Guide to NFT Marketplaces
Is the current NFT craze making you consider the potential of this technology? Do you want to try your luck in an industry with a $25 billion trading volume in 2021? Are you concerned about missing out on these lucrative opportunities as the industry evolves?
If you answered ‘yes’ to all of these questions but don’t know where to begin, you’re in luck.
Is It Hard to Sell an NFT?
As far as the procedure of selling NFTs goes, it’s fairly easy once you get your head around how NFT marketplaces and crypto-wallets operate. You just have to make sure that you are using an authentic trading platform. The rest of the process is self-explanatory.
However, depending on the kind of NFT you want to deal with and your targeted audience, the difficulties in selling NFTs can vary. For example, selling an NFT with a very limited audience is never going to be an easy task. Similarly, you can face numerous challenges when selling your own NFT project.
How Do I Price My NFT Collection?
Getting the price right is a crucial component in the success of your NFT project. You wouldn’t want to lose potential deals by scaring buyers away with an unreasonably high price. Similarly, missing out on a fair profit margin by pricing your collection too low will also be a bummer.
The price of each NFT is derived from several factors. Rarity and artist experience are probably the most important of these. The rarer your NFT is, the higher it will be valued. Similarly, just like in the real art world, the artist’s name matters greatly. If it’s someone who has pulled some hits before, chances are their latest project will also be in high demand.
Types of NFT Marketplaces by Category
Artists can find various NFT marketplaces dedicated to specific art formats.
NFT Marketplace to Sell NFT Art
Anyone looking for a marketplace focused specifically on art NFTs must not overlook Foundation.
The clean interface and ease of use attracted a number of digital artists to this platform. It took Foundation less than a year to get ranked as one of the most popular NFT marketplaces in the world. Since its launch in February 2021, this NFT trading platform has managed to help creators earn more than $122 million.
Foundation promises an 85% commission to the creators on primary sales and a 10% cut on all secondary sales. The best thing about Foundation is that its focus is not limited to digital artists only. It welcomes photographers, musicians, and video creators as well.
NFT Marketplace for Real Estate
It might sound alien to many people, but we are living in a time where trading real estate in virtual universes is an established thing. In fact, ever since the metaverse became a hot new trend, this particular NFT sector has been thriving. If you are smart with your decisions, you can earn some decent cash trading virtual real estate on NFT marketplaces.
Though there are a number of platforms for trading virtual real estate, OpenSea is hands down, the best of them. Featuring more than 10,000 projects, diversity is the biggest benefit that comes with using this marketplace. You can find more than 200 NFT categories along with many real estate options.
NFT Marketplace for Music
Music has been a huge part of the entertainment industry since its inception. Hence, it makes total sense that musicians are also attracted to the world of NFTs. However, since the market for music NFTs is not as big yet as some other projects, it’s best to use NFT marketplaces with high traffic for maximum exposure.
Ethereum-based Nifty Gateway is among the most popular NFT marketplaces supporting music NFTs. Owned by the Gemini exchange, this NFT trading platform is famous for its rare releases and wide functionality. US users can also enjoy the privilege of buying their favorite music NFTs with their credit/debit cards.
NFT Marketplace for Photographers
Many NFT marketplaces offer aspiring freelance photographers a great opportunity to show and sell their art to the world. Over the last year alone, we have seen a great many photography-based NFT projects hit the market. And several of them succeeded in captivating the audience’s attention.
Rarible is one of the most popular NFT marketplaces for photographers and digital art today. There are several reasons for opting to work with this community-owned marketplace. For starters, you can earn rewards in the form of ‘RARI’ tokens for using the platform. Moreover, users can trade NFTs with several tokens, including ETH, WETH, RARI, ATRI, and DAI.
You also have variety when it comes to wallets. The NFT marketplace accepts MetaMask, Coinbase, Fortmatic, and Rainbow Wallet.
Which is Better – OpenSea or Rarible?
Most beginners looking for the best NFT marketplaces are bombarded with the suggestions to use OpenSea or Rarible. These two are the most popular and highly-rated NFT marketplaces out there. But, which of them is better?
On one end, OpenSea is the biggest NFT marketplace with more than 10,000 projects and almost 1 million active users. It also accepts more than 150 cryptocurrencies.
On the other hand, Rarible has a much simpler interface and is more suited for new users with little or no prior knowledge about NFT marketplaces. At the same time, Rarible also pays great attention to less popular NFT art formats, such as photographs, music, games, etc.
However, there’s much more to an NFT marketplace than the number of users or the simplicity of the user interface. That’s why we suggest you compare both in different areas before making your final decision.
Is there Any NFT Marketplace without a Gas Fee?
Almost all NFT marketplaces are based on the Ethereum blockchain. Since the blockchain is often dealing with high traffic, it leads to delays in executing transactions. The users have to bid against each other to pay a higher transaction fee (gas fee) to get their NFTs transacted first. But, sometimes, the gas fees get so high that the transaction becomes uneconomical.
Let’s be honest, no one likes to lose a significant portion of their money by paying huge service charges and gas fees. No matter how popular the marketplace is or how many projects it hosts, if it charges an exorbitant fee for all these things, there’s no point in using it.
Luckily, there are a few good gas-free NFT marketplaces to solve this problem. These are:
- Nifty Gateway
- Binance NFT
- Async Art
How Do I Destroy My NFT?
One of the side-effects of using the NFT technology to sell your artwork is that you cannot delete or scrap an NFT once it is created. This is because all NFTs are integrated onto a blockchain. Any data that becomes part of a blockchain can never be manipulated or destroyed. However, there’s a procedure called burning your NFT, which allows you to lock your NFT away from public access.
Follow the following steps to burn an NFT:
- Make sure the NFT marketplace you are using allows NFT burning.
- Login to your account and select the NFT you want to burn.
- Select the ‘burn’ option. The platform may ask you to delist the NFT and provide your ID to complete the procedure successfully.
How to Find Good NFT Projects Early in an NFT Marketplace?
Not everyone has the talent and skills required to produce art that will attract worldwide attention. But that doesn’t mean that you cannot make any money in the sector. You can invest in certain undervalued NFT projects. Next, you may sell them when they catch fire and become more valuable.
However, hunting an undervalued NFT project isn’t as easy as it may sound. You need to consider several factors and use specific tools to determine if an NFT project will get bigger in the future or not.
Steps for Selling Your NFTs
Okay, let’s say you’ve decided to create your own NFT and picked the NFT marketplace you like. But how do you actually create and sell an NFT in the first place?
Follow these steps to create and sell NFTs on any NFT marketplace successfully:
- Buy the required crypto tokens on a crypto exchange and send them to your crypto wallet.
- Link your crypto wallet to the NFT marketplace of your choice.
- Upload the file you want to make an NFT for. You’ll have to ensure that the marketplace supports your desired file and format.
- List your NFT, add a description, and set the price for it.
- Pay your listing fees and proceed.
Choosing the right NFT marketplace is easier said than done. It involves going through several different steps and making sure all your requirements are properly met. However, you should always go with a well-known and reputed marketplace to avoid the risk of getting scammed, something that’s not uncommon in the NFT space.
Moreover, you must remember that NFTs are considered high-risk investments. The industry is barely a decade old, and the prices are always fluctuating. While these digital assets can be a valuable investment for collectors, they can also be highly risky, so we suggest that you do proper research before making any NFT buying decision.