that the value of NFTs appreciates so investors can sell them at a profit later on.
How Do NFTs Work?
Most NFTs function on the Ethereum blockchain. The ETH coin powers the network that makes (most) NFTs work. Other blockchains have the capability of creating their own NFTs, and some have begun to do so.
Why Are NFTs Popular?
Investors have different thoughts when it comes to Bitcoin vs. NFT as a viable investment option. Bitcoin seems like it is here to stay, but what about NFTs?
A big reason why NFTs are popular is that they’re new. Most people want the newest thing around to stay relevant.
It’s also easier to invest in NFTs than traditional artwork. Since NFTs can be anything, investors aren’t limited like physical art collectors in what can net them a profit. Even recognizable images like Nyan Cat have sold for hundreds of thousands of dollars as an NFT.
One of the key benefits of NFTs is that it opens up a previously exclusive and lucrative method of investment to everyone. There are only a limited number of bitcoin, but NFTs are unlimited.
If you’d like to join the NFT craze, you can discover more over at Nested.
Join the Digital Craze
So, NFT vs. Bitcoin – which one should you choose? NFTs are easily accessible and unique. If you have something other people want, they tend to pay well to be the only one to own something.
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