How to buy NFTs without owning crypto

Nonfungible tokens (NFTs) have become a popular way for creators to sell digital art and other unique items. But because they don’t own cryptocurrencies, many people are afraid to invest in NFTs. So can you buy NFTs without owning crypto?

The good news is that one can buy NFTs without owning any cryptocurrency. For example, users can buy NFTs with dollars, credit cards or through a friend.

This article will look at a number of ways to buy NFTs with fiat money and other methods.

Buy NFTs with a credit card on NFT marketplaces

One of the easiest methods to get these unique digital assets without having cryptocurrencies is to buy NFTs with a credit card. Some NFT marketplaces, such as OpenSea and Nifty Gateway, allow customers to use credit cards to purchase non-fungible tokens. It is important to remember that not all marketplaces accept credit cards as a form of payment.

Users must register for an account with the marketplace they wish to use to purchase NFTs by credit card. Before customers can use a credit card to purchase non-fungible tokens on some marketplaces, identity verification is required. Users can browse through the various NFTs and select the ones they want to buy after creating and verifying their accounts.

They can then proceed to the payment page, where they will have the option to choose a payment method. If credit card payment is available, users can select this option and enter their credit card details to complete the purchase.

It is important to remember that using a credit card to purchase NFTs may incur additional costs, such as processing or transaction fees. If users purchase NFTs on a site that accepts a currency other than their credit card, they must also be informed of the exchange rate. NFT purchases may also be classified as cash advances by some credit card providers, which may result in higher interest rates and fees.

Despite these potential drawbacks, purchasing NFTs via a credit card is an accessible way to obtain these distinctive digital assets without holding any cryptocurrencies. Without having to buy and trade crypto, it enables people unfamiliar or new to the cryptocurrency world to invest in NFTs.

Related: How do you assess the value of an NFT?

Uses third-party services to purchase NFTs

Another option to buy NFTs without owning cryptocurrencies is to use third-party services. Users of these services may purchase NFTs using fiat money or other payment methods that may not be permitted on NFT marketplaces. So how do you use third party services to buy NFTs?

Users must find a provider that allows them to purchase NFTs through third parties. Examples include Niftex.io, Shopify and NiftyKit. For example, Shopify allows merchants to accept credit card payments. However, to allow cryptocurrency payments, artists must enable one or more of the supplemental cryptocurrency payment processors from the “Payments” page located in the “Settings” section of their Shopify admin account.

Generally, users must register an account and follow the payment procedures after selecting a service they wish to use. Depending on the service, various payment options such as credit cards, bank transfers and others may be available.

However, using third-party services to buy NFTs has its advantages and disadvantages. On the one hand, this method is beneficial to people new to the cryptocurrency world because it allows consumers to purchase non-fungible tokens without having to own cryptocurrency.

In addition, these platforms offer a wider range of payment options, including bank transfers and credit cards, than NFT marketplaces do. Some services go so far as to include additional features such as fractional ownership of NFTs, which can give investors more options.

However, using third-party services can also have certain disadvantages. There may be higher fees than on NFT exchanges, which may increase over time. The security of third-party services may also be inferior to that of NFT marketplaces, increasing the potential for fraud and other fraud. Finally, users may be required to set up accounts and go through additional verification processes, which may take time and possibly include the disclosure of personal information.

Using a peer-to-peer exchange

Using a peer-to-peer (P2P) exchange, users can buy and sell NFTs directly with each other without the need for intermediaries such as banks or payment processors. Users need to find a platform that offers the P2P exchange option to buy NFTs.

OpenSea, a decentralized marketplace for NFTs, serves as one example. Users can register for OpenSea and link their wallets, such as MetaMask, which enables interaction with the Ethereum blockchain, to access the service. Users can explore available NFTs and purchase them using fiat currency or other payment methods when they have a connected wallet.

Due to the absence of intermediaries in the transactions, peer-to-peer exchanges can also provide lower fees than other solutions. In addition, some platforms may include exclusive NFT collections or services not offered by other exchanges.

Nevertheless, there may be disadvantages to take into account. P2P exchanges may have a greater risk of fraud or fraud than other methods since they involve direct transactions between buyers and sellers.

As a result, users may need to conduct additional research and due diligence to confirm the legitimacy of the seller and the NFT’s authenticity. Additionally, buying and selling NFTs on a peer-to-peer exchange can be more difficult than with other options, which can be inconvenient for beginners.

Buying NFTs through a friend

Buying NFTs through a friend is another option for those who do not own cryptocurrency. Let’s take an example of the scenario where Bob wants to buy an NFT but has no cryptocurrency. But Bob’s friend Alice is willing to buy NFT on Bob’s behalf in exchange for fiat money or some other pre-agreed payment method. Alice is the owner of cryptocurrency.

The details of the sale, such as the purchase price, the method of payment and the delivery of the NFT, must be agreed upon by Bob and Alice in order to complete this transaction.

Alice would then use her cryptocurrency to purchase NFTs on Bob’s behalf after they had agreed on the terms. Bob would then transfer the agreed sum of money to Alice. Alice would then transfer the NFT to Bob’s digital wallet after the purchase.

While buying NFTs through a friend can be a convenient option, there are also potential risks to consider. Before the transaction is carried out, all parties should ensure that they have complete trust in each other and have a written agreement in place.

There is also a chance of loss or theft of NFT if the friend purchasing it on the other person’s behalf does not adequately protect their digital wallet or follow standard procedures for purchasing and storing NFTs. So before choosing this course of action, it is crucial to carefully weigh the risks and benefits.

What are the barriers to buying NFTs without crypto?

Users may find it challenging to determine the exact cost of non-fungible tokens due to the fluctuations in cryptocurrency prices. The inability to purchase NFTs without crypto may also be hampered by high transaction costs and security issues.

In addition, some buyers may be concerned about the regulatory uncertainty surrounding the legal and tax consequences of purchasing non-fungible tokens.

Related: NFT Investing: A Beginner’s Guide to the Risks and Returns of NFTs

Finally, since many NFT marketplaces and platforms only accept cryptocurrency as payment, it is difficult to buy NFTs without it. This means that in order to buy an NFT, one must first buy crypto if they don’t already have any.

Although a few NFT marketplaces are starting to offer payment methods other than cryptocurrencies, such as credit card payments, these options are currently few and far between. Other payment options are likely to become available as the NFT market expands, making it easier for people to buy non-fungible tokens without cryptocurrency.