How To Make And Sell An NFT - Minxie
Want to know how to make and sell an NFT? Our guide for beginners NFT creators will help you successfully create and sell your NFTs
Want to know how to make and sell an NFT? Our guide for beginners NFT creators will help you successfully create and sell your NFTs
Artists, creators, and designers are curious to explore the possibilities related to visual designs.
Cryptographic collections allow artists to auction their artwork digitally, securing ownership and opening access to an active community of prospective buyers.
Art galleries are even displaying crypto art pieces in real life.
Since cryptographic collections are unique, original, and not easily copyable, this makes them scarce and increases their value.
Other than visual arts, other items could also be converted into visual art, such as videos, music, real estate, etc.
The most expensive cryptographic collection ever to be sold was The Merge for $91.8 Million.
If you are an artist looking to create and sell digital art, this article is for you.
This NFT guide for creators will share the steps needed to create and auction digital arts online by leveraging cryptocurrency.
You need a marketplace to make and advertise cryptographic art.
You have to be ready with your artwork which you want to digitize.
To connect to a visual asset market, you will need a Web3 wallet where you can upload your details and decide a selling price for your product.
Creating cryptographic art is not as difficult as it sounds.
Here are the steps to create your cryptographic art:
The Crypto asset is an elaborative topic to discuss.
Its growing popularity and vast knowledge available worldwide can confuse a rookie visual art creator who wants to sell their product on Web3.
The most challenging task for the creators is choosing the type of cryptographic asset to make and sell.
Here is a list of all types of cryptographic assets that you can make:
Collectibles are traded at very high prices when traded in the real world due to their uniqueness and scarcity.
Similarly, collectibles can be converted to digital assets and traded as trading cards.
Crypto Kitties was the first collectible used as a cryptographic asset in 2017 that allowed you to trade unique kitten tokens.
A kitten named ‘Dragon’ was valued at $172,000 on the Crypto Kitties platform.
Artwork is the most sold type of cryptographic asset, which includes visual pictures, GIFs, videos, etc.
Artworks are traded at very high prices as actual physical items.
“The Merge” is the most expensive NFT artwork, sold for around $91.8 million.
Music in the form of a graphic collection is trendy because of its high trading price and low production cost.
The musicians reserve the right to ownership of their music themselves and receive a royalty on it.
Creating your music with cryptographic design reduces your cost of creating music by eliminating streaming costs or recording label cuts, allowing you to retain your earnings.
The most prominent feature of creating music with digital art is that every time your music gets sold, you get a defined percentage of the selling price.
Game creators create visual designs for in-game items & online gaming platforms.
Digital assets are used worldwide in the gaming area in exchange for game characters’ features and functions.
Cryptographic collections are also used to get full access to limited edition & restricted games.
To create event tickets as an art collection, you can mint the number of available tickets, and bidders/buyers can buy those tickets.
For huge events like music concerts, fests, screenings, etc., this can be used to avoid confusion of verification of large crowds as the data is automated on the blockchain.
Tokenization of event tickets on blockchain will help curb the chances of black marketing and other discrepancies.
Creating a of your fashion ideas in virtual reality is new for fashionistas.
By creating your crypto art in fashion, you can design one-of-a-kind outfits for avatars with different body shapes & sizes.
Major fashion brands, like Tommy Hilfiger and Dolce & Gabbana, have been a part of a metaverse fashion show organized by Decentraland enabling customers to experience their digital clothing line.
The tokenization of cryptographic assets for real-world assets will soon be a reality due to the cryptographic proof of ownership that cryptographic collection promises.
Many crypto asset companies will soon launch tokenization of art designs for real estate & luxury items.
Hence, you can also try your luck in monetizing real-world assets.
To earn lucrative profits, you can create, buy and sell memes.
Turning your memes into non-fungible coins is easy, and the sale of memes has become quite popular in recent years.
The famous “Doge” meme crypto art collection was sold for $4 Million in 2021.
You can book your domain names with non-fungible tokens and blockchain, eliminating third-party hosting companies' long process for managing your domain.
Acquiring a non-fungible token domain allows storing all your domains in a digital wallet, much like cryptocurrency, with no third-party interference.
The non-fungible token domain holds the advantage of paying just once for your domain and getting its ownership for the rest of your life with no renewal fees.
The non-fungible token domain can be transferred around the globe without the consent of a third party.
Above are the types of tokens you can create based on their audience reach & profitability.
After selecting the type of non-fungible token you want to make and sell, you need to select the piece of the item which you want to turn into a non-fungible token.
For instance, if I select artwork as the type of digital coin, the next step involves preparing the artwork file.
You must ready your art piece to submit to the digital art marketplace.
The art could be in any form, GIF, image, portrait, photograph, or anything else.
The crypto artwork could also be in video or 3D format, but their extension to the marketplace will be different.
After selecting the suitable artwork to be tokenized, you need to move to the next step of creating a wallet.
Before setting up a digital wallet, you need to select a digital wallet as the exchange medium for buying and selling non-fungible tokens.
You can choose any of the above digital wallets.
For instance, I selected the Metamask wallet.
Visit Metamask’s website and click the download button.
You can also click on the install option if browsing via Chrome.
You will be asked to recover existing data or make a new wallet. Choose any of the two options. Here, I will choose 'create a wallet'.
After clicking create a wallet, set up your password and click ‘create’.
Before creating your password, the website will provide you with a “seed phrase”.
The “seed phrase” is 12 to 24 words of unique secret code to help you verify your account when you need a backup.
Now your Metamask wallet is set up. You can use it for non-fungible tokens and other tokens.
The next step is connecting your wallet to the digital art selling platform.
Some popular non-fungible token marketplaces are Rarible, Larva Labs, SuperRare, and OpenSea.
Here are the steps to connect your wallet to the digital art marketplace:
1. Go to any digital art marketplace like Rarible and click on your profile.
2. The next page will ask you to connect your cryptocurrency wallet.
3. Choose Metamask out of the various options available.
4. The final page will ask you to accept terms & conditions on your Metamask stating that your wallet is successfully connected.
5. Click “sign” and start your non-fungible token trading.
To auction your non-fungible token, you need to mint your artwork into a cryptographic asset that will guarantee your ownership of the work.
Transforming your artwork into a non-fungible token is easy, but your selling price will be decided on various factors such as quality of work, creativity, and goodwill among patrons.
Here are the steps to auction your artwork:
The first step involves choosing the right marketplace where digital assets can be bought and sold.
Plenty of marketplace sites specialize in a particular type of token, which can be a deciding factor.
Once the marketplace is selected, link your loaded crypto wallet on the platform.
After inking your crypto wallet, transform your artwork into a cryptographic token collection.
Minting is the process of transforming and publishing your assets on a blockchain to be made and traded digitally.
Since Rarible is considered one the largest and most diverse of all, I am choosing Rarible to mint my artwork.
Select the “Mint an NFT” option and upload your mintable file.
To receive a royalty for your artwork in the secondary market, you can select the percentage or amount of royalty during the non-fungible token minting process.
The non-fungible token can be sold in two ways: the fixed price method and the Auction method.
This method lets you decide your fixed selling price during the non-fungible token minting process.
You will get this fixed price for all the trading done in the future for your cryptographic token.
Here are various factors for deciding the selling price of your digital asset.
● Demand: The popularity of a product decides the amount of money you can get from the sale of your non-fungible tokens. With more popularity and demand comes more money.
● Scarcity: The scarcity or availability ofyour cryptographic art in the NFT market will help decide the selling price. The more unique your product, the higher its demand will be.
● Goodwill: If you are a popular brand, you aremore likely to attract buyers to your token. Considering the name attached to it and the large number of people willing to buy your art design, the selling price of the token will be higher.
● Purpose of Creation: The idea behind creating and selling a particular non-fungible token can be a critical deciding factor for the selling price. For example, if the motive behind the sale of adigital asset is helping a fundraiser, it’ll drive people to put in more money resulting in a higher selling price of the token.
In this method, the creator or seller sets a minimum pricefor the NFT creation.
The buyers bid the price they want to spend on that particular digital asset, which is sold to the highest paying bidder at the end of the auction.
There are two kinds of auctions available on different marketplaces.
● Reserve Auction: The seller sets a public reserve price in this auction. Once the reserve price reaches its endpoint, it starts a timer 24 hours before closing the bid, allowing other bidders to bid before the deadline. There is no set time limit for the bidding, and sellers don’t expect a very high price but whatever money they can get from the auction.
● Scheduled Auction: In this type of auction, there is a specific time frame for the auction to start and end, along with an optional base price. Since the auction has specified time limits, the auction is bound to end whether the bid reaches its base point or not. This type of auction usually takes place as a part of an event.
Once you have created your art design, you should list your artwork for sale on the marketplace.
Here are the steps to make and manage your listings.
1. Click on the “Sell” button.
2. On the next page, you’ll be able to choose from a list of options, such as the price, auction time limit, and the cryptocurrency in which the art collection can be traded.
3. Once you provide all these details, you need to add a description of your NFT, including its title. The description must be exciting and appealing to attract maximum bidders.
4. After all this, gas fees for recording your transaction and sales handling will be calculated.
5. Pay the calculated fees, and you are ready to auction your art collection on the marketplace.
After creating the listing successfully, you can promote your token to your potential buyers on your social channels or website.
You can manage your listing on the selling platform, but making changes and removing thelisting might incur an additional fee.
NFTs are an exciting and secure way of proving the ownership of digital assets.
Theblockchain-based approach gives you a sense of authenticity and uniqueness.
Many NFTs saw enormous trading success and were sold for whopping values.
Here are some of the top-selling NFTs
This crypto art was created by Mike Winkelman, a.k.a Beeple.
The artwork is a collage of 5000 digital pictures taken by the artist for 5000 days straight since 2007 and was sold for $69 Million in 2021.
William Shatner, a famous Canadian actor, released his series of memorabilia which features a huge range of photos clicked throughout his career of more than 60 years in the form of NFTs.
The actor sold 125000 units of memorabilia in just 9 minutes.
Former Twitter CEO Jack Dorsey sold the first tweet as an NFT for about $3 Million.
It was tweeted on 21 March 2006.
Jack stated that the money raised from the sale would be converted into Bitcoin and donated to a charity called Give Directly.
Even though these NFT sneakers are not wearable, they are very popular worldwide.
People are willing to pay even $10000 for NFT Sneakers.
RTFKT sold a range of sneakers in March 2021 for $3.1 Million injust 7 minutes.
Taco Bell has recently launched its NFTs by commissioning a range of GIFs and photos based on the menu items.
Their coins got sold out within minutes of launch.
Although the tokens are priced low, they have created a buzz on social media platforms, and the revenue generated is donated to Taco Bell charity organization.
Decentraland is a virtual world where you can own your houses and clothes.
You can get real ownership over virtual possessions.
Many people have even purchased items in Decetraland virtual world for prices as high as $2.43 Million.
It is a streetwear brand that creates fashionable clothes for the crypto world.
The brand created an NFT hoodie that sold for £26,000 through a digital marketplace at an auction.
The buyer can scan a code and wear this hoodie anywhere in the virtual world.
It is the first news article to be ever sold as an NFT.
This article was published by the famous online news platform Quartz and was sold for 1 Ethereum, i.e., $1800.
The amount collected from the sale was given to Lauren Brown Fellowship at the International Women’s Media Foundation, representing female journalists from underprivileged backgrounds.
NFT is slowly entering the real estate industry, where investors can purchase property shares by tokenization.
Real estate tokenization converts the amount of real estate into cryptographic coins stored on blockchain technology which is much more secure and enables digital ownership.
The property owners sell their assets faster and efficiently, and the investor enjoys liquidity and transparency.
The transactional cost for property buying and selling is lower compared to traditional investing.
Gas is the necessary fee charged to complete a transaction or execute a contract on a blockchain platform.
The gas fee is usually high because it consists of three factors, i.e., the network activity, size of data, and miner tip.
The exact gas price depends on the transaction's demand, supply, and network capacity.
Minting an NFT converts your digital data into NFT/digital assets and records the transactionon a blockchain.
The assets are stored on a decentralized database after minting, which cannot be edited, deleted, or modified.
Investors are tempted to invest in tokenized assets for many reasons.
Here are the top reasons why NFTs are a good investment:
● Investing in art design is accessible to everyone. The ownership of a tokenized asset is easily transferable to anybody with a click across the globe.
● NFT ownership is secured by blockchain technology which records transactions in a way that is impossible to hack or alter.
● NFTs allow investors to get a diversified portfolio. The risk profile of NFT investment differs from regular investments like bonds and shares.
Using “lazy minting” to lower gas fees can be cost-saving for creators. This means a delay in recording transactions on a blockchain.
Another way to lower the gas fee is by efficiently bundling the listings of assets and selling them together as a package to the buyer.
Most popular NFTs are the artworks due to their uniqueness & artistic value attached to them.
The most expensive NFT to be sold is an artwork, The Merge, which sold for a whopping value of $91.8 Million.
NFTs are now a globa lphenomenon, and everyone wants to be a part of it.
While the process of creating and selling an NFT might look challenging and cumbersome at first, it is simple and profitable if you know the right steps to create and sell your NFT.
I hope this article helped you quickly understand the concept and process of making and selling NFTs.