There’s so much buzz around them, and multi-million dollar deals are seemingly announced every day. So, ever wondered how to create an NFT?
Non-fungible tokens, popularly known as NFTs, are trending in the crypto space and making people millionaires overnight. In simple terms, most people understand NFTs as being about selling collectible digital assets.
There’s more to it than that.
These assets have to be unique. The more outstanding the asset is, the higher the price can go.
Being non-fungible tokens means that these collectible assets cannot be substituted for something of equal value or utility. They can be sold or purchased, however. And they are. People pay ridiculously large amounts of money for these collectibles.
With that in mind, it’s no wonder that NFTs are so popular and so many people are venturing into the space daily. Here’s a simplified guide to how you could create your own NFT.
Your Turn?
Not being a professional digital artist doesn’t have to stop you from making it big in the world of NFTs. All you need is a unique collectible asset and customers. Well, that’s almost all; you also need, most importantly, to understand how NFTs work and how to create and sell them.
Bear in mind that making an NFT is not free. There are usually up-front charges, so you need to be prepared to pay those and accept the risk that your digital collectible may not actually sell.
How It Works
Select your item: Before selecting a digital asset to turn into an NFT, ensure you own all rights to the item to avoid legal problems later on. The digital assets you turn into an NFT could be a picture, music, video game collectible, meme, or even a tweet. Twitter founder Jack Dorsey made an NFT out of his first-ever tweet and sold it for $2.9 million.
Pick a blockchain: NFT transactions are conducted on blockchain. So, you need a blockchain to mint your selected digital asset into an NFT. Different blockchains are used for minting, including Polkadot, Enjin, and Binance Smart Chain, but the most widely used is Ethereum.
Set up your digital wallet: A wallet may be necessary to pay fees for your NFT as well as receiving payment should it sell. There are many to choose from, including Trust Wallet, MetaMask, and Coinbase Wallet.
Select your NFT marketplace: As the name suggests, an NFT marketplace is for creating and selling NFTs. Importantly, you must ensure that you choose a marketplace that suits your NFT. There are many to consider, depending on what your NFT is, including Rarible, SuperRare, Foundation, Nifty Gateway, and even NBA Top Shot Marketplace. Read the fine print before choosing, as some marketplaces have specific rules – for example, some require that only their own cryptocurrency is used.
Choose a crypto wallet: After choosing the perfect marketplace, the next step is to connect your digital wallet to it. This will enable you to pay the necessary fees to mint your NFT and accept sales proceeds.
Upload your file: Minting your NFT will not give you much trouble, as each NFT marketplace comes with a step-by-step guide for uploading your file. This process turns your digital asset file into an NFT.
Set up the sales process: Now decide how to monetize your NFT. You either sell at a fixed price, or set a timed option or unlimited auction. It depends on which suits you. You have to determine a minimum price if you’re going with the auction option, and you need to set your royalties to keep cashing in on your NFT if it resells on the secondary market. You should also determine how long to hold an auction. Don’t forget the minting fee; when setting a price, consider the amount you paid for creating your NFT if you want to avoid losses.
If you are interested in how to create an NFT and becoming an NFT creator, hopefully this simplified guide will get you started.
