• About
  • Article PDF
  • White Papers
  • Listening Tours​
  • Contact
  • Support Us
  • Advertising & Sponsorships
Tuesday, May 17, 2022
No Result
View All Result
  • Login
Times Of Entrepreneurship
Growth and Equity for a Changing World
Times Of Entrepreneurship
No Result
View All Result

Accessing Money Tools: NFTs Explained, And How Creators Can Take Advantage of Web3

A Former Miss Utah Went to $800,000 in Revenue with Merchandise and Creator Fund Payouts

by Lori Ioannou
February 1, 2022
in Deep Tech, Finance
Reading Time: 3 mins read
0
Share on FacebookShare on Twitter
blonde woman in a fantasy sci-fi scene
Sasha Sloan, a former Miss Utah, built a business on videos for Harry Potter and Star Wars fans.

This is Part 2 of a two-part series on the Creator Economy. See Part 1: A Gold Rush Mentality is Overtaking the Creator Economy

A key part of the transformation to the creative economy is the rise of Web3,  which includes blockchain and NFT and digital token technology. “But these are early days, and not a lot of creators know about it,” explains Mason Nystrom, a research analyst at Messari.

The platforms and products that really want to help creators on their long-term journey will be the ones that succeed, not just the ones looking to profit in the short-term, says Ben Terry, partner and chief creative officer at Access Ventures, a nonprofit that works to build a more inclusive economy. And for creators a steep learning curve lies ahead. “Right now when people say ‘creator economy’ it’s like sticking jello on the wall,” he notes “In the past year it’s changed so much it’s hard to know what it means.”

Here’s the way NFTs work: artists can sell anything digital –i.e, drawings, music, writing — and then monetize it in perpetuity, getting paid a royalty at each sale point as the value of the work increases. Buyers get certificates of authenticity. That’s because NFTs are typically part of the Ethereum blockchain that allows artists to create their own galleries and set their own prices online while earning royalties on secondary sales. Just as important, the asset cannot be deleted since the metadata of the NFT is stored on the blockchain, so if a platform ends up shuttering it doesn’t matter.

Most platforms take royalties on first-time sales and on all secondary sales. On NFT platforms, the spit can be anywhere from 2% to 15% on primary sales, and 1% to 5% on secondary sales. Most often the fee is paid by the buyer so creators need to figure out the platform’s royalty structure and charge accordingly, says Nystrom.

More and more platforms like Artblocks or SuperRare are emerging to allow artists to sell NFTs. One startup that will launch its Web3 platform in March is Ekko. It will allow creators to load their content – including music, art, writings, videos and photographs — and the site will transform any work into an NFT. It will also allow buyers to pay for NFTs without a digital wallet, making it a more mainstream marketplace for consumers.  Ben Guez, a serial entrepreneur, is bootstrapping the venture after helping many Patreon and OF creators with their marketing efforts.

“I have seen a lot of creators achieve great success, and others lose money,” he says.

They face challenges, he acknowledges. It’s hard for them to understand blockchain, and how to make money from NFTs, he points out. The other issue is safety, since these digital assets can be hacked in digital wallets or from users of these platforms through phishing scams, bugs and other means. It’s a growing problem. Last month, hackers stole $1 million in NFTs from OpenSea users, the largest peer-to-peer marketplace for NFTs, rare digital items and crypto collectibles.

Practical Advice for Creators

So what should creators do when accessing the new platforms and tools they can use to start a business?

“When doing due diligence look at the platform itself and study its audience,” says Nysstrom. “Pick one with a lot of volume and a large audience if you don’t have your own following. Also look at tooling and figure out what you want to issue.” As he explains there are options. You can issue a single NFT or a collection of tokens. Keep in mind artists have to store a record of their NFT or token on another platform.

Now is the time artists can get in on the nascent NFT market. The overall market reached $41 billion in value in 2021, according to blockchain data company Chainalysis. Many analysts expect it will double by 2025.

But no matter whether or not a creator decides to digitize their work, akey to success is a solid social media strategy. The likelihood of someone wanting to own an NFT of something you create goes up exponentially if you are well known in the metasphere.

“You have to diversify across multiple channels and cross-promote. This will help you get five times the mileage,” says Sasha Sloan, 24, Miss Utah and founder and CEO of Archive Sunday, a company that sells apparel, accessories and collage kits designed for Star Wars and Harry Potter fans.

She should know. She was a political science student at Brigham Young University when the pandemic hit and she launched a side hustle posting videos for Star Wars and Harry Potter fans on TikTok. In three months she had 1 million followers. Then she started posting and cross promoting on YouTube, Pinterest, Instagram and Facebook. Last year, she garnered $800,000 in revenue from merchandise sales, and payouts from the TikTok Creator Fund and YouTube. “I started with $300 in the bank and a cell phone. It was like getting struck by lightning.”

For more inspiring stories, insights and actionable funding opportunities, subscribe to Times of E’s weekly newsletter, www.timesofe.com/introduction.
Tags: ArtblocksMason NystromMessariSasha SloanSuperRare
Lori Ioannou

Lori Ioannou

Related Posts

Take Your IRR With A Grain Of Salt. It’s A Vanity Metric

Take Your IRR With A Grain Of Salt. It’s A Vanity Metric

by Seth Levine
May 11, 2022
0

Seth Levine I’m observing that IRR is a metric that is becoming an increasing focus in venture, replacing fund return...

collaged headshots of a man and woman

VC Spotlight: A Palestinian Venture Fund, Going Strong, Aims To Raise Another $15M 

by Elizabeth Macbride
April 25, 2022
0

Habib Hazzan and Ambar Amleh Name: Ibtikar Fund Location: Palestine Website: www.ibtikarfund.com Size: We are currently raising Ibtikar Fund II, which we are targeting...

Commentary: Authenticity Is Women’s Most Powerful Weapon in Raising Funds. Here’s How To Tap Into It.

Commentary: Authenticity Is Women’s Most Powerful Weapon in Raising Funds. Here’s How To Tap Into It.

by Allison Long Pettine
March 23, 2022
0

Allison Long Pettine Oh, I’m so sorry. Forgive me. You take the good seat. When women communicate with each other,...

VC Spotlight: Entrepreneur-Turned-Investor Lu Zhang Is On Her Third, $120M Fund

VC Spotlight: Entrepreneur-Turned-Investor Lu Zhang Is On Her Third, $120M Fund

by Elizabeth Macbride
March 11, 2022
0

Lu Zhang Name: Fusion Fund Location: Palo Alto, CA Website: https://www.fusionfund.com/ Size: I just launched Fund III last year. It...

Editor’s Note: Is Venture Capital Really a Tool for Broad Economic Development?

Editor’s Note: Is Venture Capital Really a Tool for Broad Economic Development?

by Elizabeth Macbride
February 23, 2022
0

Elizabeth Macbride Earlier this month, the National Venture Capital Association and the University of North Carolina’s Kenan Institute of Private...

blonde woman in black

Kizmet Impact Aims To Be One of the First Publicly Traded VC Funds

by Skyler Rossi
February 11, 2022
0

Marissa Bronfman Name: Kizmet Impact Capital Location: Toronto and Vancouver, Canada Web site: https://www.kizmetimpact.com Size: Raising its first $50M fund...

Subscribe to Times of E’s Free Weekly Newsletter

Learn about the emerging ecosystem of diverse founders

Popular

  • Distribution of Realized U.S. Venture Outcome Over the Past Decade

    Venture Capital Returns Are More Skewed Than People Realize

    0 shares
    Share 0 Tweet 0
  • Take Your IRR With A Grain Of Salt. It’s A Vanity Metric

    0 shares
    Share 0 Tweet 0
  • Canvas CEO Steps Down after $50M Round Incites Racial Controversy about Who Gets Funded

    0 shares
    Share 0 Tweet 0
  • A Young Tech Millionaire Moved To Boise. Now, He’s Humbler, And More Connected.

    0 shares
    Share 0 Tweet 0
  • Commentary: Women Now Face Pressure To Look Beautiful Everywhere They Go. Here’s How To Set Them Free.

    0 shares
    Share 0 Tweet 0

Recent

woman leaning against a brick wall in a white jacket

Editor’s Note: Times of E Is On A Summer Schedule

May 12, 2022
Weekly Newsletter: Abortion Scare Politics, Manufacturing Ethos And Most Fundable Companies

Weekly Newsletter: $200M Headed to Entrepreneurs, VCs’ Vanity, & Summer Vacation Plans

May 12, 2022
Take Your IRR With A Grain Of Salt. It’s A Vanity Metric

Take Your IRR With A Grain Of Salt. It’s A Vanity Metric

May 11, 2022

Recommended

  • Health
  • Climate
  • Deep Tech
  • Finance
  • Education
  • Women Entrepreneurs
  • Mentorship
hurricane weather image

The HUB: What Happens after Hurricane Ida?

9 months ago
Lisa Falzone

Meet The Founder Taking On America’s Love Affair With Guns

2 years ago
  • About
  • Partner
  • Bespoke Research
  • Listening Tours​
  • Contact
  • Support Us
  • Privacy Policy

(703-966-7357)

© 2020 Mondial Publishing Inc. All Rights Reserved.

 
Facebook Twitter Linkedin
No Result
View All Result
  • Research
  • Finance
  • Women Entrepreneurs
  • New Builders
  • Ecosystem
  • Events
  • Newsletter
  • Editor’s Note

© 2022 Mondial Publishing Inc. All Rights Reserved.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Free Download

Times of E Speaks with Jim McKelvey

Get exclusive insights on the future of entrepreneurship. 

Download Now

Support Times of E

Times of E covers the emerging ecosystem of diverse founders.

With your support of our journalism, you will receive our weekly newsletter and one of these resources for free: 

Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?