I Just Minted My Very First NFT. Here’s What I Learned.

I Just Minted My Very First NFT. Here’s What I Learned.
Reda Farran, CFA

almost 2 years ago7 mins

  • Choose an NFT marketplace taking into consideration its size and commissions as well as which blockchains and file types it supports.

  • Things to consider when pricing your NFTs include the number of copies minted, any additional benefits to holders, gas fees, and more. Research other creators, experiment with different pricing strategies, and play the long game.

  • Marketing your NFTs is very important and should start even before your drop – advertise on social media and internet forums, and consider organizing a giveaway.

Choose an NFT marketplace taking into consideration its size and commissions as well as which blockchains and file types it supports.

Things to consider when pricing your NFTs include the number of copies minted, any additional benefits to holders, gas fees, and more. Research other creators, experiment with different pricing strategies, and play the long game.

Marketing your NFTs is very important and should start even before your drop – advertise on social media and internet forums, and consider organizing a giveaway.

What started off as a joke – telling my 12-year-old niece I’d convert her artwork into an NFT if she let me have it – turned into a mini project over the course of last week. So here’s exactly how I did just that, and some of the key things I picked up along the way.

Step 1: Choosing an NFT marketplace

There were some important things to consider here.

First, the size (volume and number of users) of the marketplace. Bigger isn’t always better. Yes, more users means you can technically reach more people when selling your NFT collection. But bigger also means more creators on the platform, making it harder for your collection to get noticed.

Second, the commission charged by each platform. For example, OpenSea – the largest marketplace – takes a 2.5% cut from every transaction. Some upstarts – like Zora – have no commissions, while some more exclusive marketplaces – like SuperRare – take a hefty 15%.

Third, the blockchain the platform runs on. Most NFT marketplaces currently run on Ethereum, since it’s arguably the most secure. But it’s also the most expensive, with gas fees often north of $100. Some NFT marketplaces are addressing this issue by using Polygon – an Ethereum scaling solution that allows for zero gas fees when minting and selling NFTs.

Fourth, whether the platform supports the file type of the NFT you want to create. Not all marketplaces support video files, for example. Here’s a good overview:

NFT marketplaces compared. Source: nftartexhibition.net
NFT marketplaces compared. Source: nftartexhibition.net

I went with OpenSea simply because it’s the largest and most established marketplace. It helps that I found it intuitive to use and that it supports Polygon. All I had to do then is connect my wallet (I use MetaMask), and fill out my profile section with a short bio and a profile image. You can also add links to your website and social media accounts. Adding these details seems small, but it allows users to better connect with you and can add more credibility to your work.

So now I was ready to start creating my collection.

Step 2: Creating a collection and minting the NFTs

While you can mint NFTs that aren’t part of a collection, I’d recommend against it. A collection with a particular theme or story is generally more appealing to would-be buyers, and could encourage them to purchase multiple items. Also, if an item in the collection sells for a high price, the perceived value of the rest of the items in the collection increases, and can result in higher earnings.

On OpenSea, I hovered over my profile’s icon, clicked on “My Collections” and then “Create a collection”.

Source:OpenSea
Source:OpenSea

Make sure you fill out this entire section properly, taking time to explain the collection’s story and to add images and links to the collection’s website and social media channels. This will add credibility and a “brand image” to your work. Also on this page, you can select a category for your collection (art, music, photography, etc), choose which blockchain your collection will live on, and decide which tokens you’ll accept for payment. Finally, you can enter a “creator earnings” fee of up to 10%, allowing you to take an automatic cut every time someone resells an item in the collection. This is a great way to generate additional income from your NFTs in the future.

Here’s what my collection looks like. So now it was time to create – or “mint” – my individual NFTs. On OpenSea, I clicked on “Create” (top right corner) and uploaded my file. Again, make sure you fill out this entire section properly, explaining the NFT’s origin, inspiration, meaning, and more. Make sure you add the NFT to the collection you created and you select the right blockchain.

There are a few more options you can tinker with here. You can choose to include unlockable content that’s only accessible to the owner of the item. The supply option allows you to mint several copies of the NFT which, as we’ll see later, has implications on pricing. You can also add properties, levels, and stats to your NFT. For example, each NFT in the popular Bored Ape Yacht Club collection represents an ape with different properties – varying fur types, facial expressions, clothing, accessories, and more.

Bored Ape Yacht Club properties. Source: OpenSea
Bored Ape Yacht Club properties. Source: OpenSea

In my collection, I created a new property type called “Edition” that can take one of two attributes: “uncle” or “niece”.

Step 3: Listing the NFTs for sale

Once I’d minted all my NFTs and added them to my collection, it was time to list them for sale. You can choose to sell items for a fixed price or using a timed auction (though unfortunately you can’t sell items by auction on OpenSea if they’re on the Polygon network). Knowing how much to price your NFTs for isn’t an easy question, but here are some tips I learned along the way.

First, do some research on what other creators selling similar items to you are charging for their NFTs. Second, consider how many copies of an NFT you’ve minted. A single copy makes the NFT rare, similar to fine art (think Mona Lisa), and warrants a higher price. Multiple copies make the NFT more like a collectible (think Pokémon cards) and warrant a lower price. But collectibles also tend to change hands more regularly, allowing you to potentially make more money (creator earnings) from royalties.

Third, if you’re offering your NFT holders additional benefits, you can price your items higher than competitors. The additional benefits come from that unlockable content option we touched on earlier, and could include things like exclusive access to events, early access to your future collections, discounts on your other products, a physical print (if your NFT is an art piece), and so on. Similarly, you could price your NFTs higher than competitors if you have a strong brand with an exclusive or premium vibe.

Fourth, consider dividing your NFTs into differently priced categories in order to appeal to a wider range of potential buyers – from those looking for inexpensive NFTs to those looking for rare items. I did just that in my collection: a single unique mint of the “uncle edition” selling at a high price, and 100 mints of the collectible "niece edition" each selling at a low price.

Fifth, play the long game. Consider pricing your NFTs on the low side initially while you establish yourself and gain some followers. Then as you sell more, start to increase your prices. This might take some time, and you need to be patient and not be discouraged while you figure out what price works for your creations.

Sixth, avoid thinking of the NFT’s ether price in terms of fiat. That’s because the crypto community generally buys NFTs by considering their value in ether and not in fiat. And lastly, if you’re minting and selling NFTs using the Ethereum blockchain, make sure you price your NFTs high enough to cover any potential gas fees.

Step 4: Marketing the collection

The above steps might seem involved, but the truth is that marketing your NFTs is probably the hardest yet most important step of the journey. There’s no point creating amazing NFTs and pricing them to perfection if no one ever hears about them.

Advertise your collection on social media (use hashtags!), forums (Reddit), and relevant Discord channels. Make sure you’re reaching the right audiences. Consider also creating your own Discord channel for your collection’s community, which every good NFT project should have. The projects that are most successful tend to be the ones with the most engagement, after all. Try to collaborate with other creators too.

Consider organizing a giveaway of some of your NFTs to raise awareness, gain followers, and drive future sales. And when someone buys one of your NFTs, be sure to share it on social media – well-deserved showboating that can, on top of advertising, also help solidify the perceived value of your NFTs.

Lastly, don’t forget that marketing doesn’t have to start after you’ve created your collection – you should start creating some buzz around your upcoming NFT drops ahead of time. You can even list the upcoming drop on NFTCalendar.

There are many resources online on how to market your NFTs – do some research and experiment with different methods to find the ones that works best for you. As for me, I’m off to tell everyone on the Finimize team’s Slack channel about my niece’s painting, and see if I can fund her art college ambitions before she even graduates middle school…

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