How To Buy NFTs in Canada
We’ve all heard of non-fungible tokens (NFTs). Whether you are a consumer looking to buy or a digital artist looking to sell NFTs, you can readily exchange digital assets through an NFT marketplace.
Many people have made substantial profits from buying and selling NFTs. For example, Jack Dorsey sold the first tweet for $2.9 million as an NFT. A prolific NFT collector named Pranksy has made $3.64 million in profit via ETH.
Auction houses like Christie’s Encrypted have begun selling digital art through NFTs, with auctions occurring monthly.
In this article, we will cover how to buy NFTs to get you on the path to profit. We’ll go step by step through the process.
Step 1: Buy Ether on Bitbuy.ca
NFTs are exchanged using ether (ETH), a cryptocurrency powered by Ethereum. Almost all NFT marketplaces require ETH payments because most NFTs are ETH-based. These NFTs are considered ERC-1155 or ERC-721 tokens, meaning they have no equivalent on the Ethereum blockchain.
Since most NFTs are on the Ethereum blockchain, the marketplaces follow suit. Some of the most popular marketplaces are Coinbase and Binance. However, we recommend a different platform.
One can buy ether using traditional currency on a platform like Bitbuy.ca. Bitbuy.ca is a cryptocurrency exchange that provides a secure, user-friendly experience.
You can buy ETH by creating an account on Bitbuy.ca. Just enter an email address, password, and other identification information. After passing the know your customer (KYC) check, you will add a payment method like fiat money, debit or credit cards, or PayPal.
Many exchanges require official identification, such as a driver’s license, state ID, or passport. They will manually review your documents and approve you once they ensure you are a real person. Depending on the platform, you may have to wait up to three business days to get approved.
After setting everything up, try to purchase a small sum of ETH to guarantee that everything is running smoothly. Once you feel confident in the security of your account, feel free to add more ether. Check the minimum amount you can add to your account at once to avoid violating any exchange guidelines.
Things to Remember
Once you start buying ETH, look out for potential snags.
Not all exchanges are transparent about their gas fees. Bitbuy.ca openly posts its fees, but many platforms wait until you’ve bought the ETH to tell you how much you’ll really pay.
Fees can vary based on whether you buy or sell ether. Some platforms will charge you for making deposits or withdrawals as well. The Ethereum blockchain has a separate gas fee as well. Some exchanges will include the gas fee in their transaction fees, but others will require you to check the fees before buying.
You can find the prices on the Ethereum Gas Tracker. The High column will complete your transaction faster, but Average and Low will cost less for a slower exchange.
Furthermore, many exchanges enact withdrawal limits that can prevent you from taking out enough ETH to pay for an NFT in time. Some even have purchasing limits, such as:
- Volume Restrictions: After buying a specific amount of ETH, you have to wait 24 hours or provide more identification information before making another purchase. Limits may depend on your country of residence. The KYC information you will provide is often tax documents.
- Time Restrictions: With time restrictions, you can only purchase so much ETH in a 24-hour period. The maximum amount depends on the exchange.
Ensure you thoroughly research an exchange to see all of the limitations that it imposes on its clients.
Step 2: Get a Crypto Wallet Through MetaMask
After purchasing ETH, you will want to transfer it to a reliable cryptocurrency wallet. Crypto wallets store cryptocurrency until you are ready to spend it. They have extensive security measures to protect your ETH. You can store NFTs in a crypto wallet without fearing that someone will hack in and steal your digital assets.
One of the best Ethereum wallets is MetaMask. This Web 3.0 (Web3) wallet lets you store NFTs and use decentralized apps and exchanges.
To get MetaMask, head to the website on your preferred browser and download the add-on or extension. MetaMask supports:
Install the application, press “Get Started,” and select “Create a Wallet.” Now, you get a secret backup phrase (seed phrase) that will help you recover your wallet. Record the passphrase and keep it in a secure location, whether digitally or physically.
You will use your seed phrase when you need to add your wallet on a different device, you forget your password, or you start using a new browser.
Next, decide if you want to send your data to the MetaMask developers. Your information stays anonymous and the decision will not impact your experience.
Make a password for your account. You will use the password to buy and sell NFTs. The wallet creation process ends with confirming the secret backup phrase by selecting each word in order.
These steps are more or less the same if you install MetaMask on a mobile device or computer.
Step 3: Transfer Ether to MetaMask
Now that you have a MetaMask wallet and some Ethereum to your name, you need to transfer your ETH. Try to initiate this transfer at a time when you have low gas fees. Keep an eye on the Ethereum Gas Tracker to find the best period to start.
Once you know your gas fees, log in to your MetaMask account and open the wallet. Select your account name to copy your ETH Buy address to the clipboard. You need this address to receive an ether transfer. Paste the Buy address on the Send or Withdraw field on your exchange.
Select your Ethereum address and the Send/Withdraw tab. Enter how much ether you wish to put into the wallet. Enter the Buy address into the designated field.
Some exchanges let you perform a test transaction. You will have to pay extra for this, but it does add a layer of assurance that you can keep your crypto.
Press continue to see how much you will input in your account once they deduct gas and transaction fees. Now, you can press Send and follow any confirmation steps to transfer the ETH to your wallet.
You will see your ETH on the wallet interface. If you do not find it there, reach out to the customer support team to clear up any issues.
Step 4: Connect Your Wallet to OpenSea
There are countless NFT marketplaces out there, and you can even purchase them directly from a seller on the blockchain. However, most NFT collectors browse reliable marketplaces. You can explore all sorts of tokens, ranging from collectible items in video games, silly GIFs, and viral memes.
OpenSea is the most renowned, respected, and first NFT marketplace. It has remained the largest marketplace since it opened. Most NFT creators use this marketplace because of the ease with which you can get your art on the website. Furthermore, you can find almost any type of NFT on OpenSea.
On the OpenSea homepage, press the button in the upper right corner. Click “Connect wallet” and “MetaMask” to open the sign-in page. Enter your information to link the account.
MetaMask should open in your browser. Select ETH and hit “Next.” Lastly, press “Connect” to finish. Now, you can make transactions on OpenSea.
Step 5: Search for NFTs on OpenSea
On the OpenSea website, press “Explore” to start searching for NFTs. You can add filters to narrow down your search, including:
- Status: Has Offers, On Auction, Buy Now, New
- Price: Enter the minimum and maximum amount of USD or ETH you wish to spend
- Collections: Choose from one of the verified collections to browse specific NFTs (e.g., Mutant Ape Yacht Club, CryptoPunks, The Sandbox, Bored Ape Yacht Club, Parallel Alpha)
- Chains: Klatyn, Ethereum, Polygon
- Categories: Music, Collectibles, Art, Virtual Words, Domain Names, Trading Cards
- On Sale In: Select the cryptocurrency you wish to spend
On the search bar, you can enter keywords relating to accounts, items, or collections. If you have a specific creator in mind or just an idea of the design you want, the search bar always helps.
With thousands of NFTs out there, you might feel overwhelmed by the options. Start by choosing a price range and category. Unless you’re a seasoned veteran, you’ll want to keep your options open. You can also check ETH on the “On Sale In” filter since you have just loaded ETH into your wallet.
Once you find an NFT you like, check if it has unlockable content, how many copies of it exist, and if there are additional features. You may wish to contact the seller for more information before making the purchase.
Step 6: Buy an NFT
Click on the NFT you want and see how it’s being sold. Those listed as “Buy Now” can be purchased immediately at the listed price. You can also choose to make an offer and negotiate a lower cost. Some sellers put their NFTs “On Auction,” which you will need to enter and win.
The fastest choice would be to buy an NFT immediately. On the product page, you will select “Buy now” to get it at the set price.
Once you press “Buy now,” you will agree to the terms of service of OpenSea. Then, you hit the “Checkout” button and follow the steps on the screen to complete the purchase. If you need to add more ETH to your account, you can press the “Add Funds” button to withdraw from the exchange or purchase Ethereum directly with a card.
You could also press “Make offer” if you want to place a bid for a different amount. Enter your offer and agree to the terms of service. You can choose how long you want your offer to stay valid by entering a time and date in the “Offer Expiration” field. Lastly, select “Make offer” to submit the proposition.
Step 7: Approve the Transaction
Next, you need to confirm the purchase in your MetaMask wallet. Open the MetaMask window and follow the instructions. It will display the gas fee and total cost in ETH and USD. If you are comfortable with the price, you can press “Confirm.”
OpenSea does not list the total price when accounting for transaction and gas fees. You can press “Edit” and select how much you want to pay in gas fees. These will change the processing times of your NFT. Lower fees mean your transaction will take longer.
On the “Advanced” tab, you can enter your desired gas fee directly. However, choosing a low price could drastically extend your wait time. Sometimes, you may never complete the transaction if the fees never reach that price.
While waiting for the transaction to complete, you can open the “Activity” tab on your MetaMask wallet. This page will list the status of your transactions. The “History” section lists previous purchases, while “Queue” houses those in progress.
Step 8: Enjoy Your NFT
You can look at your NFT on the OpenSea platform. Click your “Profile” icon on the homepage and select “My Profile.” A new window will open that displays every NFT you purchased from OpenSea. Your MetaMask wallet will also show your non-fungible token.
With an NFT, you have several options. You can:
- Sell it on the OpenSea marketplace
- Transfer it to a new platform
- Put it up for auction
- Trade it with family and friends
- Build a collection to display
- Hold onto it until it becomes more valuable
Some NFTs even come as in-game items that you can use while playing video games. These have a utility purpose that may make them seem more valuable to you.
Where to Buy NFTs Other Than OpenSea
While OpenSea is the top NFT marketplace, there are plenty of other options to choose from.
If you want exclusive art from famous digital artists, you might like Nifty Gateway. This platform houses art from people like Grimes, Steve Aoki, Beeple, and deadmau5. Artists can choose their royalties as Nifty Gateway only takes 5% of each sale. These are some of the priciest NFTs, but the platform is easy to navigate and features high-quality pieces.
Rarible is another popular marketplace that uses the RARI cryptocurrency. By requiring a proprietary coin, Rarible users are encouraged to spend on NFTs. Also, collectors can vote on platform changes and help with curating collections.
The artwork gets approved by a curation team, but anyone can make an NFT. It is also one of the cheaper platforms, and sellers choose their prices and fees.
SuperRare is another curated platform that advertises pieces made by a handful of artists. Anyone can submit artwork, but few artists get approved. You are sure to get a rare piece, as per the title, but it does come with higher fees. Artists do have the chance to earn 10% royalties, which is significantly higher than many platforms.
Beginners to the NFT world will like MakersPlace. It is user-friendly, but you need to have connections with someone in the MakersPlace community to become an artist. However, they do approve more people than platforms like Nifty Gateway and SuperRare. Also, collectors can make purchases with credit cards or Ethereum. However, the ease of use comes with steep fees.
One of the simplest NFT marketplaces is Mintable. Anybody can sell an NFT as long as they connect their wallet, upload a piece of art, and enter some information. They do not charge sellers anything to mint their items, and they have fairly low fees for buyers. However, there are fewer users than many other marketplaces.
The Worldwide Asset eXchange (WAX) blockchain supplies a carbon-neutral cryptocurrency that fights the energy inefficiency and environmental issues presented by Ethereum and Bitcoin. It is a delegated proof of stake (DPoS) system that takes less energy to process transactions.
Atomic Market is an NFT marketplace that operates with WAX coins. It specializes in original digital artwork and in-game items. Artists can list NFTs without uploading them, which gives them more creative ownership.
The platform verifies genuine NFTs to protect buyers as well. It has low fees and allows people to trade for free. However, the marketplace has some technical issues with the website and does not integrate with MetaMask.
Buying NFTs does not have to pose a challenge. All you have to do is follow a few simple steps to get a unique digital asset.
- Buy ETH on an exchange like Bitbuy.ca
- Start a MetaMask account and open a crypto wallet
- Transfer your cryptocurrency to the wallet
- Integrate the MetaMask wallet with an NFT marketplace like OpenSea
- Browse for NFTs
- Make a purchase
It does not matter if you want to start a personal collection or make a profit through buying and selling NFTs. Even if you wish to use other marketplaces or cryptocurrencies, you will follow similar steps on different websites.