Intro
If you have followed the developments in the field of cryptocurrencies, you will know that the term “NFT” has been quite in vogue over the past year.
This sudden rise in popularity means that there are many different uses and marketplaces, which can make the space difficult to navigate. With plenty of utilities but also plenty of hype, NFTs have been among the most important topics for 2021.
Even if you are already trading cryptocurrencies while trading, starting with NFTs can make it quite tricky at first. In this article we will get to know some places to buy and sell NFTs and some of their benefits for cryptocurrency lovers.
The Functions of NFT Marketplaces
Certainly, the increased interest of NFTs is one of the trends you should be aware of for cryptocurrencies that you should keep an eye on this year. But how can you take part? That’s where the NFT markets come in.
NFT marketplaces are the places where you can buy, sell, create and store your digital assets. Creating a new NFT is called minting (cutting issuing referring to finances). This process may vary slightly for each purchase, but the basic process is as follows.
MARKET
Marketplaces allow you to browse NFT collections and have search features to find what you want.
SALE
Marketplaces provide sellers with a platform to trade their NFTs in exchange for a small commission at the point of sale.
ILLUSTRATION
They provide a platform where you can view your own NFT collections and check other people’s collections through their profiles on the platform (similar to social media, only without interaction).
MINTINING
Marketplaces are where NFTs take shape by putting them into circulation on their blockchain. In most marketplaces, you can create a new NFT by uploading any file you want to save or sell, such as a work of art or music.
There’s also the option of Lazy minting (available on some platforms), which only “cuts” the NFT when the buyer wants to buy it – and also charges the purchased one instead of the seller. This reduces the entry difficulty some creators face since no upfront payment is required to set up an NFT. You’ll also need to pay a commission based on the power a transaction takes to sign up for a blockchain network.
Popular NFT marketplaces
Marketplaces allow for easy exchange of assets for NFT fans, but as there are many cryptocurrencies, there are many NFT marketplaces for different uses. NFT marketplaces are tied to a specific blockchain which means they can only support NFT listings that exist on the same blockchain. With this in mind, we will get to know some of the main platforms on each blockchain and what they offer to users.
PURCHASES ON THE ETHEREUM BLOCKCHAIN
Some marketplaces sell each type of NFT the most popular being OpenSea, which carries everything from transaction cards to domain names.
OpenSea is excellent for beginners in NFTs because it’s free to sign up and browse, while it’s easy to cut your own NFT or buy it, with over 150 payment forms accepted.
Alternative platforms like Rarible and SuperRare are good enough for all uses. Both are built on the Ethereum blockchain and use Ether for purchases but Rarible also uses its own token, called Rari to decentralise the functioning of the market and allow its community to vote on big issues.
It’s worth noting that SuperRare deals more specifically with who can create NFTs (minting) and also works by invitation only, so you’ll need more to excel as an artist before joining this marketplace.
Something that’s quite interesting for all platforms is that you don’t need to have crypto already when you’re starting out. You can now enter crypto directly through the NFT platforms, using your credit card to buy your first tokens instead of going to an exchange. NFTs are increasingly becoming a gateway to the world of cryptocurrencies and DeFi.
OPENSEA AND RARIBLE
OpenSea is worth mentioning that it is one of the first NFT marketplaces and today offers almost every type of NFT imaginable, including audio files, digital media, and virtual worlds. OpenSea provides Lazy minting, meaning you have the ability to list the NFTs before the cut is done through a smart contract and then with payment of a commission after the NFT is sold.
Rarible is also a decentralized peer-to-peer marketplace where people can buy NFTs (such as artwork and digital media) made by digital artists.
OpenSea and Rarible are very similar, with the main point of difference being royalties, meaning Rarible is more appealing to long-term NFT artists while OpenSea is more appealing to beginners or those looking for quick sells.
SUPERRARE SuperRare is a digital marketplace for Ethereum that allows the purchase and trading of single-version artworks in digital form. It focuses on exclusivity, uniqueness and high-quality art. To maintain exclusivity, it uses invitations to become a member.