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Why do people want to invest their money in NFTs? Here's all you need to know

A few years back, Kevin McCoy created the first ever NFT and that time it was called monetized graphics. The Non-Fungible Tokens (NFT) represent exclusive ownership of an asset that could be artwork, memes, music, and Metaverse collectibles.

To understand what people perceive while talking about blockchain-related stuff, CenturyLink conducted a survey in which they asked one thousand people to tell what they know about NFT. Six hundred forty-five people said they were aware of this term. At the same time, 30% of these respondents had already bought at least one token. Twenty-two percent of people said they would never think of buying even one. The respondents had different opinions and choices regarding purchasing NFTs. Thirty-two percent purchased an NFT to feel good about their social status in the cybercommunity. They said buying an NFT is similar to possession of a house or branded designer dresses in actual existence. In addition, 36% of respondents bought NFTs to gain a good amount from them by reselling them. Another thing is, that you don't need to always get a profit because it is difficult to predict the market turns. In 2021, NFT purchases skyrocketed with the growing popularity of digital tokens. The NFTs hit $10.7 billion in trading in Q4 of 2021. Ethereum, Bitcoin, and other cryptocurrencies also saw record prices. Right now, sales are low due to the crypto market collapse, but recent crypto finance markets, for example, GameStop's, are progressing.

Furthermore, more than half of respondents said they see NFT as a digital store of their capital 53 percent of people said they're glad to request a loan or take out their savings to buy NFT because they consider it their method of preserving value. Around 33 percent of respondents said they could spend 500 dollars to buy a single digital token, while 21 percent said they would love to spend more than 500 dollars. It was noticed during the study that generation Z were primarily interested in buying NFTs, and they can spend up to 100,000 US dollars on an NFT, and 14 percent of the similar age group can spend extra.

It is essential to mention here that not only Gen Z seems willing to buy NFTs but also people of all age groups want to purchase them, and they all have diversified purposes for buying. Millennials and Gen X buy NFTs almost 30 percent and 18 percent, while Boomers only 13 percent. A lot of people (41 percent) said they are looking forward to buying between 2 and 5 NFTs, while 14 percent, including Millennials and Boomers, said they want to buy 11 or even more.

According to the study, 40 percent of Gen Zs buy NFT for profit, Millennials with 36 percent, Boomers with 29 percent, and Gen X with 42 percent. Gen X are more willing to purchase NFTs to maintain their social status among all generations. Considering buying methods, Millennials use their savings to buy NFTS (33%), Boomers use their income (60%), and as mentioned earlier, Gen Z (29%) takes the loan to buy NFT. Moreover, all generations perceive NFT as a legitimate means of Art.

Most of the respondents agreed with the fact that NFT is an ideal investment. It makes them able to gain profit (26%) and show off their wealth (55%).
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