NFTs for Beginners: Start Here

New to Crypto or NFTs? Start Here

Welcome. If words like "wallet", "blockchain" and "NFT" sound confusing, you're in the right place. This guide explains the basics in plain English, so you can understand what ANON NFTs is, how NFTs work, and how to stay safe. No jargon, no hype and no pressure.

What is a blockchain?

A blockchain is a public digital record that is shared across thousands of computers around the world. Every time something happens, such as a token being sent or an NFT being created, it is recorded as a transaction. Once a transaction is recorded, it is extremely difficult to change or delete.

The important part for you is that anyone can check it. You don't have to trust what a project tells you, because you can look up the record yourself. That's why you'll often see us say "check it on-chain". It simply means you can verify it on the blockchain.

What is cryptocurrency?

Cryptocurrency is digital money that lives on a blockchain. Bitcoin and Ethereum are the best-known examples, but there are thousands of others. Some cryptocurrencies, called stablecoins, are designed to track the value of a normal currency such as the US dollar.

Crypto prices can move up and down very quickly, and cryptoassets are generally not protected by the Financial Services Compensation Scheme (FSCS) or the Financial Ombudsman Service. That is why it is important to understand the risks before getting involved.

What is an NFT?

NFT stands for Non-Fungible Token. That sounds complicated, but the idea is simple.

"Fungible" means swappable. A £1 coin is fungible: any £1 coin is worth the same as any other. An NFT is non-fungible, which means each one is unique and has its own identity on the blockchain.

An NFT acts like a digital certificate of ownership. It can be linked to artwork, a collectible, a game item, a membership or access to something. The blockchain records who owns it, and that record can be checked by anyone.

Think of it like a numbered, signed print from an artist, except the signature and the ownership history live on a public record instead of on paper.

What is a crypto wallet?

A crypto wallet is an app or device that holds your crypto and NFTs. It lets you connect to websites, sign transactions and prove you own something on the blockchain.

Every wallet has a "seed phrase" (also called a recovery phrase), usually 12 or 24 words. This phrase is the master key to your wallet.

The golden rule: never share your seed phrase with anyone. Not with support staff, not with a "helpful" stranger in your messages, and not with ANON. No genuine project will ever ask for it. Anyone who has your seed phrase can take everything in your wallet.

What does "minting" mean?

Minting means creating a brand-new NFT on the blockchain. When a collection launches, you can mint an NFT directly from it, usually for a set price called the mint price. Once minted, the NFT sits in your wallet and the ownership is recorded on-chain.

After a collection has minted out, NFTs can usually only be bought from other holders on a marketplace.

What are gas fees?

Every blockchain transaction needs a small fee, often called a "gas fee". It pays the network for processing your transaction. Fees vary by blockchain and by how busy the network is, so always check the fee before you confirm anything.

What is the floor price?

The floor price is the lowest price that an NFT in a collection is currently listed for. It can change at any time, and it can go up or down. A floor price is not a guarantee of what you could sell an NFT for.

How is ANON NFTs different?

Most NFT collections rely entirely on another buyer coming along. ANON NFTs are released on the Liquid NFT Marketplace, where collections have liquidity backing.

In simple terms, when an ANON NFT is minted, at least 50% of the mint price is held as liquidity in FUSD against the collection. On top of that, ANON regularly adds extra liquidity to its collections through daily liquidity boosts, and every boost is logged on our Proof of Work page.

You don't have to take our word for it. Every figure can be checked on-chain and on the Liquid NFT Marketplace.

It's important to be clear about what this does not mean. Liquidity backing does not guarantee any resale price or return. The value of that backing depends on FUSD and on the Liquid NFT Marketplace, and the backing figures can change over time. Figures we publish are correct at the time of writing.

Why CC0?

All ANON NFT artwork is released under a CC0 licence. CC0 means the artwork is placed in the public domain, so anyone can use, share or remix it. We believe in open culture, and CC0 lets the art travel further.

How to stay safe

The crypto and NFT world has some brilliant communities, but it also attracts scammers. Here are the basics everyone should know:

1. Never share your seed phrase or private keys. Ever.

2. Only use official links. Bookmark the real websites and double-check the address before connecting your wallet.

3. Be wary of direct messages. Real projects don't DM you first offering help, prizes or free mints.

4. If it sounds too good to be true, it probably is. Be very cautious of anyone promising guaranteed profits or returns.

5. Read what you're signing. Before you approve a transaction in your wallet, check what it is asking permission to do.

6. Start small. Learn how things work with small amounts before doing anything bigger.

7. Only spend what you can afford. NFTs are high risk, prices can fall, and you should never use money you need for bills, rent or essentials.

8. Do your own research. Check a project's history, its team's track record and its on-chain activity.

A simple jargon buster

Blockchain: a public, shared digital record of transactions.

Wallet: an app or device that holds your crypto and NFTs.

Seed phrase: the secret 12 or 24 words that unlock your wallet. Never share it.

Mint: creating a new NFT on the blockchain.

Gas fee: the network fee for a transaction.

Floor price: the lowest listed price for an NFT in a collection.

Liquidity: funds held that support trading in a collection.

On-chain: recorded on the blockchain and publicly checkable.

Stablecoin: a cryptocurrency designed to track a normal currency, such as the US dollar.

CC0: a licence that places artwork in the public domain.

Where to go next

- Explore the collections on our Anon Collections page.

- See every liquidity boost on our Proof of Work page.

- Read how we measure ourselves in the ANON NFT Survival Index.

- Got a question? Email us at anonnfts@outlook.com.

Take your time, ask questions and never feel rushed. The best way to start is to learn first.

Important: This page is for general education only and is not financial advice. NFTs and cryptoassets are high risk. Prices can fall below what you paid, and liquidity backing does not guarantee any resale price, redemption amount or return. Cryptoassets are generally not protected by the FSCS or the Financial Ombudsman Service. Figures are correct at the time of writing; check the Proof of Work page and on-chain.