NFT exchanges help to create, buy and sell non-fungible tokens based on different digital objects, e.g. pictures, videos, audio recordings. That is, they provide the basic tools without which it is impossible to dive into this area. digiitallife.com editors reviewed the main features and types of NFT exchanges in order to select the best and most functional ones.
What are NFT-exchanges and what they are
Marketplaces for creating and trading NFT can be divided into three main types:
- Universal decentralized marketplaces. An example is OpenSea. Usually works on a single blockchain or on related ones (OpenSea allows trading on Ethereum and Polygon). Requires connection via web3-wallet. Each transaction, including sending an NFT to sell, is accompanied by a network fee.
- Marketplaces of Collections. Example – Cryptopunks. Also works in a decentralized way, each user connects via web3-wallet. But it is impossible to create your own NFTs, you can buy only those that have already been minted by the creators originally.
- Centralized markets. This includes Binance NFT. You do not need a separate wallet, the balance of the exchange serves to pay for the purchase or receipt of funds. Purchased NFTs are also stored centrally, but can be sent to standalone wallets.
- The main functional that the site should have: coining new NFTs (done “under the hood”, that is, the client does not need to know the programming, just upload the object and set a few parameters), the sale/buying at a fixed price or through the auction, adding collections or objects in the favorites, etc.
How to choose a market for NFT
The main parameter for choosing can be considered whether the platform has the tokens you want. If you are interested in NFTs related to a particular project, check that they are traded on the platform, or use the project’s own marketplace.
If your goal is to buy promising works of art, look for curators who determine the potential value of art objects.
In addition, the choice of exchange depends on your preferred blockchain. On the Ethereum blockchain, any transaction involves a tangible commission. Therefore, it makes sense to look at marketplaces operating on other networks.
And of course, study the reviews and reputation of each project you are going to work with.
The best exchangers NFT
In this list are marketplaces that allow you to create your own tokens, not just buy pre-minted collections.
OpenSea
- Monthly trading volume: $4,130,000,000
- Blockchains: Ethereum, Polygon
- https://opensea.io/
The absolute leader in popularity among the non-exchangeable token markets. The platform provides all the necessary functionality for managing your collections, allows you to mint your own tokens. Provides a wide range of popular and new collections, there is a curatorial system and statistics section, where you can see which collection is in greatest demand.
Binance NFT
- Monthly trading volume: not declared
- Blockchains: Ethereum, BSC
Binance NFT, due to the popularity of the exchange itself, became a very popular platform among celebrities (both Russian and foreign). Here often place their collections of famous artists. Payment can be made in different ways – in ETH, BNB, BUSD. The author sets a fixed price or start an auction.
Rarible
- Monthly trading volume: $ 5,220,000
- Blockchains: Ethereum, Flow, Tezos
- https://rarible.com/
Many celebrities and large projects have already chosen this multichain platform. Features include multiple NFT issuance, messenger, time-based auctions, royalties, a personalized activity feed and more. The selection of assets on the platform is very broad: collectibles, music, domain names, and items for meta universes. The protocol is managed by the DAO.
Bybit NFT
- Monthly trading volume: not announced
- Blockchains: Ethereum
- https://www.bybit.com/
Bybit’s NFT marketplace allows early access to exclusive collections as well as special projects supported by the exchange. Buying is done with ETH, USDT or BIT, with no additional fees. In addition, there is an opportunity to buy at a fixed price mistery boxes that contain random NFTs of varying degrees of rarity. No auctions yet at the time of writing, expected in March 2022.
LooksRare
- Monthly bidding volume: $11,600,000,000
- Blockchains: Ethereum
- https://looksrare.org/
A relatively new but rapidly gaining popularity NFT marketplace with rewards for activity. Has its own token, LOOKS, which can be used for staking with yields of up to 225% per annum. It is stated that 100% of the platform’s trading fees are sent to LOOKS steakers. Another plus is that NFT creators receive royalties already at the time of sale.
OKX NFT
- Monthly trading volume: not announced
- Blockchains: Ethereum, OKExChain
- https://www.okx.com/
You can connect to the marketplace on the OKX exchange with a decentralized wallet from the creators of the exchange or Metamask. Since it is a decentralized application, NFT minting will be accompanied by a commission fee. There is a search bar to find tokens of interest, as well as all sorts of filters.
SuperRare.
- Monthly trading volume: $7,870,000
- Blockchains: Ethereum
- https://superrare.com/
SuperRare is focused specifically on digital art, works of famous and talented artists. Launched its own RARE token for decentralized community management. SuperRare DAO membership allows you to curate the platform, control market parameters, and vote in this ambitious art project.
Foundation.
- Monthly trading volume: $6,590,000
- Blockchains: Ethereum
- https://foundation.app/
Foundation is a community-driven project that connects content creators and buyers. Authors receive 85% of the sale price and 10% of each resale of the asset on the secondary market. The main method of trading is through 24-hour auctions with an option to renew. Purchased NFTs can be added to your virtual gallery or shared on social media.
Nifty Gateway
- Monthly trading volume: not announced
- Blockchains: Ethereum
- https://niftygateway.com/
A curated platform from the Gemini cryptocurrency exchange. Actively cooperates with famous creative teams, but also accepts NFT from any participants. It should be understood that the platform is custodial. That is, all NFTs are not stored by you, but on the servers of the platform. They are accessed through an account.
Mintable
- Monthly trading volume: $1,260,000
- Blockchains: Ethereum
- https://www.mintable.app/
An NFT exchange backed by billionaire Mark Cuban. It is an open market, similar to OpenSea, with a similar operating principle. After a transaction, a MINT token is distributed to a buyer and a seller’s wallets, which can be later used for decentralized management of the project.
Sorare
- Monthly trading volume: not announced
- Blockchains: Ethereum
- https://sorare.com/
Sorare is a platform for collecting digital soccer cards. Among the investors, the project is supported by the global gaming company Ubisoft and more than 130 soccer clubs. The owner of cards can create his own teams from them to take part in virtual tournaments with money prizes.
Valuables
- Monthly trading volume: not announced
- Blockchains: Ethereum
- https://v.cent.co/
The marketplace is focused on tokenization and selling tweets. This is where Twitter creator Jack Dorsey sold his first tweet for $2.5 million in March 2021. A user can offer any tweet for sale, but the author must accept or reject the offer. If he accepts, the NFT is minted on the blockchain with his signature.
Other NFT exchanges
- MakersPlace
- Solsea
- Solanart
- NFT Showroom
- KnownOrigin
- AirNFTs
- Immutable
- Xtingles
- Larva Lab
- NFTrade
- BloctoBay
Features of investing in NFT
Choosing the right exchange to trade NFT is the first step to diving into this promising field. There are quite a few options, there are dozens of other markets in addition to those listed. See other exchanges at https://nonfungible.com/market/history, https://dappradar.com/nft/marketplaces. Choose the one that fits your needs in terms of buying and storing, taking into account suitable standards, payment methods, supported wallets to connect.
Also keep in mind that this is a relatively new and highly speculative industry. Sure, some NFTs may skyrocket in value, but no one can guarantee that. Essentially the increase or decrease in value is subject to the same laws as in the traditional world, with physical items. The value of a token may depend on the reputation of the artist, the uniqueness of the idea, etc.
FAQ
What is an NFT marketplace?
A decentralized or centralized platform for creating, buying and selling non-exchangeable tokens (NFT). Provides functionality for minting tokens based on digital objects that will provide ownership on the blockchain.
What types of marketplaces come in?
They can be decentralized or centralized, as well as universal or created for a specific collection.
How to create your own NFT?
The process is very simple, just upload the desired file (it can be a picture, video, audio), configure the parameters of the future token and confirm the transaction by paying a network fee.
What cryptocurrencies can I sell or buy tokens for?
It depends on the platform and blockchain. The most popular option is trading using ETH.
What are some popular NFT exchanges?
OpenSea, Rarible, marketplaces from Binance, Bybit.
What do I need to start trading?
If we are talking about centralized exchanges, you need to create an account and possibly verify it. If we are talking about decentralized – web3 wallet, which allows you to connect to decentralized applications to exchange transactions with smart contracts.
Conclusion
Choosing the right exchange for NFT trading has a bearing on whether or not you will be able to quickly buy/sell the digital art or game object of interest. It also affects the benefit, i.e. the amount of commissions you will have to pay. While most markets use Ethereum, some choose newer blockchains with low fees and no carbon footprint. This article compiles examples of the best NFT marketplaces where you can create and sell NFTs, as well as buy them if you are a collector or investor.