What Can You Do With NFTs?
What is NFT Farming and How to Earn from it?
NFT farming is a relatively new concept that involves staking tokens to earn NFTs, rewarding idle token holders in a whole new way. Unlike traditional staking, which rewards users with the originally staked token, NFT farming allows users to access very distinctive and unique yield-generating assets that they may not previously have had access to.
How to Farm NFTs
The NFT farming method is relatively simple, making it accessible to both newbies and seasoned traders alike. You will first have to double-check that you have enough native tokens to earn the NFT you want. You can begin farming after everything is in order and you’ve confirmed that the required tokens are available in your wallet.
The first step is to begin staking is having access the required tokens. This will allow you to start to accumulate ‘nTokens’, synthetic tokens which are non-tradable cryptocurrencies that can only be used to redeem NFTs within the specific NFT farm.
Staking rewards are dependent on how the farm is set up, but once you accumulate enough nTokens you can then redeem them for various prizes. This allows both average token holders and whales to get access to exclusive NFTs. After you’ve earned the required number of nTokens to claim your preferred NFT, you can spend your nTokens to mint it. The nTokens will be burned by the smart contract once claimed, and you will have access to your brand new NFT.
After that, you have the option of either unstaking your original tokens or continuing to stake in order to earn additional unique NFTs. This process Unless there is a minting limit per user, which projects can decide to implement, this can be repeated as long as the NFTs are available, and at the end of the staking term, all original tokens are returned to your wallet.
What’s in It for Me?
The benefits of NFT farming for token holders are plain to see. A lot of users simply hold their tokens in their wallets passively, wishing that their price would rise as their networks develop. As an alternative to allowing your assets to sit idly by, you can make your tokens work for you and earn value-generating assets and incentives via NFT farming.
The incentives generally fall into one of two categories: collectible or utility-based NFTs, but they come in all different shapes and sizes. Apart from earning collectible and artistic NFTs, users can also gain utility NFTs.
This could also include bonuses like APR on staking opportunities or other features designed by the project development team.
Other Farm Possibilities
NFT farming is now most common amongst metaverse and blockchain gaming projects, but can be applied to any blockchain project with a native token. In games, players stake the items and loot they get in the game in return for tokens and vice versa.
Axie Infinity is a great example of a blockchain game that allows you to farm NFTs. Players gain SLP tokens in the Ethereum-based game, which can be used to mint NFTs in the form of new Axies. Aavegotchi, SuperFarm, and League of Kingdoms (LOK) are among the DApps that offer NFT farming prospects, in addition to Axie Infinity.
Through NFTrade, projects from all over the spectrum and ecosystem, regardless of their industry, can introduce additional opportunities for their token holders via NFTs, and by using our NFT farms, the process is extremely fluid and easy to understand.
Check it out here: https://nftrade.com/farms