As crypto enthusiasts, we are sure you must have come across phrases such as ‘artist sold USD 4 million worth of NFTs’ or ‘unknown artists make millions of dollars by minting NFT.’
If you are also fascinated by such news and want to know more about how one can mint NFT, this article will serve you as a step-by-step guide. The details covered in this article include understanding NFTs, how to mint an NFT, where to list them, the charges associated with minting and lastly, the strategies that can help you grow your NFT sales.
For instance, Imagine buying a unique piece of art but constantly fearing that it may not be an original one. Unless you are an art connoisseur, it is very difficult to differentiate between an original and a copy. Buying the original piece of art with assurance has become a task, but what if there was a way we could guarantee its original owner? Yes we can do it and the solution is a Non-Fungible Token (NFT).
What are NFTs?
NFT is a digital certificate that is backed by a blockchain network. Most NFTs are built on the Ethereum network. This certificate guarantees the ownership of the unique digital asset. As discussed in the above sections, this solves a major problem for most investors and creators of NFTs: investors get their assurance and creators get their due credit of ownership.
NFTs are built on a blockchain network where all the transactions are detailed on a digital public ledger, which brings forth transparency and assurance to buyers.
Minting NFTs is the new way for artists to monetise their work. From art to music to articles, everything can be minted as an NFT. According to crypto experts, over USD 40 billion (INR 3 lakh crores) worth of NFTs were sold in 2021. So far this year, USD 37 billion (INR 2.8 lakh crores) worth of sales have taken place. Popular NFT projects such as the ‘Moonbird’ is a collection of 10,000 pixelated owls, which garnered sales of a staggering USD 500 million (INR 3.8 thousand crores) this year. All of this data implies an upward trend in NFTs. Therefore, aspiring artists need to understand how to mint NFT and monetise their work.
A step-by-step guide to minting NFTs
Now that we have understood NFT’s core proposition, let us explore how to mint an NFT. So here are the ways:
Choose a crypto exchange.
First and foremost, as an investor, one needs to have an account with a crypto exchange. ZebPay, which is India’s largest crypto exchange, is the best when it comes to trading in cryptos. It has cutting-edge security standards that help you grow your money safely.
Purchase a crypto wallet.
Once you have an account with a secured crypto exchange, you need to obtain a crypto wallet and buy some crypto through your crypto exchange. Preferably, investors purchase Ethereum since most of the NFTs are built on the blockchain. As an artist, to mint NFT, you need to pay some ‘gas fees’ to launch and do all the computing. Keep some Ethereum in your wallet in advance for that payment.
Choose a platform.
Once you have set up an account and reserved some seed capital, choose a platform to mint NFT. The top marketplaces are Foundation, SupeRare, OpenSea, and Rarible.
Mint your NFT.
Once you have zeroed on the marketplace, choose a theme for your NFT as well as whichever format or files the marketplace supports. Upload your work. You will be requested to give a description of the NFT and the blockchain network (Ethereum, Polygon, etc.) on which you would like to run it.
While uploading your NFT, you need to mention the sale option. Usually, there are two ways. One is a fixed price on your NFT, and the other is a timed auction. Apart from the gas fees to upload the NFT, every marketplace charges handling charges that are a percentage (approx 2.5%) of your NFT sales price. Once the NFT is sold from your end, it may get re-sold and a royalty fee needs to be set for that.
Once all this is done, you can then safely upload your NFT.
The success of minting the NFT hinges not only on how you mint it but also on the engagement garnered for the piece. This is usually done via rigorous engagement over social media platforms such as Twitter, Instagram, and Facebook.