NFT Marketplace

NFT marketplaces are online platforms where NFTs can be stored, displayed, bought, sold, and in some cases, minted. Marketplaces vary in the types of NFTs they support, fees charged, services offered, terms of use, level of security provided, and other factors. To fully utilize any particular marketplace, users first need to set up an account with that marketplace. They also need a cryptocurrency wallet that is compatible with the blockchain network on which the NFT is minted. For example, buyers and sellers of NFTs that reside on Ethereum, such as ERC-721 tokens, need a compatible Ethereum wallet, like MetaMask or MyEtherWallet. For Solana-native NFTs, users need a wallet such as Sollet. The wallet should be pre-funded, as even listing and minting NFTs on a marketplace often incurs a network and/or marketplace fee to be paid in cryptocurrencies. The NFT’s actual sale price is usually set in a cryptocurrency denomination, although some marketplaces will also accept fiat currency. For NFT transactions, sellers select the NFT to sell from their wallet, list it for sale on the designated site within the marketplace, and either set the NFT’s price or sell the NFT through auction. Sellers can also usually set the duration of time that the NFT will be available for sale or auction. If the seller has not yet created an NFT and only has the NFT Media at this point, many marketplaces offer minting services for a fee. In this case, the creator/seller uploads the NFT Media onto the marketplace and follows certain prompts to create the NFT. Once the minting is done, the marketplace deducts the fees and transfers the NFT to the creator/seller’s wallet. To purchase the NFT, a buyer can search the NFTs listed for sale on that marketplace to find the one they want. Then, provided that they have a compatible wallet and sufficient funds, the buyer can follow the marketplace’s prompts to participate in the NFT’s sale. If the sale is accepted, the marketplace initiates the transaction by debiting the sale price and the transaction fees from the buyer’s cryptocurrency wallet and transferring the NFT to the buyer’s wallet.