NFTs are creating a new revolution in the blockchain world recently. The sales volume of NFTs reached $4.6 billion this January, while it was only $10.6 billion in the last quarter of 2021. There is also a soaring high in new users of NFTs recently, making it a massive trend right now. With this, many cryptocurrency companies that started with exchange platforms started their own NFT marketplace. Coinbase, Binance and many other bigshots in crypto are now entering into NFTs.
NFT marketplace development is now a lucrative way of entering the blockchain market. Many entrepreneurs with their eyes on Blockchain often get confused or get stuck in entering the crypto market. This blog is curated for such entrepreneurs. Dive in and know why launching an NFT marketplace will be the right choice for you.
What is an NFT marketplace?
Non-Fungible Tokens are intangible assets that represent a unique digital asset. Since they are unique and one of a kind, they pose greater value in the Blockchain. An NFT marketplace is a platform that allows people to buy NFTs, sell them, and even allows them to mint new NFTs on the platform.
Opensea is the most popular NFT marketplace, with more than 1.4 million active users around the globe. The overall sales volume of Open Sea last year was $23 billion. It allows independent artists to mint their own NFTs on the platform. This massive success of Opensea has brought in many new NFT marketplaces in the market. The Solana ecosystem has its own marketplace now in the name Solsea. Binance and Coinbase are also having their own NFT marketplace now.
Did you know Instagram is planning to come up with its own NFT marketplace platform where people can mint NFTs? Meta has given its statement that it will be concentrating on bringing NFTs to Instagram soon.
How does an NFT marketplace work?
An NFT marketplace is a platform that involves NFTs, cryptocurrencies, native tokens, and even fiat currencies. Rare artifacts and unique paintings are usually auctioned off among the buyers. NFT marketplace business is also similar to that. Here is a detailed and generalized workflow of an NFT marketplace platform to give you a better understanding of it.
- On any platform these days, user registration with basic information is always required. A clear user registration form with basic information will make it easier for users to access the platform.
- To securely store the NFTs, the users will need a crypto wallet or web3.0 wallet. There are marketplaces that use pre-existing web 3.0 wallets, such as Metamask and Coinbase, and users must integrate them on the platform. On the other hand, there are marketplaces that operate solely on their own native wallets.
- Marketplaces that allow users to mint their own NFTs without codes are now in trend. This will attract independent creators who want to monetize their work, as well as collectors looking for one-of-a-kind NFTs.
- The next important feature that will aid in providing a better user experience is letting them explore the NFT. Whether it is a marketplace for dedicated NFTs like art, music, photographs, or videos, or a platform for all NFTs under one roof, categorization must be simple and effective.
- The payment interface is a significant factor in determining the user experience. It is critical to have a smooth payment gateway that accepts existing cryptocurrencies as well as fiat currencies. Users always expect a seamless transaction experience when it comes to online payment. So having two or more payment gateway will help in creating a reliable payment.
Why is the NFT marketplace the right choice?
NFTs are now taking up every industry possible. Since they are unique, NFT geeks are coming up with a number of new use cases for NFTs. Some of them are listed here
- Identifying a person through Identity card, passport, driver’s license, and more can be made as NFTs to represent uniqueness. This will reduce identity theft, forgeries, and multiple identities effectively.
- Documentation can also be made as NFTs, as mentioned above.
- Certification is another area where people can get their educational degrees and other skill certificates in the form of NFTs. This will also reduce forgeries in certificates, making it a transparent system
- Event ticketing is another area that has already started to come into practice. This will reduce fake tickets and overpricing of tickets for important sports matches, concerts, and more.
- Supply chain and logistics is also a sector that is getting ready to use up NFTs for identifying the items or products in transit. This will bring transparency to the entire transit of the items.
- NFT real estate is another important use case that is getting attention from the public now. Digital copies of many properties are now NFTs, which helps the public assess the property virtually before buying them.
- Intellectual property and Patents can be made NFTs, giving them an opportunity to prove ownership of content just like trademarks and copyrights.
Since NFTs are bringing a new revolution in all industries, people consider these NFTs as invincible assets in the Blockchain. This opens a plethora of opportunities for entrepreneurs in the blockchain world.
NFT marketplace development will be a great contribution to the blockchain community. Be it a dedicated marketplace for content-specific NFTs or a Marketplace that host NFTs of all kind under a single roof, NFT marketplace development will aim for success.
The first step you should take in NFT marketplace development is selecting your developer. Though there are many developers in the blockchain industry, there are only a few out there with years of experience. Before entrusting your project in their hands, have a chat with them and learn their service packages. Also, check out their previous projects and their success rates. This will help you in assessing the performance of your developer.
Entrepreneurs think it is a long and tiring process to launch an NFT marketplace. There are no code marketplaces available now with many leading developers. There are also white label scripts that allow you to customize the platform to any extent according to your requirements.