How Much Does Minting an NFT Cost?

Bull or bear market, 2020 and 2021 will forever be cemented in NFT history.

Reports have shown that NFTs garnered the most profit ($17.7 billion) in the crypto space in 2021 – the market exploded by over 20,000 percent from the year prior. The total value of transactions jumped from $82.5 million to over $17 billion. 

However, the times are changing– namely, the technology behind NFT platforms and various mechanisms is improving significantly. 

Today, we’re going to explore NFT minting– how much does it cost to mint an NFT today, and how will this be different in years to come? Read along as we explore what “minting” an NFT is and more. 

What Does Minting an NFT Mean?

A common misconception about NFTs is that people often confuse minting NFTs with buying NFTs. There’s a fundamental difference. Minting an NFT means creating something completely new on the blockchain. 

It’s ‌converting a digital file into a digital asset that lives on the blockchain, whether that asset is digital art, music, or collectibles like sports and trading cards. However, it’s not like the blockchain is hosting the files for the NFT itself– that would cause the blockchain to become incredibly bloated and inefficient.

Remember, an NFT is just a token; this token represents the ownership of a specific digital asset. It’s not the screenshot of the Bored Ape Yacht Club that’s valuable; it’s the token. 

Minting an NFT means publishing your unique token on a blockchain to make it purchasable by other people. 

NFTs are minted on a blockchain. Ethereum’s blockchain is very popular for minting NFTs, including Solana, Cardano, Tezos, and more. 

You can buy NFTs on a marketplace like OpenSea– and sometimes, these platforms will also allow creators to mint their NFTs. 

However, many projects will first launch on a third-party site dedicated to the minting of the project; the fees you can expect to pay are usually only those for the network, which can be a princely sum themselves.

How Much Does OpenSea Charge for Minting NFTs?

OpenSea is the most popular NFT marketplace. Primarily for Ethereum-based NFTs, OpenSea announced the addition of Solana NFTs to their marketplace in Q1 2022. 

OpenSea requires users to pay two fees before minting their digital assets on the platform. These minting prices aren’t fixed: they can be higher or lower depending on the function you seek to perform. 

The first fee you’ll pay as a first-time creator is used to initialize your account. As of April 2022, this fee typically costs $70 to $300

The second fee used to grant access to your account costs $10 to $30. 

You can avoid high gas fees if you spot days when gas fees are lower using tools like Etherscan

Then, OpenSea charges 2.5% for first-time sales of your minted NFT– it’s a multi-billion dollar company for a reason. 

How Much Does Rarible Charge for Minting NFTs?

With ‌400,000 NFTs created and 1.6+ million users, Rarible is another of the most popular NFT marketplaces globally. 

Most users choose Rarible over other platforms because it is a multi-chain platform, has easy-to-use tools, a decentralized governance system that’s more advanced than what you’ll get on most platforms, and a flexible royalty management system that allows creators to set up to 50% royalty fee.

Minting on Rarible is straightforward compared to other NFT marketplaces. The platform itself doesn’t charge a minting fee. You have to pay the gas fee for minting on three different blockchains available in the marketplace (Ethereum, Tezos, and Flow).

After paying the gas fees required for minting, Rarible charges a 2.5% fee for every NFT buy and sell transaction.

What Are Gas Wars and How to Avoid Paying High Gas Fees when Minting

If you’re active in the NFT space, “gas wars” are something you may have sweaty nightmares about. Gas, or the computational power needed to verify transactions on a blockchain network, can often cost hundreds, if not thousands, of dollar-worth of Eth.

Since “minting” an NFT to the blockchain is a much more computationally-heavy process, the network charges more than typical transaction fees. 

A gas war is an auction to get front row seats in an upcoming block of transactions to be validated on the Ethereum blockchain. If there is a surge in the number of people waiting for their transactions to get validated, the price gets too high, which triggers a scuffle.

Almost like a bidding war, people pay more so they can get their transactions processed quicker, ‌driving the transaction costs up. Gas wars are the main cause of high transaction fees on the blockchain. They’re prevalent on the Ethereum network, ‌infamous for its performance and scalability setbacks.

To avoid paying high gas fees, ‌learn how to track gas fees. Etherscan’s Gas Now is a handy tool that can help you to minimize gas prices.

How to Mint an NFT for Free on the Blockchain

Popular marketplaces like OpenSea and Rarible allow you to mint NFTs for free on the platform.

Recently, Rarible announced that you could mint for free on the platform (yes, no gas fees). The downside is that your asset goes on the Rarible collection and not your collection. This means Rarible has more control of your digital asset, and also, the buyer pays for your minting fee.

You can also mint for free on OpenSea. The new collection manager launched in December 2020 introduced a lazy minting feature, allowing creators to list NFTs paying no gas fees until they make the first purchase. Since the NFT isn’t transferable on-chain until they purchase, creators can list without paying a dime.

However, this is not applicable for first-time listing. If this is your first time listing on OpenSea, you still have to pay the gas fees needed to initialize your account.

The Polygon network also allows creators to “mint NFTs for free at the speed of light.” All you have to do is connect your Polygon account, upload your digital art, select the Polygon network during the minting process, and you’re good to go.

Final Thoughts: What to Expect for NFT Minting in the Future

Although the NFT market went ballistic in 2021, the 2022 bear market has many reconsidering their sky-high purchases.JPEGs– if not at least the hundreds or thousands of dollars they spent on gas fees to simply purchase the art. 

In this article, we learned what NFT minting is, how to mint your project on popular marketplaces, and avoid paying very high gas fees. 

However, increasingly more creative and consumer-friendly innovations are being built to make the creation and selling of NFT art a much more profitable endeavor. 

What Are Permissionless NFTs?

Developers and companies are discovering dozens of new use cases for NFT technology—from community governance to luxury travel and real estate. 

There are many reasons NFTs are in huge demand, the most prominent being the features of their underlying infrastructure—public, permissionless blockchains that serve as the foundation for all things crypto-related. 

In this article, we dive into these blockchains and how they pave the way for us to discover the full potential of our NFTs.

What Is A Public Permissionless Blockchain?

Each blockchain is a shared database where transactions between a network of users are stored. The records are distributed among participants and made public so that anyone can access them inside or outside the network.

There are three primary forms a blockchain can take:
1. Permissioned,

2. Private,  

3. or Public and Permissionless. 

This article will focus on public, permissionless blockchains—like Ethereum—as they’re more commonly used for NFTs.

We can call any blockchain “permissionless” if participants can use it without restrictions. A public blockchain lets anyone access the blockchain. Therefore, a public, permissionless blockchain can be used by anyone, anywhere, without restrictions.

Permissionless Blockchains And Permissionless NFTs

Most NFT marketplaces allow any user to mint, buy, and manage their NFTs independently. However, some marketplaces—like the Binance NFT marketplace—may choose what NFTs can be created and shared, as well as gain access to the private key of the NFT holder, i.e., take custody of the token.

An NFT is only as “permissionless” as the blockchain that hosts it. But, most people have only ever interacted with permissionless NFTs due to this specific use case’s commercialized nature.

Remember, an NFT is just a token. Since community is the crux of many NFT collections (i.e., a 10,000 collection of Bored Ape Yacht Club NFTs), creators would be wise to host them on a permissionless (i.e., anyone can buy the NFT) blockchain.

In an alternate universe, a NFT creator could theoretically choose to mint their NFT on a “permissioned” blockchain, where only a private audience can access the token. 

The Benefits of A Permissionless NFT

Permissionless blockchains are the main reason NFTs have seen widespread acceptance, vast usability; here’s why:

Decentralization

If you purchase an NFT today, the record of your purchase is linked to the history of the NFT on the blockchain. Anyone on the internet can confirm the existence of your NFT without needing to go through any company or regulator. 

Since blockchains are distributed ledgers, this also means that no single entity can manipulate the records as they please. The value of the NFT can be trusted because the decentralized blockchain is free from control or manipulation by any entity or group.

Transparency

NFTs are stored transparently, so the record of the creation, sale and any transfers of the NFT are accessible to any prospecting buyer or any other interested party. 

If you consider purchasing an NFT, you can analyze the record of the NFT, its various sales prices, its creator, and the exact moment it was created. In this way, NFTs can’t be faked.

NFT transparency also applies to market sentiments concerning any particular NFT you are interested in. Some NFT marketplaces allow you to view bids made by other prospecting buyers, which can guide you as you decide how much you should pay for the NFT.

Anonymity

Permissionless blockchains allow you to trade NFTs without revealing your identity or undergoing rigorous Know-Your-Customer (KYC) checks that require you to submit government identification and other requirements. This means you can keep yourself and your NFT investments private.

Ease of Exchange

Unlike other assets that may require significant effort and time to purchase, NFTs can be sold in seconds on any NFT marketplace. Most NFT marketplaces have a straightforward process for listing your NFTs, so in minutes your NFTs can be available to the public and sold.

Final Thoughts: Permissionless, Non-Fungible Tokens and The Blockchains That Host Them

From CryptoPunks to Little Pudgys, NFTs have seen massive growth and will probably only see more. 

Anyone who owns an NFT owns a token that is a one-of-a-kind digital asset and cannot be replicated. 

Although NFTs can launch as a collection and may share the same attributes, each NFT in a 10,000 NFT collection would still have its unique signature—stored permanently on the blockchain—making it irreplaceable, even if the proposed replacement looks exactly the same.

The potential of NFTs for various industries and systems is still being discovered, made possible through the core characteristics of blockchain technology.

Public, permissionless blockchains like Ethereum, Solana, and Algorand make NFT creation and investment even more accessible.

While the NFT industry is still early, its underlying technology provides a sturdy foundation for many more use cases across industries.

Guide to CryptoPunks: Are They “Digital Antiques”

CryptoPunks are collectible ERC-721 tokens hosted on the Ethereum Blockchain and stimulated the “profile picture” NFT movement. CryptoPunks was among the first NFT collections from Larva Labs and laid the groundwork for upcoming NFT projects.

What is a CryptoPunk?

A CryptoPunk is a 24*24 pixel, 8-bit, punky-looking NFT art image. CryptoPunks are algorithmically generated and are unique, unalterable, and have no chance of complete similarity to one another.

The project was officially introduced in June 2017; 10,000 CryptoPunks were created by Larva Labs, and 9,000 CryptoPunks were offered free to claim by early cryptocurrency users.

The remaining 1,000 CryptoPunks, termed DevPunks, are numbered between 1 and 1000. These are rare punks tend to be priced higher than the others. Most CryptoPunks sell between $350,000 and $500,000 while there are some that are being sold for millions.

CryptoPunks are available to be bought and sold on third-party marketplaces such as OpenSea, Rarible, etc. Some punks are also auctioned at these marketplaces. 

Why Buy CryptoPunks

The price of the CryptoPunk collection rose exponentially around Aug 2021. With a floor price starting around under $100 and skyrocketing to millions in April 2022. Many view CryptoPunks as “digital antiques” of sorts, the “storage of value” of which is currently being determined by markets throughout the course of history.

How to Recognize a Punk

Punks are divided into five general categories: 6039 male punks, 3840 female punks, 88 Zombie punks, 24 Apes, and 9 Aliens. The rare avatars are naturally more costly.

Further, these punks can have a combination of 87 attributes. You could buy a Beanie, Choker, Pilot Helmet, Tiara, Buck Teeth, Welding Goggles, Pig Tails, Rosy Cheeks, Cowboy hat punk, etc., depending on the type of hat, glasses, hair, race, or the skin color it has.

There are 4501 punks with any of the three attributes mentioned above, 3560 with two attributes, 1420 with four of these attributes, 333 with just one attribute, 166 with five attributes, 11 with six attributes, and eight punks with no attributes at all.

Does the Punk Background Mean Anything?

Yes, it does!

The punks on the blue background have no bids and are not for sale. Punks with a red background are available for purchase, while punks with purple background are auctionable and have an active bid on them. Punks in the green background are wrapped punks sold on different NFT marketplaces.

You can join the Discord chat for live announcements related to the sale and purchase of CryptoPunks, which also has a bot announcing all sales, offers, and bids in real-time.

Learn a Bit About the Statistics

The total lifetime sales volume for Cryptopunks as of March 2022 is $2 Billion, whereas $75.24 million were spent in February 2022. The lowest price of an available punk as of April 2022 is 68 ETH, or approximately US $236,636.60. The highest sale of CryptoPunk in Feb 2022 was that of an alien punk with a blue hat costing $23.7 million.

A person can buy more than one punk, too; the maximum number of punks owned by a single owner as of date is around 400.

How to Buy a Punk

You can check the profile page of each punk on the Larva Labs website to see details on their attributes. You can check the current market status of the punk to see who owns it, if it is on sale, and the owner’s expected price. If current bids are going on the punk, you can check it from the profile page.

The complete transaction history of the punk can be viewed on this page.

Once you decide on which punk to buy, you can follow the following steps to buy a punk:

  • Download a Web-3 wallet such as Metamask
  • Buy Ether from exchanges such as Coinbase
  • Install the wallet plugin on the Metamask website, and you will find options to bid, sell, and buy punks.

Remember, you should have wrapped versions to sell them on third-party marketplaces. For details on how to wrap your CryptoPunks, you can visit here. There are no fees charged on CryptoPunk transactions except for the gas fees charged on every transaction on the Ethereum Blockchain.

Do You Wish to Create your Own CryptoPunk?

The original collection of CryptoPunks is fixed and cannot be minted. 

However, some take to creating “clone” CryptoPunks through any marketplaces that allow creating your own NFTs. All you need is to have the required amount of Ethereum tokens in your wallet.

However, these “clone” punks are essentially worthless, and provably so since the ownership of the authentic punks can be verified on the blockchain.

About the Team

The project is the brainchild of John Watkinson and Matt Hall, co-founders of a creative technology company called Larva Labs. Larva Labs is also behind other popular Blockchain projects: Meebits, an NFT collection of 3D characters, and Autoglyphs, a generative art form.

Besides these, they are also involved in Web and Mobile technology. The only web project from Larva Labs was done with Google and was called Github Data Visualization using Flutter Web. Flutter is a development framework aimed to change the app development process. 

The mobile projects from the team include:

  • Road Trip, an endless driving game
  • Boo, an android app for face detection and animation
  • AppChat, a chatroom for the Android apps
  • FlowHome, an Android launcher that organizes social network notifications and system notifications creatively on the phone
  • BreathPacer, a breathing trainer app for iPhone with sound and animations
  • Androidify, personalizing the Android logo into self or friends’ avatars, etc. 

Final Thoughts: What’s the Latest on CryptoPunks?

US-based Yuga Labs acquired the intellectual property rights of CryptoPunks and Meebits in March 2022. They plan to give commercial rights to both communities. Until now, punk owners could only reproduce, transmit, distribute, and display their punk images. Now, they might be able to modify and sell third-party products with them.  

Yuga Labs is the creator of another popular NFT collection called Bored Apes Yacht Club (BAYC) and the associated collection Mutant Apes Yacht Club (MAYC), launched in 2021. These collections are unique in that they gave full IP rights to the owners. 

Yuga Labs immediately granted all CryptoPunks holders full commercial rights to their Punks.

How to Make and Sell NFT Art (in Minutes!)

Non-fungible tokens (NFTs) gained immense popularity and developed their own subculture in 2021. There’s a good chance you have heard about them unless you’ve not been paying attention.

From Paris Hilton and Nike to LeBron James and the NBA, celebrities and major brands are launching their own exclusive ‘drops’ and splurging millions on NFTs. As of 2022, artists and designers continue to flood the NFT space in huge swathes.

Why? NFTs can be quite lucrative. Creators like Trevor Jones and Beeple (Mike Winkelmann) make millions from NFT sales. For instance, Beeple’s Everydays: The First 5000 Days recently sold for $69 million at Christie’s. The sale placed him “among the top three most valuable living artists.”

So yeah, no judgment if you’re solely investing in NFTs towards financial freedom. Regardless, NFTs are so much more than speculation.

It’s unsurprising if all the noise around NFTs makes you wonder, “Something must be working, right?” Or is it just a well-oiled machination of good PR, hype, and buzz?

Either way, this article will take you into the world of NFTs from a creator’s viewpoint. I’ve created a step-by-step guide on minting your first NFT as a complete newbie.

Read on to learn how to turn your awesome art into NFTs and sell them in minutes. 

But first —

Step 0: “I Don’t Know What an NFT Is.”

You’re reading this article, so I assume you know what NFTs are already, right?

“No”?

Say you didn’t; here’s a quick intro to NFTs and what they entail. Of course, feel free to skip this step if you do.

NFTs are digital collectibles stored on the blockchain. Usually, real-world collectibles like artworks and antique items are auctioned along with a certificate of authenticity. Well, NFTs work almost the same way, only they exist in digital formats.

NFTs allow you to ensure digital files (think pictures, videos, GIFs, and audio) exist as a sole unique copy. With NFTs, you can verify ownership for digital content, a laudable feat in itself.

NFTs themselves are rarely stored on the blockchain. Instead, the blockchain mints a unique token representing the file ownership and stores a reference to the actual file. “Minting” occurs when you turn your art into an NFT; you’re essentially creating a unique token on the blockchain that represents the art.

And with that out of the way, let’s move on to the next step: choosing a platform.

Step 1: Choose a Platform to Sell Your NFT on

NFT platforms and marketplaces are steadily growing in number, each with different features and fee models.

Instead of running through a long list of marketplaces (which would be exhaustive), we’ll list some beginner-friendly ones that will allow you to mint your first NFT easily.

Some of the biggest NFT marketplaces include OpenSea, Rarible, SuperRare, Mintable, NFT ShowRoom, Foundation, NBA Top Shot Marketplace, Axie Marketplace, and Nifty Gateway.

You can research each marketplace to decide which one is right for you. However, for this guide, we’ll be focusing on OpenSea since it’s a pretty good place to start for beginners — and Rarible, too.

OpenSea is a popular, beginner-friendly platform for buying and selling NFTs. There are no restrictions on who can be a creator, and you can mint NFTs without coding knowledge. OpenSea was one of the earliest marketplaces featuring all kinds of NFTs, from digital art to in-game items.

What’s better? OpenSea introduced “lazy minting.” This feature helps you avoid high transaction fees on the Ethereum blockchain (Rarible supports this too). You can upload your art, mint your NFT, and put it up for sale without paying expensive ‘gas’ fees.

OpenSea bundles gas fees with the bid price when a collector buys your art. That way, you can avoid paying to mint an NFT no one eventually picks up. 

(Just looking out for you. Okay, I’ll see myself out now.)

Now, let’s try to set up a wallet for your NFT adventures.

Step 2: Set Up a Crypto Wallet (and Buy Some Crypto)

The NFT market exists within the larger crypto space. You’ll need a compatible crypto wallet to buy, sell, and create NFTs, and interact with marketplaces. You’ll also need a wallet to pay listing fees on the marketplace and get paid in crypto when someone buys your art.

Thankfully, tons of crypto wallets are available for you to buy and store NFTs. Some popular wallets like MetaMask, Rainbow, and Coinbase Wallet are compatible with most marketplaces.

MetaMask is an excellent option for beginners, with over a million users worldwide. The wallet is available as a browser (Chrome and Firefox) extension and iOS/Android app. MetaMask connects easily with most NFT marketplaces, plus it has a straightforward setup process.

Again, feel free to skip ahead to step three if you’ve set up one of the recommended wallets.

Visit the MetaMask download page and download the browser extension or mobile app to get started. Once MetaMask is installed, click/tap the Create New Wallet button. You’ll receive a prompt to set a password (ensure it’s secure and easy to remember). 

Finally, MetaMask will generate 12 random words; a “seed phrase.” I wouldn’t worry too much about its meaning — just remember it’s essential to keep it safe. You’ll need the phrase if you’re locked out of your account or need to recover your wallet on a new device.

After you back up the recovery phrase, you’ll receive a prompt to re-enter it in the same order. Then, simply accept the terms, and your wallet is up and running. Once you’ve set up your wallet, you may want to consider buying crypto. You can grab some Ethereum (ETH) — just enough to cover gas fees.

Now that you’ve set up a compatible wallet (and bought some crypto), it’s time to upload your digital file on the marketplace.

Step 3: Create Your NFT

As I mentioned earlier, there are several marketplaces where you can sell your NFT. Again, we’ll go with OpenSea for illustrative purposes, but the entire process is relatively straightforward for other marketplaces.

To get started, visit the OpenSea website and click/tap the Create button in the navigation. You’ll receive a prompt to connect your wallet using the available wallet providers.

Select the MetaMask option and approve the signature request in your wallet. Something to keep in mind: you’ll have to reconnect after 24 hours to keep your wallet safe.

Voila! The Create New Item screen. 

You’ll need to upload the digital file and fill in information about your NFT. OpenSea accepts JPG, PNG, GIF, SVG, MP4, WEBM, MP3, WAV, OGG, GLB, and GLTF formats, up to 100 MB maximum.

Now would be a good time to let the creative juices flow. Pick a nice name and provide a detailed description of your item. You can also add an external link so users can learn more about the NFT.

You can ignore the Properties, Levels, and Stats fields for now. They make up the NFT metadata, but you often don’t need them unless you’re selling something like in-game items or characters. 

Toggling Unlockable Content will allow you to include an access code or link that only the NFT owner can reveal. Go ahead and toggle Explicit & Sensitive Content if you plan to upload some steamy pictures on OpenSea. By doing this, you’ll mark your item as NSFW and remove it from safe search results.

Select Ethereum in the Blockchain dropdown and set your supply to 1 since you’re minting a one-of-one NFT. Note that you won’t be able to modify the blockchain once you’ve created the NFT.

You can also sell your NFT on OpenSea with the Polygon network. Of course, you can avoid paying fees outright if you do this, but there’s a catch. Collectors won’t be able to buy your NFT using the Ethereum network, and they’ll need to migrate their crypto over to Polygon. 

Bottom line: extra gas fees and stress — you decide if it’s worth it.

Review the information and click Create to continue. You’ll see a yay! popup once you’ve created your NFT.

But it doesn’t end there. You probably guessed that, right?

You’ve just created your NFT, but OpenSea hasn’t listed it — at least not yet. Close the screen, and you can get to work on selling your NFT.

Click the blue Sell button on the item’s page (you can also go to your account and select your NFT in the Created tab). You have two listing options with NFTs created on Ethereum; a fixed price listing and a timed auction (Polygon only has the first option). 

The fixed price option is self-explanatory; you set an exact price for the NFT in ETH. Also, you’ll have to specify for how long the listing will remain available. The default duration is a day, three days, or a week, but you can set a custom duration in the calendar popup.

Your item becomes available for sale immediately you list it. So, what if you already have a deal with a buyer? You can lock in the NFT for them by pasting their address into the Reserve for specific buyer field.

Okay, let’s move on to auctions.

The timed auction is more complex, but it can be an exciting way to sell your NFT. OpenSea has two auction types: an English auction and a Dutch auction.

The English auction allows you to sell to the highest bidder. You can complete the sale yourself if the highest bid is below 1 ETH, but you don’t have to. However, OpenSea automatically completes the sale and pays the gas fees if the final bid is above 1 ETH. 

With a Dutch auction, like a fixed price listing, you set a starting price and an ending price. The price falls towards the ending price over the duration you set.

Unlike fixed-price listings, buyers bid with Wrapped ETH (WETH) in timed auctions. You can choose to accept bids at any time or even cancel the auction (you’ll pay a gas fee to do that, though).

Finally, click the Complete Listing button to put your NFT up for sale. You’ll have to sign a transaction with your wallet, either using the browser extension or the app, leading us to a nifty little problem. You’ve not sold an NFT on OpenSea before (most likely), so you’ll need to initialize your wallet by paying a one-time gas fee.

Remember that crypto you bought earlier? Well, it might come in handy now.

Once you click on Complete Listing, a “Register Proxy” transaction will appear in MetaMask. The gas fee fluctuates depending on the current network conditions. (Pro tip: You can monitor Ethereum gas fees and save money with Etherscan’s gas tracker.) You’ll see a signature request to approve the listing in your wallet, and after that, you’ll be able to finalize the sale. 

Final Thoughts

If you completed the necessary steps, the NFT will now appear in your OpenSea profile. Your entire NFT trading history is publicly available on the blockchain forever, so you can easily track the price movement. No doubt, creating an NFT can be a complicated process, but you might be motivated by the profit potential.

I’ve covered the basics points you need to note while creating NFTs. Now it’s up to you to bring your imagination to life, create beautiful art, and market your NFT to the crypto community.

How and Where to Buy NFTs: A Beginner’s Guide

Few predicted NFTs would suddenly become the talk of the town in 2021 when they were first introduced in 2014. Reports show that NFT trading volume was around $10 million in Q3 2021, a massive 704% increase from the previous quarter. This was just the start.

To many, NFTs add a visually appealing and creative element to the crypto world often perceived as excessively techy and complicated. 

Afterimage, audio, and video NFTs too hold, with NFT shards on their way, crypto investors are scrambling to jump on the fast-moving NFT bandwagon in time. 

If you wish to become an NFT investor, this article will explain the steps of how to buy an NFT and where to buy them, introducing you to the most popular marketplaces.

Where to Buy NFTs

There are different marketplaces to buy different types of NFTs and each levy a specific fee for transacting on their platform, so you should aim to choose a cost-effective platform for buying your NFTs.

OpenSea

OpenSea, established in 2017 by Alex Atallah and Devin Finzer, is the biggest marketplace to buy, sell, and trade different types of NFTs across marketplaces and Blockchains. The company is based in North America and has its headquarters in New York City.

The platform hosts around 30 million NFTs on Ethereum, Polygon, and Klaytn blockchains. Apart from providing a platform to trade in NFTs, Open Sea aims to provide an integrated marketplace where developers can build and launch their NFTs. It supports Ether and around 150 other crypto tokens. 

So you can use the OpenSea marketplace for buying a range of NFTs such as art, game NFTs, sports and music NFTs, utility NFTs such as keys to own gaming collectibles or gaming DAOs, enter particular Discord communities, and so on.

Binance NFT

Binance is a crypto exchange as well as a popular NFT marketplace. It was established as a crypto exchange in 2017 by Changpeng Zhao and was based in China. Later, the company headquarters moved to the Cayman Islands.

People can buy, mint, and trade NFTs with the Binance NFT marketplace. It hosts some top NFT creators such as X-Metaverse, Big Time Studios, NFT_Pride, NFKings, and Seek Tiger. You can access different NFT collections such as Mafia Land NFTs, DinoX World Avatars, GiiiO role NFT, X-Metaverse Box, and Atlantis Metaverse Genesis NFT. Binance NFT also hosts features such as the mystery box feature from time to time where players get a chance to win rare and unique NFTs.

Aside from Gaming NFTs, the platform also offers NFTs from categories like Art, Sports, Entertainment, Collectibles, E-sports, and Premium NFTs.

Foundation

The Foundation marketplace brings creators and collectors together on a platform to build and trade NFTs. It was established in February 2021 and is owned by Kayvon Tehranian hailing from San Francisco, California. Through Foundation, collectors can mint our buy images, video, and 3D artwork. A creator can create an art NFT on Foundation only through an invitation received by another creator, unlike other NFT platforms.

Rarible

Rarible was founded by Moscow-based Alexei Falin and Alex Salnikov in 2019.  It is headquartered in Delaware, United States. It hosts NFTs on Ethereum, Polygon, Tezos, and Flow blockchain and features a massive NFT collection ranging from art, photography, games, metaverse, music, domains, DeFi, Memes, Punks, NSFW, etc. 

The software-giant Adobe partnered with Rarible in Dec 2021 to display content credentials of the listed NFTs to make it easy to protect and verify digital content.

SuperRare

This NFT marketplace was launched in 2018, where NFT lovers can collect and trade mainly art-oriented NFTs. 

The platform introduced its token in 2021 when the artists and collectors in the community formed their DAO. Some of the prominent investors at SuperRare include Mark Cuban, Ashton Kutcher, and Samsung Next. The company is owned by John Crain, Johnathan Perkins, and Charles Crain and is based in the United States.

Project Specific Marketplaces

You can also buy specific NFT assets from their respective marketplaces. For example, NBA Top Shot is the marketplace to purchase official GIFs from the National Basketball Association. There is also an NFL All Day market for limited-edition NFL moments. Music lovers can visit the Musician Marketplace to buy NFTs of music compositions and platforms like Async Art, explicitly meant for programmable art. 

There are dedicated marketplaces for particular NFT-based game items, such as Axie Marketplace for items used in the popular ‘Axie Infinity’ game. It also has its own token, and the users should have these tokens to buy things from the Axie Marketplace. Mintable is another platform for unique music, art, games, animation, and media collectibles.

SolSea, another marketplace on Solana, lets creators mint NFTs with embedded licenses and display the Rarity Rank of the NFTs listed. 

Other NFT marketplaces include Nifty Gateway, Thetadrop, etc. NFTs on the Rarible and SuperRare marketplace is also available on OpenSea.

Let us now move on to the steps to buy an NFT.

How to Buy NFTs

  1. Buy Crypto Tokens from a CeFi or DeFi Exchange and Add Funds in the Crypto Wallet

First, you need to have the crypto tokens to possess your desired collectibles. You should buy the tokens supported in the NFT marketplace from where you wish to buy NFTs. Some marketplaces have their own tokens to transact. You can purchase these tokens from any DeFi exchange such as Coinbase, Binance, Gemini, etc. 

Once purchased, you should send the tokens to your wallet, like the Metamask wallet, to be able to use them for the purchase. You can check here if you want to learn how to set up the metamask wallet. Remember to have sufficient units of the crypto token in your wallet to pay for the NFT and the Gas fees involved in the transaction; the Gas fee is the transaction charge for the computation effort involved in facilitating transactions on the Ethereum Blockchain. Gas fees vary according to the traffic on the network. 

  1. Open the Marketplace

You can now open your chosen NFT marketplace and register on it. You will then scroll through the different types of NFTs offered. You can filter through the various collections offered to hunt for the NFT you wish to possess.

  1. Place Your Bid

You will find items under ‘Auction,’ where you can bid the price you wish to pay, or you can buy the item directly. NFT sellers auctioning items provide the Auction time, the previous selling price, and the cryptocurrency they are accepting from the buyers on the marketplace.

  1. Payment

Link your wallet to the marketplace using the ‘Connect Wallet’ button to proceed with the purchase. Once the transaction is successful, you will see the amount deducted and find the NFT stored in your wallet. You can also store your NFTs on offline hardware wallets such as Trezor or Ledger.

The NFT value is generally determined by markets, with floor prices naturally setting the bottom-end range. Other factors could be the uniqueness and the artist’s reputation.

Final Thoughts: Keep Your NFTs Safe! 

This should be about everything that you need to know for you to be able to buy an NFT. One last word of advice: if you are an NFT enthusiast and wish to mint and trade NFTs, you should be careful of NFT scams that can make you lose your crypto funds and NFTs through phishing attacks on your crypto wallets. 

Keep in mind NFTs and cryptocurrency is very new and they can be volatile– you should never invest more than you can afford to lose in a volatile market such as NFTs.