Cryptocurrencies have been consistently popular since their inception, and for good reason. They offer a fresh way to conduct transactions online, without the need for third-party interference (e.g. traditional banks). Due to their increasing popularity more and more people are keen to read guides to cryptocurrency success.
What many people don’t know is that cryptocurrencies can also be used to collect unique digital assets known as “crypto-collectibles.” In this article, we’ll discuss the different types that exist, and how to choose one or more that’s most appropriate for you.
What Are Crypto-Collectibles?
As digital assets, they use blockchain technology to store unique information about each individual item. This data can be used to verify the authenticity and ownership of the collectible, and it’s both secure and tamper-proof. The collectibles work in a similar way to cryptocurrencies, but the key difference is that they are not used as a medium of exchange.
As we shall shortly see, there are a wide variety of crypto-collectibles available on the market today. Each category has its own unique features and benefits, so it’s important to understand the differences between each type before you choose one to invest in.
CryptoCelebrities
They are digital assets on the blockchain that represent celebrities or other public figures. They are stored as ERC-20 tokens on the Ethereum blockchain and can be traded just like any other cryptocurrency. You can either buy CryptoCelebrities from an exchange or another user, or you can earn them by completing tasks such as signing up for a service, following a company on social media, or even voting in a poll. CryptoCelebrities have various purposes, including:
- Trading: As with most cryptocurrencies, they can be traded on exchanges for other currencies.
- Holding: You can also hold CryptoCelebrities as an investment.
- Using: Some users have created digital collectibles using CryptoCelebrities. For example, you could create a digital asset that represents your favorite musician and use it to listen to their music online.
It’s worth checking out some of the online NFT marketplaces to learn more. The people who visit the jungle website are typical of those who want to browse by categories (e.g. collectibles, trading cards, virtual worlds, domain names, art, and music). People use such sites to buy, sell and create digital art, and to join mailing lists for the latest news and releases.
CryptoKitties
They are highly popular digital cats that were launched in 2017. The CryptoKitties game is based on the Ethereum blockchain and uses a specific type of token called ERC-20 tokens. You can also breed new CryptoKitties using two different ones. The offspring will have a set of genes from its parents that are determined by the smart contract.
CryptoKitties can be sold on various online marketplaces for different prices. You can also earn rewards if you are able to breed two CryptoKitties that have a high value. Some people even auction their CryptoKitties off to the highest bidder. The popularity of CryptoKitties originally caused congestion on the Ethereum network, leading to higher transaction fees and slower processing times.
Ether Tulips And MyCryptoHeroes
Ether Tulips were created when someone bought a virtual land parcel on the Ethereum blockchain and then planted a digital tulip bulb there. The price of ether (the cryptocurrency used on the Ethereum network) skyrocketed soon after, and people started buying up parcels of land to plant their own tulips. The prices of ether and other cryptocurrencies crashed later on, but ether tulips still remain popular among collectors as a possible long-term investment.
MyCryptoHeroes is a game that allows users to collect and battle digital superheroes. Each one is assigned a unique Ethereum address, and players can purchase, sell, or trade their superheroes on online forums or exchanges. Some of the rarest superheroes are worth thousands of dollars.
Etherbots And Rare Pepes
Etherbots are digital robots that can be bought, sold, or traded on the Ethereum blockchain. They are similar to Crypto Kitties in that they represent unique digital assets using blockchain technology. However, Etherbots can do much more than just breed and trade. They can battle each other, making them a true digital gaming asset.
Another type of crypto collectible is Rare Pepes. They are images that have been encoded into the blockchain using Counterparty assets. There are a variety of Rare Pepe cards available, with some being quite rare and expensive. Like Etherbots, Rare Pepes can also be used for gaming purposes. There is even a Rare Pepe casino where you can gamble your tokens away.
Other Examples
You may also wish to research the following:
- CryptoCrystal
- CryptoVoxels
- Cryptodoodles
- HyperDragons
- Panda Earth
- Decentraland
- CryptoPunks
How To Choose
So how do you select the most suitable one/s for you? Here are some factors to consider:
- The purpose of the crypto-collectible – what will you use it for? Some people buy them as investment vehicles, while others may want them purely for collecting purposes.
- The size and scale of the project – is it well developed with a large user base?
- The team behind the project – do they have a good reputation and are they active in the community?
- The technology behind it – is it sound and does it have the potential for long-term growth?
- The price of crypto-collectibles – this can be quite volatile, so make sure you do your research before buying.
- How easy it is to use and trade.
- The risks involved.
Collectibles can be a fun and interesting way to get into the cryptocurrency world, but it’s important to do your research before putting money into any project. You should go online and read more about the different examples that we’ve discussed. Be sure to assess each one against the criteria listed in the ‘How To Choose’ section.
Depending on your personal intentions, you may soon end up with a collection that you cherish, or have a number of crypto-collectibles that could make you considerable money in the future. Cryptocurrency is here to stay and this can be an enjoyable and creative way to get involved.
