Non-Fungible Tokens, commonly known as NFTs, are basically digital assets featuring unique characteristics. Having said that, they are quite different from cryptocurrencies like Bitcoin and Ethereum as those tokens are fungible. What it means is that in terms of value and properties, every BTC token is equal to all other BTC tokens present on the chain. That’s why conventional cryptocurrencies are transferable and interchangeable.
In simple words, if there is a unique digital asset that is linked to a blockchain, it can be called a non-fungible token. NFTs can include a wide range of digital assets such as art, collectibles, domain names, unique memes, music, and more.
For example, Tweets can be classified as text NFTs. Jack Dorsey, the founder of Twitter, sold his first ever Tweet for a whopping $2.9 million. Similarly, digital artworks can also be considered as an NFT. A digital art called Everydays – The first 5000 days was sold for $69 million! It is basically a collage of artworks created by a digital artist, Beeple.
In contrast, non-fungible tokens (NFTs) are distinct and cannot be divided into smaller units. They represent an absolutely unique piece of information that is verifiable and transparent in the blockchain. That’s the reason why they are often delivered as individual licenses or mathematical verification certificates.
Why Should You Create Your Own NFT Marketplace?
There are many advantages of having your own NFT marketplace. Some of the major benefits include the following:
- NFTs can be easily purchased and sold across different marketplaces subject to the uniqueness and value of the token.
- Easy and quick transfer when you are exchanging non-fungible tokens.
- The authenticity of each NFT is upheld as the underlying blockchain technology ensures there are no counterfeits.
- Each NFT token comes with ownership rights which means no changes can be made to the decentralized platforms.
You can buy a wide range of NFTs that are available through a number of marketplaces. Some of the most popular NFT marketplaces include Opensea, SuperRare, Decentraland, and Ghost Market. You have to keep in mind that not every NFT marketplace can manage the same type of NFTs because of the difference in token standards. For instance, the standard used by the Ethereum blockchain is ERC-721.
Creating Your Own NFT Marketplace
To create your own NFT marketplace, you will require a team of professional developers as they have the ability and experience to build it from scratch. Although hiring a development team is a more expensive option, it comes with a wide variety of benefits. The best advantage you get is that you will not be restricted by the SDK capabilities and you can deploy a diverse range of features.
This will result in a more robust and functional NFT marketplace that can attract users as well as customers. Remember that you aren’t just developing an NFT marketplace but a sophisticated solution that stands out when compared to the competing marketplaces. The development process will include the following steps.
Step One – Determine Your Niche
To create a successful NFT marketplace, it is recommended that you go for a vertical market instead of a horizontal one. The difference between the two is that horizontal marketplaces appeal to a broader audience. They basically attempt to sell to everyone.
On the other hand, vertical market products or services are targeted at a niche group with a specific set of needs. In simpler words, instead of attempting to sell to everyone, find your niche and make it your target audience.
Step Two – Specify User Roles
To ensure that your NFT marketplace functions in an organized and streamlined manner, you will need to specify user roles. Generally, NFT marketplaces feature three user roles including administrators, artists, and buyers. The names are quite self-explanatory and define the role of each stakeholder.
Step Three – Document Your NFT Marketplace Project
Before you can start marketplace development, it is essential to create project documentation. Although it may appear to be a repetitive and dull job, detailed documentation puts you in a better position to save both money and time in the long run.
The documentation is particularly important when you are hiring a remote team of developers. If you have a full-time in-house team, then they can take care of this step.
Step Four – Development Phase
This is the phase where your conceptualization will turn into a viable product. By selecting the most adequate framework for the NFT marketplace, your dedicated software development team will deploy all the essential features on the client-side. The key performance indicators that you need to consider include snappy performance, reliability, and seamless operation.
Having an experienced and well-organized team of developers will ensure that your NFT marketplace delivers an exceptional user experience.
Step Five – Deploy Smart Contracts Token Generator
The logic of your NFT marketplace depends on what you do on the back-end. When you are creating an NFT marketplace, this is the phase where things will be quite different as compared to your average custom design phase. You have to bear in mind that the web app will be a decentralized platform so the majority of the data will be validated on the blockchain.
For instance, if you are using Ethereum, it enables the network to run some scripts to ensure the decentralization of your app. That’s how a substantial part of executing that logic is transferred to the decentralized part.
Step Six – Test and Launch Your NFT Marketplace
It is crucial that you test your NFT marketplace comprehensive before even thinking about deployment. Remember that the first impression of the users is vital to your success and if their experience isn’t exactly seamless, they are not likely to return. Identify and fix the errors and bugs before you launch the product.
Moreover, testing your web app and related software allows you to check whether they are performing as expected and if everything aligns with the specified project requirements. This will enable you to deliver a secure, reliable, and highly performant experience to your users.
Create Your Own Storefront on an Existing NFT Platform
As mentioned earlier, there are many popular NFT platforms including OpenSea, Rariables, and Niftygateway that allow you to build your own storefront. Here’s how the process looks like.
- You’ll register on your preferred NFT platform and choose a digital wallet.
- Upload a digital asset which can be anything from a piece of written content to music. An NFT will be created.
- Your digital asset is then listed for sale and you can either allow buyers to bid on your item or specify a fixed price.
- All digital items are moderated and newly approved NFTs are added to the list for sales.
- You can start accepting bids and when the auction is over, you will be notified about the top bids.
- The NFT platform will manage the transfer of funds and digital assets.
When you are creating a marketplace, you will also need to select some basic functionalities such as filters, listings, auction, digital wallet integration, advanced search, ratings, and more. Once again, it is recommended that you get professional assistance from a team of developers as they can use SDKs to build a more robust and versatile NFT marketplace for you.
Creating your own NFT marketplace has a multitude of benefits but to develop a reliable, stable, and secure platform, you are going to need professional assistance. It is recommended that you consult with different development agencies who have prior experience in creating custom NFT marketplaces. This will put you in a better position to identify the team of developers that fully understands your requirements and possesses the expertise and experience to deliver a reliable product.