How To Size Up NFTs Before Buying Them
The NFTs have positively shaken up the global economy on all fronts taking up space to inculcate a variety of audiences and industries. The revenue-generating opportunities have served large flocks of people who have evidently also had their start in the sector as amature artists and creators.
The trajectory of NFTs since their inception
The concept of NFTs started with the innovation of blockchain technology. The art trading platform was born out of the cryptocurrency use case that resided on the blockchain. Though the sector was quite stagnant for quite a while since its start in 2014 – it pulled its weight in the year 2019. Their use cases skyrocketed. Starting with DeFi – art trade, ticketing, crowdfunding, real estate, gaming, and recently renting aspects are integrated into the sector.
Returns in the global market
The NFTs rose to their stardom in 2021 with more than $22 billion in global revenue returns. This gave freedom for the sector to go off the rails with their growth in including a variety of new talent. Including new industries, developments in tools such as marketing, ticketing, and crowdfunding by proxy. The art trading marketplace also helped in strengthening the bond between the artists and creators to generate revenue in these unprecedented times. The pandemic cost lives and jobs. The NFTs breathed a new life into the sector. By integrating all the aspects of trade and improving on it – in the online space and on the global scale.
What are NFT marketplaces?
The online storefront where the NFT projects are listed for selling and buying. The niches in the marketplace make up for the different kinds of participants that have a use for that specific market. But the overall classification can be categorized into two – a primary and secondary marketplace that the former hosts or out-sources. The primary market is for the creators and brands that develop and launch the projects. They list the NFT pieces for auction, fixed price, or a hybrid of both. The secondary marketplaces are for the investors and collectors to take up the purchased pieces and start trading.
Factors in an NFT marketplace & project to look out for.
Given how diverse and vast the realm of NFTs are, it is impossible to list a good tactic for each and every one. And this is not taking into account the intersectionalities overlapping in the existing sectors within the NFTs. New niches are forming and infiltrating the space each day. Some tried, and true aspects can be taken as commonalities between all these markets.
Features in the marketplace.
- The complementary feature that helps a market is a presentable and aesthetic storefront. Considering how the trade is totally about the quality and utility of the digitally residing asset.
- Security is of the utmost importance. The market should be loaded with security measures that help prevent sleep minting, centralized asset security.
- And make aware of the correct official channels to access the marketplace – duplicate and pop-up websites.
- Search engine optimization and filters help maintain the ease of workflow.
- The transaction and listing information should be made transparent, given that the platform is decentralized.
- A relevant secondary marketplace for listing the NFTs for the buyers to trade.
Utilities of an NFT project.
- The existence of the NFTs has transcended their mere existence in the binary world and started to slowly integrate their physical application use cases. The utilities of the NFT projects are the new way to gauge the popularity and value growth of the NFTs today.
- The higher the exclusivity and unique attributes of the NFT piece, the higher their worth is in secondary markets as they get traded.
- Ticketing, rewards & gifting, marketing, merchandising, metaverse – games and community spaces.
- All these aspects factor in when deciding upon the potential growth trajectory of the digital assets trading platform.
- Celebrity-endorsed projects or influencer projects are also a banger in the NFT space.
- Gaming is a beast in the NFT space – with monetizable assets of the game present in the metaverse – ecosystems, in-game assets, and commodities.
Wrapping up.
All the above-mentioned sectors and trends in the specific divisions are a for sure banger in the digital art trading realm. Some of the prominent marketplaces in existence are Beyondlife.club, Bollycoin, Waxirx, etc. Be sure to start participating in the highly opportunistic sector that has helped and improved a plethora of audiences.
