Of course, you wouldn’t want to spend a dime on an expensive item without checking if the piece you’re about to buy is an original one from a legitimate artist. The same goes for buying an NFT. Thanks to blockchain technology, fans, collectors and investors alike can now own unique valuable assets from art, music, videos, collectibles and more. But similar to any traditional assets, there is also a risk of buying counterfeit NFTs and unauthorised duplicates.
But how can you spot fake NFTs? Here’s a list of six steps you might want to check to check the authenticity of an NFT.
Look Out for Fake Giveaways
While legitimate NFT teams announce giveaways to gain credibility, scammers take advantage of fake giveaways to get more people to invest in a project that doesn’t have a strong community on Discord or worse, a project that’s never gonna happen.
Giveaways, in general, are hard to resist. To avoid fake ones, be mindful of those that ask for more information than needed. Some scammers might ask you to connect your NFT wallet to their fake NFT. This often results in token theft. If left unattended, these scammers can get swept off completely.
Check if the Discord and Twitter are Active
If you have been into the NFT world long enough, you would know the importance of Discord and Twitter apps in the NFT space. As such, you can check the authenticity of an NFT based on the community they have founded as well as on the discussions and tweet patterns on Discord and Twitter.
Another thing to look at is how an NFT community updates its members. Legit NFT communities make sure their members are in the loop regarding the release date, volumes, floor price as well as other metrics on their Discord and Twitter accounts.
You can also consider looking at the discussions inside the app. Once you see conversations that do not make sense or topics that are unrelated to the project, this might be a sign that the NFT is fake.
Check the Sales Volume
Checking the sales history is another way to authenticate an NFT. A digital asset with low sales volume is likely to be fake. However, there is still a chance to see these types of NFTs in open marketplaces such as OpenSea.
Check the Website
Another good way to verify the authenticity of an NFT is to check the website. A reliable NFT project should have a verifiable website where people can get more information about the project and the collections. But unfortunately, scammers can also duplicate legitimate websites to make people believe they are real. To avoid falling into these scams, look at the address of the website to check if it is secure.
You might also want to consider checking the overall layout of the website. Legitimate websites typically have well-designed layouts with necessary details that most users might probably ask for. Fortunately, there are pointers you can check such as poor user experience, vague information and missing Discord and Twitter links.
Reverse-Check the Image on Google
To check if an NFT is authentic, reverse-check the image on Google. You can do this on a desktop by uploading the image into the search engine or on mobile by simply pasting the URL of the image into the Google search bar.
By doing so, you can see how many variants of the image currently exist, how long it has existed and most importantly, the first upload date.
Check the Floor Price
Ridiculously high or low floor prices can also be an indicator that an NFT is fake. In most cases, scammers lower the floor price of an NFT to lure NFT enthusiasts into investing in the project. Moreso, if an NFT has an incredibly low floor price, it is likely to be fake.
Key Takeaway: Spotting Fake NFTs
With such information listed above, we can all work our way up to creating a safer NFT community. When looking at NFT marketplaces, consider these six steps to avoid getting scammed.