What are NFT giveaways and why are some NFTs free?

When you hear NFT, you probably think of CryptoPunks or Beeple’s multimillion-dollar digital works. What if we told you that you could get free NFTs in nft giveaways, play to earn games and through airdrops fundraising? Dream or reality?

This is quite possible. With the growth of the non-fungible token market, many NFT projects have emerged. Some of them offer you to create your NFTs for free, while others organize airdrops to reward their most loyal users. But what represent NFT giveaways? NFT Project owners distribute tokens free of charge to attract new NFT users. NFT giveaways increase the visibility of tokens, and community acceptance. The tokens are also a method to encourage users to join the platform. This represents a long-term win-win situation.

However, you have to know how to detect the best opportunities while avoiding scams which are much more common than you think. Without further ado, let’s find out together how you can get free NFTs and expand your crypto portfolio without breaking the bank.

NFT Marketplace Overview

You probably know that the use of the blockchain for the storage of digital assets is not new. Indeed, digital assets for some games like Spells of Genesis have been around since 2017. Meme-inspired Rare Pepe cards were also on the rise between 2016 and 2018.

However, the popularity of NFTs on the ethereum blockchain has only really exploded in the last couple of years. In 2021, the NFT market reached a volume of $41 billion, compared to $50 billion for the classic art and antique market. Indeed, NFTs seem to be following in the footsteps of the global market for traditional art.

This means that the market for non-fungible tokens NFTs has grown exponentially. According to a study, the digital item collecting industry was worth around $100 million in 2020. This boom in NFTs is largely due to the increasing amount of capital flowing into the market. Indeed, even some auction houses like Christie’s and Sotheby’s have gotten into selling NFTs. Finally, let’s not forget the new ways of using NFTs, to which this sector owes much of its success.

The expansion of the non-fungible token market

While the NFT market is booming, is it a good idea to get started? The answer is yes. But, to better understand this phenomenon, we must first look at some statistics.

In early 2021, an animated Gif of Nyan Cat, which is a 2011 meme depicting a flying pop tart cat, was sold for over $500,000. A few weeks later, singer Grimes sold her musical NFTs for over $6 million. That said, be aware that there are not only digital art NFTs. For example, Jack Dorsey, the founder of social media network Twitter, sold the NFT of his very first tweet for a price of $2.9 million.

As another example, the NFT CryptoPunks collection was born in 2017, and no one thought its non-fungible tokens would become so valuable over time. Indeed, when Larva Labs created the project in 2017, it gave away 10,000 pixel-art portraits for free. Each of these avatars was generated algorithmically and had different attributes, such as their hairstyle, glasses or hat. Some traits are rarer than others, which makes some CryptoPunks more valuable.

Since early 2021, when NFTs started gaining traction, CryptoPunks have enjoyed a resurgence in popularity. As of March 2021, two NFTs from this collection have sold for over $7.5 million each. Seven other Alien Punks have been sold for over $1 million in the past few months. Other projects like Bored Ape Yacht Club, Mutant Ape Yacht Club or The Sandbox have gone through the same path.

However, depending on their usefulness and the nature of the project, some NFTs can be inexpensive or even free. Now let’s find out how to find these projects and how to get free NFTs.

How to get NFT for free?

If you are wondering how to get free NFTs, know that there are several choices available to you. The first method is to play NFT Play to Earn games. These games are specifically designed to encourage NFT trading. In this case, the non-fungible tokens have real utility within the game.

You can also get free NFTs by creating them yourself, with minimal gas charges. For the past few months, OpenSea, which is the largest NFT marketplace on the market, has been offering an NFT creation tool that avoids gas price fluctuations

Important investment advice : in order to use NFTs, you will generally need to have ETH in your wallet to be able to pay gas fees.

Finally, some gaming communities, such as Alien Worlds, which operates on the WAX Network, may offer you free non-fungible tokens as a reward for your participation. This system is therefore similar to that of stores that offer loyalty points to their regular customers.

Indeed, the NFT market is full of opportunities, but you have to know how to take advantage of them. Now, let’s find out how you can get free NFTs.

NFT giveaways

Often, NFT projects reward their users’ participation with free digital assets. For example, many NFT communities on Discord offer free NFTs to their members. The social networks Twitter and Telegram are also good sources of information for these NFT giveaways.

Discords Giveaways

The Discord channel of CryptomonKeys offers free non-fungible tokens to its members. However, to take advantage of it, you must write an original introductory text. You can also earn rewards by actively participating in communities such as Alien Worlds. Indeed, the projects offer these rewards to attract new users and retain old ones. These games thrive on user interaction, as they are the ones who drive the sale and distribution of their products. Of course, this improves the reputation of games and increases the value of their native tokens.

Twitter Giveaways

On Twitter, some companies organize NFT giveaways that allow you to obtain free NFTs. To find them, you can search for hashtags that include the word “NFT”. Generally, these will lead you to ongoing and upcoming nft giveaways. Most often, participants will have to comment, share or otherwise participate in the promotion of the project.

Granted, these NFTs are free, but they can become more valuable over time. Remember the beginnings of the CryptoPunks project: Today, it is the most valuable NFT collection on the market. Yet in 2017, these NFTs were offered for free to anyone with an ETH wallet. If these NFTs have been so successful, it is mainly thanks to word of mouth and the dedication of their community.

Free NFTs with Play to Earn games

Another method to earn free non-fungible tokens is to register on an NFT game. These are games that have been specifically designed to encourage NFT trading.

On the one hand, this is one of the most obvious uses of NFTs. This is because the items you collect have a direct utility in the game. And when this process is properly organized, it stimulates the growth and development of a real economy.

On the other hand, the market for non-fungible tokens is growing. As explained above, the first NFT game is probably Spells of Genesis. Then games like Sorare and FootballCoin followed its pattern. Thus, users can collect NFTs there and receive free cards at the start of the game. They can then use these cards to earn cryptocurrencies.

Recently, the WAX network has attracted a lot of attention for its NFT games. Some games like Alien Worlds and Farmers World allow players to get free NFTs or buy them. These non-fungible tokens improve their gaming performance and help them earn larger amounts of native tokens.

To participate in these games, you must create a WAX account. It will only take you a few seconds and will allow you to store your NFTs safely.

Also, remember that most of these WAX-based games organize free NFT airdrops. Typically, these airdrops are hosted by new games that hope to spark public interest.

NFT airdrops

In general, traditional companies raise capital by offering shares to the public. For their part, Web3 crypto startups raise funds by offering tokens that people can buy and sell on exchanges. When launching these tokens, companies often organize airdrops to acquire their first customers.

These airdrops are usually spread over several months. This is to encourage people to keep their tokens and buy more. Over time, some tokens gain value, while others lose value or sink into oblivion.

For example, OpenDAO distributed its SOS token to anyone who traded the project’s NFTs. Some users were able to earn several thousand dollars worth of tokens.

Some projects also involve celebrities. For example, Bored Apes Yacht Club has tapped stars like Paris Hilton and Jimmy Fallon to promote their collection. In 2022, the two celebrities participated in a televised giveaway of NFTs from this collection.

Following the success of Bored Apes Yacht Club, similar projects wanted to follow in its footsteps. That means it’s not too late to take advantage of NFT giveaways.

The post What are NFT giveaways and why are some NFTs free? appeared first on FinanceBrokerage.