We are stepping into a world where digital creators have many options to monetise their digital artwork. And with the introduction of non-fungible tokens or NFTs, this revolution has been taken to a whole new level.
Recently, NFT crypto assets have grown significantly in popularity, with several NFT artists earning millions from music, collectables, and designs using blockchain technology. And if you are also planning to start and mint or create your own NFT, there are several things you should know before getting started.
Minting NFTs: An Overview
The method of transforming digital art into blockchain technology as a public ledger is known as minting NFTs. This process of adding NFT crypto art to a blockchain (NFT minting) is similar to generating cryptocurrencies on blockchain technology.
It is the most advanced way of having ownership over your creations and having flexibility over their resales. The NFTs you mint will be linked to your digital wallet, giving you complete control over your funds and allowing you to manage them directly.
Top 5 Things to Know before Minting Your Own NFT
Choosing Reliable Blockchain Platforms
Thinking twice and doing thorough research on the platform you decided to sell on is crucial. While some platforms enable anyone to create NFT tokens, an increasing number of credible platforms require NFT crypto developers to go through a vetting process.
This verification requires an application or a recommendation from another artist. As a result, depending on your goals as an NFT token creator, checking the platform that does or does not have a verification process is essential. Some reliable and widely used blockchain platforms for NFT minting are:
- Binance Smart Chain
Modifications in Minted NFTs
Once minted successfully, an NFT resides perpetually on the Ethereum blockchain, making any further alterations is impossible. It is because all the transactions recorded on the blockchain are irreversible and can’t be manipulated.
The only way to modify an NFT crypto art is to burn the token to delete it and then make necessary modifications. To avoid having to burn an NFT eventually, use extreme caution during the minting procedure.
Countering Market Volatility
NFT cryptos are highly volatile assets that are still in their emerging phase. The market’s dramatic surge in early 2021, when the market exploded above $170 million, exemplifies this unpredictability. As May 2021 came to a close, the NFT market had fallen to just $19.4 million after only three months.
As a result, investors who purchased NFT tokens at high prices were left with lesser or no margins. This eventually mandates NFT minting to be a well-considered decision by the creators. Additionally, they must keep the following points in mind:
- Always examine the risk-to-reward ratio when determining the benefits of minting NFTs. You can do so by checking whether they’re worth the time, effort, and money invested
- To boost your income, establish solid relationships with your audience or followers interested in acquiring your work
- Persist and don’t expect NFT minting to provide you with any large profits in a short period
Fraud and Security Concerns
Just like any other emerging market, NFTs have a few issues to iron out. The most common and critical ones are fraud and plagiarism of the NFT crypto art, in addition to environmental concerns over non-fungible token manufacturing. Unfortunately, there have been numerous examples of malicious people plagiarising the work of small artists to produce NFTs to profit themselves.
Even though some platforms’ identity verification processes have helped mitigate the problem to some extent, the original work is always at risk of being copied. Therefore, if you find someone imitating your work in NFTs, your best move would be to notify the platform where such NFTs are being sold.
Use of Smart Contracts
NFTs are merely a digital record of a transaction that is verified by being logged on the blockchain. However, this does not rule out the possibility of generating more value through smart contracts.
When constructing an NFT, utilising smart contracts provides value by enabling digital creators to create terms, conditions, and additional perks for their token holders. The parameters of a smart contract can contain a physical item, a service, and anything else you wish to include. Smart contracts are the future of NFTs, so it is better to get familiar with them and start experimenting.
At last, it is worth mentioning that you have to be well-informed about the initial requirements or prerequisites before minting NFTs, primarily for planning and preparation considerations. NFTs are popular; however, making them can be challenging at times. So, a well-thought-out strategy incorporating the factors mentioned above can aid you in successfully minting your own NFT.
If you want to invest in NFT platforms rather than individual NFTs, you can check out Mudrex’s NFT Coin Set. It contains some of the top tokens of the best NFT platforms. Coin Sets are baskets of cryptocurrencies built on different ideas to maximise long-term returns.