How do I create an NFT marketplace platform?
How to Create an NFT Marketplace;A guide based on hands-on experience
NFT Marketplaces: Quick Summary
An NFT marketplace is a blockchain-based online platform to sell and buy non-fungible tokens (NFTs). The popularity of NFT marketplaces consistently grows fueled by skyrocketed prices for NFTs – the most expensive NFT as of the start of 2022 is “Merge” by Pak that has been sold for $91,8 million.
Steps to launch an NFT marketplace: Setting up a blockchain network, integrating chosen digital wallets, creating smart contracts, building a customer-facing web app.
Popular assets sold as NFTs: Images, music, videos, artwork, tickets, gaming staff.
Go-to blockchain platforms for an NFT marketplace: Ethereum, Binance Smart Chain, Polygon, Cardano.
Cost of NFT marketplace launch: $150,000 on average.
Timeframes for NFT marketplace launch: 4-6 months.
NFT Specifics and Viable Use Cases
An NFT represents a certificate of authenticity or ownership of digital assets, like images, music, videos, artwork, tickets. Though often compared to cryptocurrencies that also run on the blockchain technology, NFTs are unique and can’t be traded as equivalents – the way cryptocurrencies are traded.
NFTs are stored on a public blockchain and contain the information about:
Who and when created an asset.
Who and when bought the asset.
At what price the asset was bought.
Who owns the asset at the moment.
At ScienceSoft, we recommend our customers to leverage NFT value in the following markets:
Arts and collectibles
An NFT creator and then a buyer own a piece of art though can’t prevent the distribution of copies.
Key points to promote NFTs in art can be:
A sense of ownership is vital for true art collectors.
Digital artists can claim the ownership of their art and connect with buyers directly, eliminating third-party services (like Spotify).
The ticket information stored on the blockchain confirms the authenticity of a ticket and the identity of an owner.
Key points to promote NFTs in ticketing can be:
NFTs help combat speculative ticketing and ticket resales at inflated prices.
Gaming and metaverse
NFT marketplaces offer gamers in-game staff like weapons, characters, skins, etc.
Key points to promote NFTs in gaming can be:
NFTs are one-of-the-kind, thus give a competitive gaming advantage.
Gamers can independently trade NFTs they don’t use anymore.
Key Steps of NFT Marketplace Development
If we summarize the experience ScienceSoft has had with blockchain-based marketplaces, we can describe the process of NFT marketplace launch in a number of key steps.
1. Defining a niche for an NFT marketplace. Among the most popular ones are artworks, video gaming content (e.g., online characters), music, sports memorabilia.
2. Choosing an optimal blockchain framework and launching the blockchain network.
NB! Though Ethereum is the most popular choice for NFT marketplaces, its transaction fees can be too high for a smaller company so don’t rule out alternatives.
3. Creating smart contracts that will be used to mint NFTs and trigger purchase transactions automatically if all the conditions of the sale are met.
4. Launching a web-based marketplace where users can act according to their chosen role: sellers upload their digital assets and buyers acquire associated tokens.
5. Setting up cryptocurrency payment gateways to enable marketplace users to buy, sell and transfer NFTs.
Why to Create a Multi-Chain NFT Marketplace
When launching an NFT marketplace, you don’t necessarily operate on a single blockchain. Actually, if you do, your marketplace will face the same limitations as the chosen blockchain network (for example, high transaction fees in case of Ethereum). Instead, we at ScienceSoft advocate for multi-chain NFT marketplaces integrated with several blockchain networks and also with various digital wallets. The resulting interoperability increases marketplace sustainability, optimizes blockchain energy consumption, and expands customer reach for your marketplace.