NFT Minting — The What, The How, And The Why
NFTs have been around since 2014. But it wasn’t until 2021 that the trend really picked up. At that time, several people, especially artists, were struggling to regain their livelihoods that were lost to the pandemic. In this scenario, NFTs were a goldmine for artists and content creators. Artists could mint their work as an NFT, sell it on an NFT marketplace, and earn. For one thing, NFTs handed complete control of the sale to artists. This ensured that they could set their own prices without the intervention of any third party. Another key advantage was that NFTs let artists earn royalties every time their work was sold.
Of course, NFTs soon expanded beyond the world of art to encompass several other industries. NFT gaming, for instance, really took off in 2021 — a circumstance that can, again, be attributed to the pandemic. With many people losing their jobs, play-to-earn NFT games were a source of income for many the world over. Especially in developing countries. Then came the inclusion of NFTs in fields such as fashion and marketing. Now, several big names across industries have their own lines of NFTs.
So it is clear that NFTs are ubiquitous, with several use cases to their credit. But what exactly are they, and how are they created? Read on to find out.
What are NFTs?
NFTs, or non-fungible tokens, are simply digital tokens that represent an asset. These tokens are unique and cannot be exchanged for any other. To illustrate, you can exchange a dollar for a dollar or a bitcoin for a bitcoin. NFTs are different; each one differs in value. Added to that, they are one of a kind which means that it is impossible to just trade one NFT for one with the same attribute.
NFTs can take any form, from jpegs to gifs to audio files to memes, and recently even books and albums! But why buy an NFT when it is easier to just right-click an image and save it? So what do NFTs bring to the table? The selling point is that NFTs offer the owner complete and verifiable ownership. You can be a hundred percent sure that what you are buying is the real thing. Another factor that drives NFT sales is FOMO. NFTs are something of a status symbol, and everyone wants to be part of the hype. After all, NFTs are poised to lead the way into the Metaverse!
How does NFT minting work?
Contrary to how it may seem, NFTs are actually very easy to create or mint if you want to be technically correct. Minting is, very simply, the process by which assets are put on the blockchain.
- Do your research: To start with, it helps to have some basic working knowledge of crypto and blockchain technology. This would enable you to navigate NFT marketplaces with ease and make sure that you and your assets are safe. The process that follows is startlingly easy.
- Identify an asset you want to mint: The first one is a no-brainer; identify something you want to mint as an NFT. As established before, NFTs can be anything! Whether it is a work of digital art, a book, or an album, make sure you have the perfect asset to mint as an NFT and that it is something that will be in demand.
- Obtain a crypto wallet: The next step is to get a crypto wallet. A number of crypto wallets are available for use, including MetaMask, Coinbase, and Trust Wallet. Ensure that you have sufficient funds in your wallet since NFT minting may require a gas fee.
- Connect your crypto wallet to the marketplace: Connect your crypto wallet to the NFT marketplace of your choice. Make sure that the marketplace meets your needs and expectations and that you are satisfied with their work. Once this is done, complete your profile on the marketplace with links to your website and your preferred method of payment.
- Mint your NFT: Follow the instructions on the marketplace to mint your NFT. Usually, you can simply upload the file you want to mint, and the marketplace does the heavy lifting for you. Next, give your masterpiece a name, description, external links, and the blockchain it is to be based on. Et voila, you have minted your NFT! Congratulations!
- List your NFT for sale: The next thing to do is list your NFT for sale. Set it up in a way that is convenient for you, and check if there are fees associated with selling your items. Once you have paid the amount, your NFT is ready for sale.
- Promote yourself: As with any project you undertake, promotion is key. Build relationships with potential patrons and get the word out about your NFTs to anyone who may be interested. When it comes to NFT projects, community engagement is absolutely vital to success, so make sure you are active on social media like Twitter, Instagram, Facebook, and Discord. You also always have the option of adding more NFTs and turning them into an exclusive collection. The possibilities are endless!
What are the benefits of minting an NFT?
You might be asking yourself… What is the whole point of minting an NFT? Well, the truth is that NFTs have a lot to offer. Both creators and buyers benefit from NFTs. Here are a few advantages of NFTs.
- You get to sell unique assets: NFTs are, by definition, unique and one of a kind. If you think your unique work makes sense as an NFT, then you might just reap in spades. Sure, you can put an artwork up for auction, and make a lot of money from it, but you also have the option of earning royalties. Rather than it being a one-time trade, the very nature of NFTs allows them to have tradable ownership. And every time an NFT changes hands, some marketplaces offer artists the option to earn royalties. A predetermined cut of every resale is deposited in the creator’s wallet with the help of smart contracts.
- Ownership that is democratized: One trend that is up and coming in the art world is the concept of fractional NFTs. This allows several people to own a portion of a masterpiece. As opposed to usual NFTs, which are single, indivisible tokens, fractional NFTs consist of several fungible tokens that are connected to a non-fungible whole. This way, a number of people can own a slice of the metaphorical pie.
- You can preserve the value of assets: NFTs allow you to store the value of the asset in a tangible way. Considering the indubitable safety of the blockchain and the fact that there is built-in scarcity, it is plain to see why NFTs are so advantageous.
NFTs have a lot to offer. Especially if you happen to be an artist, a musician, or any sort of content creator. With just a simple process, you can mint your precious artwork as NFTs and display it to the whole world. Apart from the money you make from selling your NFT, some NFT marketplaces allow you to earn royalties every time your NFT is traded. All this makes NFT minting a huge draw for creators of digital content.