Passive income with NFTs – how do you do it? =

Passive income – who wouldn’t want that? ‘Getting rich while sleeping’ is a dream or a goal for many people. A passive income is an income for which you do not have to do anything at the moment the money comes in . How much you earn is therefore also not connected to how many hours you work.

Non-fungible tokens (NFTs) have been gaining popularity in recent times. They are in the news a lot and have gained enormous popularity. Besides Dogecoin (DOGE) or Safemoon (SAFEMOON), there is actually nothing in the crypto world that has become so popular in such a short time.

But can these two beautiful things be linked together? Can you earn passive income with non-fungible tokens? Yes, you can. But how do you do that? You can read about that in this article.

Read quickly


  • Read quickly
  • What is a non-fungible token (NFT)?
  • How do you create a non-fungible token?
  • Benefits for artists when tokenizing their art non-fungible
  • How do you earn passive income with NFTs?
  • How much passive income can you realistically expect from NFT royalties?
    • Height of the royalty percentage
    • The appearance of the NFT
  • Conclusion
  • Make money with NFTs?
    • Start immediately with our NFT Blueprint!

The video below explains NFTs in a simple and clear way.


What is a non-fungible token (NFT)?

A non-fungible token, often shortened to NFT, is a token that represents something unique.

Fungible means easily replaceable. A fungible token is therefore not unique, easily replaceable and identical . The easiest example of this is therefore a 5 euro note. It does indicate a certain value, but is otherwise identical to all other 5 euro notes. Other examples of things that are fungible include bottled beer or unlimited sneakers.

Non-fungible therefore means not easily replaceable. A non-fungible token is therefore unique and not replaceable . There’s only one of them. For example, you can think of a plane ticket. There are several airline tickets for the same flight, but only 1 airline ticket has your code, your name and your seat number on it. This makes your ticket unique and no one else can enter with your ticket.

Now that we know the difference between fungible and non-fungible, it is also a lot easier to explain the difference between a fungible token and a non-fungible token.

A fungible token is a token that is not unique and easily replaceable. An example of this is Bitcoin (BTC) and Ethereum (ETH). For example, if you sell 1 Bitcoin now and buy back 1 Bitcoin next week, you probably don’t have the exact same Bitcoin. However, you will not notice the difference between the two different currencies as they are simply exactly the same.

This is different for a non-fungible token. Non-fungible tokens are unique and irreplaceable. Non-fungible tokens, unlike fungible tokens, use the ERC-721 protocol or the ERC-1155 protocol. Fungible tokens, on the other hand, use the ERC-20 protocol.

The protocol, which non-fungible tokens use, ensures that these tokens become unique and irreplaceable . Put very simply, this protocol ensures that each non-fungible token is assigned a unique number, making it clear that it is unique. The clearest comparison is probably when a limited sneaker release has a number on each shoe so you know exactly which one you have.

Because of this unique number you know exactly which token you have, something you cannot check with a fungible token. With a non-fungible token, for example, you can know whether you have exactly the same one when you sell it and buy it back a week later.

Another thing that is unique about a non-fungible token, compared to a fungible token, is that a non-fungible token cannot be chopped into pieces. For example, a Bitcoin can be chopped into thousands of pieces, allowing you to purchase 0.0001 Bitcoin. This is not possible with non-fungible tokens. You can only buy a whole non-fungible token, not half or a tenth non-fungible token.

Do you want to know more about what NFTs are and how they work exactly? Then read on here.

How do you create a non-fungible token?

The video below briefly explains how to make an NFT.


Most NFTs are built on the Ethereum network. However, this is not the only platform where this is possible, for example it is also possible on Flow (FLOW) and the Worldwide Asset Exchange (WAX). For now, we’ll take a look at the Ethereum network, because it’s generally the most common.

The first step in making (and therefore selling) NFT art is of course making your piece of art . So it makes sense that you would, for example, create a work of art and process it in the form of a GIF, JPG or perhaps even an MP3 file. These are of course not all possible files, in principle any file can be made into NFT.

The second step is choosing a network on which to create and distribute your NFT. As mentioned earlier, we are looking at Ethereum for now, but it is also possible via, for example, the Binance Smart Chain, TRON (TRX), Eos (EOS), Polkadot (DOT) and Cosmos (ATOM).

Next, it is important that you have a platform you will choose on which you will release your NFT. Examples of platforms on which this is possible are, for example, OpenSea or Mintbase. Make a good choice for yourself in this, because it is quite an important step.

After following the indicated steps within your chosen platform, your NFT is ready for sale. You can add or adjust various things, such as linking royalties to your non-fungible token. This way you can receive a percentage of the sale amount on every sale after the initial sale. This can be an ideal option!

Do you want to know more about how to make and sell a non-fungible token and everything that comes with it? Then read on here.

Benefits for artists when tokenizing their art non-fungible

So NFTs are part of the world of crypto. In most cases they are built on the Ethereum network. Ethereum is the second largest cryptocurrency out there, after Bitcoin. On the Ethereum network you can build completely unique assets that cannot be copied. This is done through the blockchain.

When an artist releases his or her art as a non-fungible token, this artist can easily prove that it is his or her work of art . This doesn’t always have to be the case with physical art, but through NFTs it’s very easy, as we explained in the section above.

In addition, it is not possible for anyone to modify, manipulate or defraud the non-fungible token . The blockchain simply makes this impossible. This is due, for example, to the security of the system, but also to its transparency and easy traceability.

sell their art as a non-fungible token . It is especially this component of non-fungible tokens that has gained enormous popularity in recent times. Famous people like Gary Vee and Elon Musk have already released their own NFTs and sold them for a lot of money. The most expensive NFT, from Beeple, was sold for 69 million dollars, converted to euros this is about 57 million euros.

In addition to the money that this directly generates, the sale of art as non-fungible tokens has some other advantages. For example, as an artist you can add royalties to the NFT . This ensures that you as an artist receive a certain percentage of the proceeds with each subsequent sale. We’ll go into this in more detail later.


How do you earn passive income with NFTs?

When you own a non-fungible token of, for example, a piece of music or a beautiful work of art , you actually own the property rights of this online piece of art . In the case of an image, for example, it doesn’t matter if everyone has this image on their phone, because none of those people really have the property rights like you do.

When you release an NFT, you can, as we mentioned earlier, add royalties to it. In short, you always retain the right to receive a certain percentage of the next sales amount . In other words, when the non-fungible token is resold for, say, €10,000 and you have a royalty of 5%, you will receive €500 on this sales amount, while you actually no longer owned the NFT.

This is therefore a relatively easy way of passive income, because you literally never have to do anything for it after the sale. This is an advantage, because with many forms of passive income it is never completely passive. With many forms you always have to work with it a bit, but this is not the case with royalties.

The nice thing about NFTs is that you always have a good idea of how much the NFT is worth. This will let you know how much income you can likely expect from the next sale. Having such a good image is a big advantage. There are therefore also many experts who expect that assets such as real estate, cars or gold, for example, will also become NFTs .

Should this happen, you can now properly display the value of these assets and they can also be sold at any time and quickly.


How much passive income can you realistically expect from NFT royalties?

Before you invest a lot of time in building up a certain passive income, it is important that you have a good idea of what it may yield for you.

With passive income, the expected income is of course always less predictable than with active income . For example, with active income you know: my 40 hours a week are equal to € 2000. You can then be 100% sure that when you work your hours, you will receive this money. This is different with passive income. Your income is not directly related to something you can influence yourself, such as hours.

So it is a bit more unpredictable with passive income anyway, but with NFTs it is even more unpredictable and perhaps also more irregular than with other forms of passive income. This is mainly because the market is very new.

The market of crypto as a whole is very new let alone the market of NFTs . They have only been very popular for a relatively short time, which makes it difficult to say how the market reacts to certain things.

In addition, your income naturally depends on how often your NFT is resold. If this only happens once, you will only receive royalty income once. So you hope that this happens as often as possible, because this means as much income as possible for you.

There are a number of things you can do that could possibly increase the chance of a lot of income. In the next section, we’ll look at some of these things.

Height of the royalty percentage

The level of the royalty percentage affects your income in 2 ways.

The first way is of course that you receive more money per sale , the higher you set a royalty percentage. As far as that is concerned, it would therefore be smart to set this percentage as high as possible.

However, the lower you set the percentage, the more attractive it is for people to buy the NFT . With a low royalty percentage, the turnover rate could therefore be higher, so that you ultimately earn more.

It is important that you make a good assessment for yourself.

The appearance of the NFT

Of course, the appearance of the NFT has a certain influence on the number of sales. The more beautiful the NFT, the sooner people will consider investing in it and the more often it will be sold.

As a result, you receive more money when your NFT is beautiful.



NFTs are one of the new developments in the crypto world. They are unique tokens that are irreplaceable and they certainly look like an interesting option. You could decide to invest in it, but it is extremely important that you do your research first and then invest!

You can also create passive income with the help of NFTs. You can do this by adding royalties to it. You can adjust and add various things to it that can affect your possible return.

Do you want to know more about NFTs and how you can make money with them? Join our EverythingAboutCrypto Facebook group! We like to talk about everything related to crypto and the blockchain and share valuable information with you. Hopefully we’ll see you there!


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