Have you been hearing NFTs in recent times? Now, it’s time to start your own!
We share many memes, infographics, jokes, artwork, and other digital assets with our peers and family for enjoyment, information, or to make the public aware of some event since we are tech-savvy and digitally sociable. But have we ever wondered — where do all these originate from?! Well, the non-fungible tokens (NFTs) are the reason behind it.
In this article, we will dive into the NFT Token Development, the reasons to build your NFT, its risk-tolerant nature, and much more.
Why should I create an NFT now? — NFT token development
It all started in 2017, when Crypto Punks, the first-ever non-fungible token, was published on the Ethereum Blockchain by the American studio Larva Lab. In the same year, another project called Crypto Kitties was released, and it became viral almost quickly.
Since then, numerous industries have leveraged NFTs on the Ethereum Blockchain (commonly on ERC-721 standard). Also, the features and functionalities of NFTs have increased. Some of them are:
Ø Security of data is ensured in Blockchain network that your token can’t ever be destroyed or duplicated.
Ø Indivisibility nature of NFTs means that none can break or divide them into smaller denominations (like Bitcoin).
Ø Individuality of any original item or asset is kept safe from the duplicated copies. Moreover, NFTs use prominent Blockchain networks to safeguard authenticity.
Ø Smart contracts showcase the owner’s identity to whoever buys or sells the digital-only token.
NFTs’ market value will have tripled to more than $250 million by 2020. In the first quarter of 2021, NFT revenues reached $2 billion. Due to their unique properties, these commodities cannot be swapped with other things.
First, pick your artwork!
The very first thing you must do is choose the artwork. Any digital file can be represented by non-fungible tokens. A digital painting, a text, a piece of music, or a movie can all be converted into NFTs. Anything that can be saved as a multimedia file qualifies. After all, the NFT Token Development is all about turning infinitely reproducible digital artwork into “unique” pieces.
After choosing the artwork,
Ø You need to choose the most prominent standard (Ether). NFTs can be created on a variety of Blockchain, but for the sake of simplicity, we’ll assume you’ll use Ethereum.
It’s time to choose a marketplace:
Ø You need to pick a marketplace or rather develop yours. With your marketplace platform, you can invigorate NFT enthusiasts to buy/sell their tokens on it.
You know what? The procedure (NFT Marketplace Development) is relatively straightforward. Advantages of NFT Marketplace can be utilized to address issues, both in the digital world and in reality.
Now that you have an NFT Marketplace in place, what’s next?
Ø You’ve successfully created a token, congrats! You’ll be able to select the Ethereum tokens you’ll accept as payment, whether you want to sell for a fixed price or at an auction, and the royalties you’d like to receive from the first and subsequent sales on the selling page.
Is investing in NFTs a good idea?
The most obvious advantage of NFTs is their market efficiency. Investing in NFTs has a lot of potentials, but it also has a lot of risks. Because NFTs cannot be replicated, they create scarcity and thus value for the asset.
For artists and investors,
Ø Converting a physical product into a digital one opens up a world of possibilities.
However, for others;
Ø Digital assets, like real estate and collectibles, are much easier to divide among multiple owners than physical assets, making them one of the finest NFT investments.
Irrespective of the risks, the future looks promising for non-fungible tokens and their investors. With the decentralized finance industry already worth over $4 billion, it’s clear that the NFT space is going to explode in the coming years.