How To Sell An NFT

How To sell an NFT. The non-fungible token is arguably the mainstream of the digital world today. A lot of investors, art enthusiasts, and individuals are paying handsome amounts of money to get excellent and authentic artwork. But then many people are still on the lookout to sell an NFT.

In my previous article, I explained what NFT is all about. For educational purposes, I will define NFT down to a layman’s understanding.

NFT stands for Non-fungible Token. It is a unique representation of a digital asset, embedded with a smart contract, and is recorded on a blockchain. An NFT typically represents digital files such as images, videos, or audio and it can be created by anybody because it requires less coding skills.

The Non-fungible nature of an NFT is what makes it unique as also the blockchain attached to it. This means it cannot be replaced. Cryptocurrencies are fungible, they can be easily traded or replaced.

How To sell an NFT

How To Sell a Non-fungible Token (NFT)

To make and sell an NFT whether on a marketplace or Direct-to-customer (D2C) is very simple and easy, first, you will need to mint a digital asset as an NFT. It could be artwork, video, music, or even video games. This minting is the process of converting a digital asset to a crypto collectible. This is where it is recorded on a blockchain so that it can be sold, bought, and traded. Let’s get started with the complete steps to a successful NFT sale.

Here are a few steps on how you can sell your NFT

  1. Choose a platform
  2. Link a supported crypto wallet
  3. Set a price for your NFT
  4. Create a listing
  5. Accept an offer

Step-by-step guide on how to sell an NFT

1. Choose a Platform

This is the stepping stone for selling an NFT. There are many online NFT marketplaces available such as OpenSea, Rarible, Binance NFT Marketplace, etc. Each marketplace is built on a particular blockchain and so has the type of NFT that can be traded in it.

They also have different trading fees although some have few similarities for example Raible and OpenSea share a similarity in blockchain type (Ethereum), with trading fees at 2.5% on every sale made on the platform. The little difference is that Rarible takes a 2.5% fee from both the seller and the buyer.

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2. Link a supported crypto wallet

To list your NFT for sale on a marketplace, you need to link your crypto wallet. This is another important aspect of listing an NFT. Here you receive payments from buyers on primary sales, receive royalties on secondary sales, etc. The most popular and widely used crypto wallets for NFT sales are MetaMask, Coinbase Wallet, Trust Wallet, etc. 

Let’s give a quick summary of each:

MetaMask: this is the most popular and widely used crypto wallet. It is a decentralized Etheurum-based wallet that allows users to buy, sell, and store NFT and crypto tokens. This crypto wallet has a mobile version and a browser extension.

Coinbase Wallet: this is a decentralized self-custody crypto wallet that gives you complete control of your collectibles. It allows users to send and receive NFTs with usernames instead of public blockchain addresses.

Trust Wallet: this is the official crypto wallet of Binance. It is one of the most secure and fast crypto wallets for sending, receiving, and storing crypto assets. It can be used to play blockchain games, collect NFTs, and access the latest DApps and Defi platforms.

3. Set a price for your NFT

There are certain factors that influence the price and NFT and how buyers value them. Such factors when implemented well have a great impact on increasing the price and the value of the NFT. This factor includes :

Rarity: Rarity determines how rare and valuable an NFT is in a collection. It can be used to check the value of a specific NFT in a collection. When an NFT has unique traits, it increases the price of the asset. So bear it in mind when creating an NFT because when each of your NFTs has a good rarity score, you can sell off your NFTs faster.

Traits (for every combination of ‘traits’ you need to consider how these will be able to layer on top of each other if you are creating generative art: which renders different combinations of traits to produce unique combinations of each NFT in the collection) traits should be unique & not duplicates or lack creativity. 

For what it’s worth, this is a HUGE factor in a successful generative collection, as you could easily create errors in the collection if this isn’t looked over properly.

Traits also have to be embedded in the details of each NFTs metadata JSON file.

Utility: these are incentives NFT creators offer to users for owning their NFTs such as rolling membership benefits, access to premium, gated content, access to gaming experience or Metaverse, etc.

For example, Terraspace offers stake pools for external NFTs, analytic dashboards, referral commissions, airdrops to holders, etc. Keeping some of these utilities in place entices people to buy your work and even refer to others.

Creator rapport: if you’re a new seller with no or low sales history, it is advisable to start with an average price and move your way up. Creators or resellers who have already built a reputation in the NFT community can impose a high price on an NFT and people will still buy.

4. create a listing

Now you know how to set the price to your NFT, it is time to create a listing. For this guide, we will teach you how to list your collectible with OpenSea. 

Log into your OpenSea account, on the homepage click the account page in the top right corner. Select Create, and enter the title and description for your NFT.

how to sell an nft
How To sell an NFT

Write a title that will be appealing to the audience and also related to your project.

In your description, talk about the purpose of your project and the theme behind it. Make it precise and informative. Talk about the rarity tier and utility of your NFT.

how to sell an nft
How To sell an NFT

Choose the type of listing you want to create. OpenSea has two listing options: On sale and Auction.

On sale: this is the option where you enter a fixed price for NFT and add a time frame you want your listing to be active. This can also be called a public sale.

Auction: in an auction listing, you have to set a reserve price or minimum price for your NFT, then the auction starts, and the highest bidder purchases the digital asset. It also lasts for a period of time.

5. Accept an Offer

After successfully listing your asset, stay in the loop for offers from potential buyers. OpenSea will always notify you when a bid is placed on your NFT. You don’t need to worry about this option when using the on-sale option. Once an interested buyer purchases your asset, you will get a notification of money credited to your wallet.

On auction, you will get several notifications of different bids placed on your listing. Once the time for bidding expires, the highest bidder gets to purchase your NFT.

How To sell an NFT

1. How much does it cost to list on OpenSea?

OpenSea charges a 2.5% fee on every single sale on its platform. This fee is taken from the overall listed price. For example, if you sell your NFT for $500, OpenSea takes $12.5 and credits your wallet with $487.5

2. Is listing in OpenSea free?

Creating an account and browsing the OpenSea platform is absolutely free but when you want to list your very first item on Ethereum, OpenSea demands a couple of one-time fees.

3. Does it cost gas to list on OpenSea?

Generally, listing items on OpenSea is free. However, on your first listing, you are required to pay a gas fee to approve the collection.

Wrapping up

How To sell an NFT

To make and sell an NFT whether on a marketplace or Direct-to-customer (D2C) is very simple and easy, first, you will need to mint a digital asset as an NFT.

Here are a few steps on how you can sell your NFT:

  1. Choose a platform
  2. Link a supported crypto wallet
  3. Set a price for your NFT
  4. Create a listing
  5. Accept an offer

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