Here’s a guide on how to make NFT. Non-fungible tokens, or NFTs are booming in popularity these days. People pay a lot of money for this unique collectible cryptocurrency asset. NFT has taken the digital art world by storm.
If you haven’t heard of NFT artist Beeple selling for $69 million dollars, it’s time to find out what NFT is and how to make it.
Also read: What is NFT? 6 Things You Need to Know About NFT
NFT has become a great attraction where everyone wants to get in on the action. Especially if you are an artist or a collector, you need to know what all the hype is all about. So, before you jump into the NFT wave, here’s everything you need to know.
What is NFT?
Simply put, NFT is a non-exchangeable token. Non-fungible is an economic term that basically means goods that are unique and cannot be exchanged.
This attribute makes NFT different from say, bitcoin. You can exchange one bitcoin for another and everything will be exactly the same. But that doesn’t apply to NFT. Each NFT is unique.
How does NFT work?
NFTs are stored on a publicly distributed digital ledger known as a blockchain and is used to prove ownership of unique items. You store NFT in your crypto wallet which supports NFT.
Since it is stored on the blockchain, it is easy to prove ownership. Each block in the blockchain contains information such as the cryptographic hash of the previous block, timestamp, and transaction data. Blockchain is also resistant to modification due to the chains that make up the block.
Modifying one block cannot be done without changing the next block in the chain. Hence, your NFT is relatively safe from theft.
What Items Can Be NFT?
The world of NFT is still rather new and there aren’t too many restrictions on what can be printed as NFT. The most popular item cases printed and sold as NFT include digital art, videos, GIFs, music, collectibles, and in-game items.
Digital art has clearly seen a large part of the use of NFT due to the fact that the blockchain ensures you can easily prove ownership. There are also cases of tweets being sold as NFT. Of course, the tweet was none other than the first tweet from the Twitter founder.
In-game items have also experienced a recent spike in NFT usage. Using NFT to sell in-game items has many benefits. First, it can be used to maintain exclusivity and scarcity. A plot in a game sold for almost $1 million dollars recently.
Also read: How to Make Money in Thetan Arena (NFT game)
And given that NFTs can be further sold and their prices can increase over time, even in-game items can be an investment. In addition, due to royalties, even game developers can earn more each time NFT is resold.
NFT is also used for event tickets, deed to items, essays or articles from online publications, restricted shoe lines, domain names, etc. Some other examples include word documents, recipes, even entire startups. And this seems to be just the beginning for NFT.
The NFT token has even been used for TV shows where you need the NFT associated with the show to be able to watch it.
How to Make NFT
The potential for big money is driving more people to create NFTs in hopes of cashing in on the current craze. Here is a step by step guide on how to create and sell NFT.
1. Select items
Let’s start with the basics. If you haven’t already, you have to specify what unique digital asset you want to convert into NFT. This could be a custom painting, image, music, video game collection, meme, GIF, or even a tweet. NFT is a unique digital item with a sole owner. That rarity gives NFT value.
Make sure you own the intellectual property rights to the item that you want to convert into NFT. Creating an NFT for a digital asset that you don’t own can get you into legal trouble.
2. Choose a blockchain
Once you have selected your unique digital asset, it is time to start the process of making it an NFT. It starts with determining the blockchain technology you want to use for your NFT.
The most popular among NFT artists and creators is Ethereum ( CRYPTO:ETH ). Other popular choices include Tezos, Polkadot, Cosmos, and Binance Smart Chain.
3. Set up a digital wallet
If you don’t have a digital wallet yet, you will have to set it up to create an NFT as you need some cryptocurrencies to fund your initial investment. The wallet will give you access to your digital assets. Top NFT wallets include Metamask, Math Wallet, AlphaWallet, Trust Wallet, and Coinbase.
Once you have set up your digital wallet, you will definitely want to buy some cryptocurrencies. Most NFT platforms accept Ether, the cryptocurrency of the Ethereum blockchain platform.
If you already have some cryptocurrencies elsewhere, you can connect them to your digital wallet so that you can use them to create and sell NFTs.
4. Choose NFT market
Once you have a digital wallet and some cryptocurrencies, it’s time to start creating (and, hopefully, selling) your NFT. For that, you have to choose the NFT market. Some of the top NFT markets include OpenSea, Axie Marketplace, Larva Labs/CryptoPunks, NBA Top Shot Marketplace, Rarible, SuperRare, Foundation, Nifty Gateway, Mintable, and ThetaDrop.
You should research each NFT market to find a suitable platform for your NFT. For example, Axie Marketplace is an online store for top NFT games Axie Infinity. Meanwhile, NBA Top Shot is a basketball-focused market. It is also important to note that some markets require their own cryptocurrency. Rarible, for example, requires Rarible ( CRYPTO:RARI ).
OpenSea is usually a good place to start. It allows you to print your own NFT, and is a leader in NFT sales. Market NFT sold $3.4 billion worth of NFT in August 2022.
After selecting your NFT market, you have to connect it to your digital wallet. That will allow you to pay the fees required to print your NFT and hold any sales proceeds.
5. Upload files
You are now finally ready to print your NFT. The NFT marketplace of your choice should have a step by step guide for uploading your digital files to their platform. That process will allow you to convert your digital files (PNG, GIF, MP3, or any other file type) into marketable NFT.
6. Manage sales process
The final stage in the NFT printing process is to decide how you want to monetize your NFT. Depending on the platform, you can:
- Sell at a fixed price: By setting a fixed price, you allow the first person who is willing to meet that price to buy your NFT.
- Set a timed auction: Timed auctions will give those interested in your NFT a deadline to submit their final bids.
- Unlimited Auctions: Unlimited auctions do not set a time limit. Instead, you have the control to end the auction whenever you want.
You’ll need to determine a minimum price (if you’re setting up an auction), set a royalty to continue cashing out your NFT if it’s resold on the secondary market, and how long to hold the auction (if the time is right).
Keep costs in mind when setting a floor price because you can lose money on NFT sales if you set the price too low.
Unfortunately, the costs of printing and selling NFT can be expensive and confusing. Depending on the platform and price, you can pay registration fees, NFT printing fees, sales commissions, and transaction fees to transfer money from buyer’s wallet to your wallet.
Fees can also fluctuate due to volatility in cryptocurrency prices. Therefore, it is important to look closely at the fees you will have to pay to print and sell your NFT to make sure it is worth it.
That’s how to make NFT. I hope this article helped you! Thank you for visiting and don’t forget if you find this article useful, please share it with your friends too.
