In today’s Crypto Hyping market, millions of people are trying to join trends and monetize blockchain solutions in many ways. From Crypto Banks to the trading platform, Blockchain changes the way of trading digital assets and asset values.
Today, Blockchain is used to build defi products that close the gap of traditional financial access for populations that do not have good banking knowledge; Create, trade, and save Crypto assets; and build new digital assets with different values.
One of these innovative assets is non-fungible (NFTS) tokens. They operate on the Ethereum platform, one of the top modern blockchain platforms, and follow strict blockchain security standards. Thus, the creation of NFT or building the NFT market is a reasonable approach to entering the market if you are skeptical about cryptocurrency or not able to pass all the complexity of ICO.
In this article, SynergyWorks has shed some light on the entire NFT market development from the start. We also guide you through important features, and technology processes to launch your own NFT market.
Opportunity For Business
According to Statista, the Global NFT market revenue witnessed an almost ten times increase between 2018 to 2020 and will grow further in the coming years. Global market revenues increased from 40.96 million US dollars in 2018 to 338.04 million US dollars in 2020.
Because NFT is on Blockchains and uses digital technology, they become an easy entry point for Crypto beginners. When someone buys a piece of crypto art, they tend to try other decentralized financial instruments as well, like:
- Crypto Trading
What is the NFT Marketplace?
NFTs are non-fungible and intangible assets, but they still have certain monetary values for their owners. Otherwise, there will be no commercial interest in the NFT popularization. So, where can you buy or sell NFTs? Where should you display your NFTs so they are bought and sold by users?
Unfortunately, NFTS is not available to trade in ordinary Crypto exchanges because they represent different assets. The NFT market is a decentralized platform where NFT owners can store and trade their items for Cryptocurrency.
NFT markets have several platforms that offer exclusive tokens, while other platforms welcome everyone who is willing to join the NFT and offer NFT for sale. Here are some different NFT Market platforms that need to be remembered.
Universal NFT market
Universal platforms such as Opensea, Rarible, etc. offer all types of NFTs for sale starting from domain names to digital art or music collection. They are open and democratic for new users, which allow anyone to produce Ethereum based assets and start selling them.
Special NFT platform
Special or niche NFT platforms attract investors looking for certain NFTs. For example, The sand market only includes NFT assets used in sandboxes, while foundations are the main market that displays an auction of artwork for invited artists.
Unlike the NFT market, the NFT gallery does not allow the selling or buying of this token. This is the equivalent of a traditional gallery where the owner shows off their NFT and arranges thematic exhibitions and performances. This was done to increase the knowledge and popularity of NFT Marketplace among people.
The gold standard for the creation of NFT is the Blockchain Ethereum. Opensea functions on Ethereum. Polygons, Rarible, Foundations, and SuperRare are the marketplaces that run on Ethereum. New developments include atomic hubs (wax-based NFT market), NFT showrooms built-in Hive, VIV3 built on the flow, and BakerySwap on BSC.
Working of NFT Marketplace
Before diving into how the NFT market is made, it is important to understand how the NFT market works from the client-side. Usually, all NFT platforms share similar workflows. Firstly, the users have to get themselves registered on the platform. After registering, they should install a digital wallet where they can store NFTs.
Users can then make their mementos by uploading items that will showcase their work. Users can also choose the kinds of payment tokens they want to receive for their art and can also set costs suggested by the platform.
The next step in the working process is to register the item auctioned for sale. Users can choose bids for fixed prices or auctions. Transactions are made by registering items for sale to launch a smart private trade contract for user wallets.
The platform may require a collection moderation and NFT will appear on the list after approval.
How to initiate NFT Marketplace Development?
Nft Marketplace are basically blockchain based platforms. As you have a deep knowledge and understanding of the working of the NFT marketplace, it is important for you to know the essential features that must be included for the development of the NFT marketplace.
Now you have to decide the list of features and technology stack that you want for your NFT market.
Before knowing the essential features, check out the main reason why many people are interested in NFT tokens and markets. Blockchain technology allows perpetuating rights and makes digital assets simpler to work with. You can also freely trade NFT. More importantly, Blockchain gives customers the belief that they will accept what they want. Other important features include:
NFT Marketplace must have a storefront that offers users all the information needed for items: bids, owners, previews or price history.
By using filters, it becomes easier to navigate sites, especially if you plan to build a marketplace for a large number of collectibles. By adding filter features, users can choose items by payment methods, list status, categories, and collections.
Search for items
The NFT Marketplace platform must support linking, tagging, and managing categories to allow users to find NFTs. This can be achieved with the help of a search bar on the site.
Make a list
A user must be able to create and acknowledge non-fungible tokens or collectibles. Using this feature, users must upload files and fill in tokens information such as names, tags, descriptions.
Buy and Offer
The NFT Marketplace platform should have a feature that allows users to buy and bid on NFTs listed on the platform. The Offer/Bid feature must include the expiration date of the bid and allows users to see details about the current bid status.
The NFT Marketplace platform must have a wallet that allows users to store, send and receive unworthy tokens. The simplest way to amalgamate this feature is to provide users with a connected wallet. For example, you can integrate the most popular wallets such as Coinbase, Formatic, or MyEtherWallet.
After you identify the most important characteristics to be included in your NFT Marketplace, the next step is to consider the project’s technical implementations. To build an NFT market, you must first decide the pile of technology needed to develop it.
Let’s look at some of the technological components needed to build the NFT market platform.
Required Technology Stack for developing the NFT Marketplace Platform
Ethereum is one of the most popular platforms when it comes to the NFT market or the development of a non-fungible tokens marketplace. Because the history of transactions and metadata tokens can openly be verified in Ethereum, it is easier to prove the history of ownership.
As all Ethereum products share public back ends, NFTS becomes portable throughout the product. Also, Ethereum never goes down.
The flow is a fast and decentralized blockchain designed for a new generation of digital assets, applications, and games. This platform is widely used to make the NFT and NFT market using the rhythm programming language.
Tezos is an open-source blockchain platform for applications and assets supported by the builder community, researchers, and validators. Using the previously compiled NFT FA2 contract written in Ligo Smart contract language, Tezos supports the development of the NFT and NFT market.
Cardano is a blockchain platform with the technology and tools needed to provide unmatched security and sustainability for systems and decentralization applications. It also supports the NFT and other digital assets development.
IPFS is a hypermedia peer-to-peer protocol designed to store media content in a decentralized manner. Because media files related to NFTs cannot be stored directly on Blockchain, the IPF can store all the data.
FileCoin is a decentralized storage network specifically designed to store the most important information, such as media files. This storage platform covers everything that developers will need to start with decentralized storage for NFTS.
Pinata is also one of the popular platforms to upload and manage files on the IPF. It provides safe files and can be verified for NFTS.
We Are Here For You!
If you have decided to prepare your NFT marketplace, The Synergy Works team will be happy to bring you closer to the implementation of this project. With adequate experience in developing blockchain services, we have in-depth expertise and a universal pile of technology to offer. Our custom development team will adjust the NFT technology pile with your demands and existing IT infrastructure, ensuring the construction of back-end and front-end, strict QA testing, and a timely market launch.
Talk to our experts today to see how easy it is to get the NFT market that works well to monetize your Blockchain service and ideas.