What Are NFT Marketplaces?
NFT marketplaces are internet-based platforms where you can buy non-fungible tokens(NFTs).
Each marketplace allows the buying, selling, and at times minting, of different types of NFT assets. These assets are digital collectibles that generally represent artwork, albums, and in-game assets. Some NFTs are even tied to physical real estate.
Knowing how marketplaces are different will help you decide where to buy your NFTs. This article aims to provide information about the different types of marketplaces for different needs.
Are There Different Types of NFT Marketplaces?
There are two different types of marketplaces for NFTs.
There are platforms that focus on one type of NFT (single project) while there are others that offer a variety of NFTs (multiple projects).
OpenSea is an example of a platform showcasing multiple projects, which range from digital art to domain names.
8 Marketplaces to Buy and Sell NFTs
OpenSea is the first and largest marketplace for NFTs.
It showcases digital art, collectibles, domain names, music, photos, and gaming NFTs. It also offers virtual worlds, such as Etherland, The Sandbox, and Decentraland.
SuperRare brings together artists and art collectors in one NFT marketplace.
This platform allows you to collect and trade unique, single-edition digital art. Artists receive royalties for all secondary sales of their artwork.
Rarible features digital art, such as the famous Bored Ape Yacht Club collection.
It also allows you to mint an NFT in a simple, non-technical way. There are no transaction fees that go to Rarible, but you will have to pay a fee to the network.
Nifty Gateway prides itself on providing a platform that serves NFTs without the headache of ultra high gas fees.
It also offers payment options other than a crypto wallet, such as debit card and credit card.
You can trade and create your own NFTs for Decentraland’s on-chain assets in the marketplace.
Decentraland is a virtual world where NFTs are parcels and estates of land, wearables, and unique avatar names.
Sorare is a site where you can collect and trade digital cards of your favorite football stars.
If you’re a fan of fantasy football, you can bring that experience into reality. At Sorare, you can build and manage your team and earn points according to the real-life performance of the players in your lineup.
NBA Top Shot
The NBA Top Shot marketplace is a platform where you can buy “packs” of NBA moments. You can rip those packs and enjoy the game’s epic moments in history.
Find more details about the NFT you want to buy, including highlight stats, player stats, and even sales history of the asset.
Axie Infinity is a popular game, which skyrocketed in user base in 2021. Digital pets called “Axies” are used to battle it out in the game. You can also breed these pets.
The marketplace is focused on in-game assets only.
Can Anyone Create An NFT?
Yes! It’s quite possible to create an NFT of your own. This can be done through a process called “Minting”.
Since NFTs are essentially digital certificates built on the blockchain, you can create and mint your own unique asset. There are different blockchains you can use to mint your NFT. The most popular one is Ethereum, but it has higher gas fees.
Do I Need Technical Experience to Create an NFT?
Not really. There are platforms out there such as OpenSea, which allows non-coders to mint their NFTs in a breeze. All that is required of you is to sign up and connect your crypto wallet.
There are also platforms such as Rarible, which allow you to pass on the minting fee to users who buy your NFT.
What NFT Marketplace Should I Use?
Emergen Research published a January 2022 report predicting that the market will reach $3.5 trillion in 2030. However, the industry, like many others, is not rid of scams and fraudulent activities. At the end of the day, dealing with blockchain can prove to be risky, which means that investors that are new to NFTs need to perform their own due diligence before backing an NFT project and investing in the space.
Here are a few things to consider when choosing an NFT marketplace:
1. Blockchain and Token Standard
As previously mentioned, NFTS can be created on a specific blockchain. If you’re a creator, you can build your NFT on a blockchain that is compatible with the token of your preferred audience.
For example, Ethereum-powered marketplaces accept tokens created on the Ethereum blockchain, including ERC-721, ERC 998, and ERC 115.
2. KYC or Identity Verification Requirements
Know Your Customer (KYC) is a platform’s identity verification process. It provides a sense of security because it serves as a barrier to scammers.
3. Payment Options
Some NFT marketplaces require you to have an existing cryptocurrency wallet, which is another hurdle for beginners in the blockchain space.
Others provide the convenience of paying with your debit or credit card.
There are other considerations when choosing an NFT marketplace. Before surrendering your hard-earned money, make sure to DYOR (do your own research).