Cookies help us display personalized product recommendations and ensure you have great shopping experience.

By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
SmartData CollectiveSmartData Collective
  • Analytics
    AnalyticsShow More
    sales and data analytics
    How Data Analytics Improves Lead Management and Sales Results
    9 Min Read
    data analytics and truck accident claims
    How Data Analytics Reduces Truck Accidents and Speeds Up Claims
    7 Min Read
    predictive analytics for interior designers
    Interior Designers Boost Profits with Predictive Analytics
    8 Min Read
    image fx (67)
    Improving LinkedIn Ad Strategies with Data Analytics
    9 Min Read
    big data and remote work
    Data Helps Speech-Language Pathologists Deliver Better Results
    6 Min Read
  • Big Data
  • BI
  • Exclusive
  • IT
  • Marketing
  • Software
Search
© 2008-25 SmartData Collective. All Rights Reserved.
Reading: Why Big Data is Creating a Big Market for NFTs
Share
Notification
Font ResizerAa
SmartData CollectiveSmartData Collective
Font ResizerAa
Search
  • About
  • Help
  • Privacy
Follow US
© 2008-23 SmartData Collective. All Rights Reserved.
SmartData Collective > Big Data > Why Big Data is Creating a Big Market for NFTs
Big DataExclusive

Why Big Data is Creating a Big Market for NFTs

Data analytics technology plays a crucial role in the growth and evolution of NFTs.

Anna Liza Montenegro
Anna Liza Montenegro
8 Min Read
role of big data in the growing nft market
Shutterstock Photo License - Sashkin
SHARE

Big data technology has led to some other major technological breakthroughs. We have talked in detail about applications of big data in marketing, financial management and even the criminal justice system. However, there are other benefits of big data that get less attention, even though they are also remarkable.

Contents
How Big Data is Creating a Booming Market for NFTsWhat are NFTs?Creating, Buying, Selling and Valuing NFTs with Data ScienceAcquire a crypto walletPurchase a CryptocurrencyChoose a MarketplaceMint a new NFTValue Your NFTsBig Data Has Made NFTs Valuable New Commodities

One of the newer applications of big data is with NFTs. The entire concept of NFTs is actually predicated on big data.

How Big Data is Creating a Booming Market for NFTs

Non-fungible tokens – or simply NFTs – have gained global recognition in recent years. They have been responsible for the significant changes across various sectors, including art and finance. As a result, many have posited the possibility of every part of society being influenced eventually by NFTs.

This might sound overblown, yet it is not. The past few years have demonstrated the potential effects that NFTs can have – being one of the most significant innovations – in sports, fashion, and tech, among others. Since NFTs became a norm in 2021, it has attracted all sorts of media hype and drama.

More Read

data analytics helps with bitcoin investing
How a Danish Bitcoin Trader Discovered the Wonders of Analytics
Data Collection: No Dashboard, Just an Ironing Board
How Tax Authorities May Use Big Data for Audits
Modeling : R Code,Books and Documents
7 Common Challenges Companies Face While Migrating to the Cloud

NFTs have been made possible due to advances in big data. Praphul Chandra, Founder and CEOof Koinearth wrote an article for The World Economic Forum titled If data is the new oil, then enterprise NFTs are the tankers. Here’s why. Chandra pointed out that there are many wonderful benefits of treating data as an asset, but there are logistical issues that make that difficult. NFTs have helped mitigate many of these challenges.

However, it can prove difficult to fully fathom the dramatic rise these tokens have enjoyed in recent times. To lend you a hand, this comprehensive guide will provide an insight into what NFTs are and how they work. Let’s dive in!

What are NFTs?

Non-fungible tokens are a unit of data on a blockchain network, which can offer stable proof of ownership when linked to a physical or digital asset. These tokens often contain data that can be connected to songs, images, avatars, and videos, among others.

Despite this, they can also help owners gain exclusive access to digital or live events, as well as being connected to physical assets, such as cars and more. Big data creates opportunities to make the most of NFTs. With this in mind, it is safe to affirm that NFTs can enable users not just to create items but buy and sell assets safely on blockchain technology.

However, it must be stressed that you can’t purchase intellectual property rights or copyright of the underlying asset, except stated otherwise. However, trading NFTs is not so straightforward. The next section will explain better.

Creating, Buying, Selling and Valuing NFTs with Data Science

As stated earlier, dabbling into NFTs is not so simple. Fortunately, data science has made it a lot easier to take advantage of them, as Dr. Stylianos Kampakis discusses in this post in The Data Scientist. To purchase one, cryptocurrencies are used to fund an NFT account while using a crypto wallet to safeguard the data when an NFT is bought.

You are also going to have to know how to value them. This is where data science becomes especially valuable.

There are various tools that can enable traders to make the most of NFT derivatives, including NFT Profit. The steps below will provide more insight into how to create and trade NFTs:

Acquire a crypto wallet

Crypto wallets are used to store digital assets. You can choose between a software or hardware wallet. However, while the former is more suitable for short-term trades, the latter is a safer means of storing and transferring valuable assets.

You can use data analytics tools to choose the best cryptocurrency wallet. You can find out more about that in this post.

Purchase a Cryptocurrency

The cryptocurrency sector is benefiting tremendously from data analytics. One of the benefits is that analytics helps investors time their purchases and select the best cryptocurrencies.

You will come across several NFT marketplaces that allow the use of traditional methods of payment. These include MakersPlace and Nitty Gateway. A lot of data analytics tools help you assess the quality of different marketplaces. You should also look at reviews of them to find the best. On the other hand, OpenSea and SuperRare only support cryptocurrencies. ETH is the best crypto for NFT transactions since most NFTs are part of the Ethereum blockchain at a high level.

Choose a Marketplace

Before choosing a marketplace, consider whether you need to mint a single NFT or a collection of these tokens in a batch. OpenSea represents one of the best places for the latter. You can also consider Rarible and LooksRare as well. Besides this, you should know that minting is associated with initial costs, which could be in the form of a transaction fee in some marketplaces. You should also acquaint yourself with royalty splits.

Mint a new NFT

Ensure that you must hold the intellectual property rights and copyright for the item you wish to mint before picking an item. This process is crucial since you can easily end up having legal issues if you create tokens by using assets that are not yours. You can create an account at your preferred marketplace. Then, you can start minting.

It is worth noting that some NFTs might only be purchased on the open market. However, you can buy your favorite NFTs immediately or, in some cases, make a bid on your preferred NFTs and wait until the closing of the auction.

Value Your NFTs

Data analytics can be used to value NFTs. Kampakis and one of his students developed a hedonic regression method with one of his students to value CryptoPunk. He points out that the same data analytics approach can be very useful or valuing other NFTs.

Big Data Has Made NFTs Valuable New Commodities

NFTs have grown in recognition across the far reaches of society. Big data has played a huge role in this sudden new market. NFTs serve so many purposes as a crucial modern innovation. However, creating, buying, and selling these tokens are not so simple. You must acquaint yourself to prevent getting into trouble during NFT transactions. The good news is that data analytics makes all of these steps easier.

TAGGED:big datanft
Share This Article
Facebook Pinterest LinkedIn
Share
ByAnna Liza Montenegro
Anna Liza Montenegro is a trained architect and an accomplished marketing professional in the architecture, engineering, and construction (AEC) industry. She possesses both strategic and execution of marketing initiatives, go-to-market plans, and execute product launches.

Follow us on Facebook

Latest News

sales and data analytics
How Data Analytics Improves Lead Management and Sales Results
Analytics Big Data Exclusive
ai in marketing
How AI and Smart Platforms Improve Email Marketing
Artificial Intelligence Exclusive Marketing
AI Document Verification for Legal Firms: Importance & Top Tools
AI Document Verification for Legal Firms: Importance & Top Tools
Artificial Intelligence Exclusive
AI supply chain
AI Tools Are Strengthening Global Supply Chains
Artificial Intelligence Exclusive

Stay Connected

1.2kFollowersLike
33.7kFollowersFollow
222FollowersPin

You Might also Like

predictive analytics in content creation
AnalyticsExclusivePredictive Analytics

Is Predictive Analytics Solving Challenges In Content Creation?

9 Min Read
Leverage Big Data for startups
Big DataBusiness IntelligenceExclusive

The Best Ways Startups Can Leverage Big Data in 2017

5 Min Read
big data in apps
Big DataExclusive

The Growing Importance Of Big Data In Application Monitoring

6 Min Read

R, REvolution named in top analytic trends for 2010

4 Min Read

SmartData Collective is one of the largest & trusted community covering technical content about Big Data, BI, Cloud, Analytics, Artificial Intelligence, IoT & more.

ai is improving the safety of cars
From Bolts to Bots: How AI Is Fortifying the Automotive Industry
Artificial Intelligence
AI and chatbots
Chatbots and SEO: How Can Chatbots Improve Your SEO Ranking?
Artificial Intelligence Chatbots Exclusive

Quick Link

  • About
  • Contact
  • Privacy
Follow US
© 2008-25 SmartData Collective. All Rights Reserved.
Go to mobile version
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?