To be honest, not many people had expected NFTs to actually be worth anything, and saw its rise as a mere trend. However, with the NFT market valuation reaching $40 billion in 2021, NFTs are proving their worth,and flipping skeptic notions. With the growing popularity of NFTs, NFT marketplaces are also on the rise. Let’s take a look at how they work and why they are relevant.
How NFT marketplaces work
We now live in a time period in which rare NFTs are getting sold off for millions of dollars. As such a situation persists, digital artists are striving to put their best work forward and draw hype to it. This is where NFT marketplaces come in. In an NFT marketplace, an artist can list their NFT and make sure that it is easy to access for trading.
This is an ambitious concept that has actually been garnering good results; based on a study by CryptoSlam, NFT marketplaces have helped in generating over $1 billion in sales. What’s more, research shows that there was 220% growth for the NFT markets in 2020, which is quite impressive.
How NFT marketplaces benefit artists
Simply put, NFT marketplaces are successfully providing an ideal avenue for content creators and artists to receive the remuneration they deserve for their work.
Earlier, artists had no choice but to rely on auctions and galleries to showcase and sell their work. What’s more, the profit they could earn from such sales were minimal due to the involvement of middlemen. But now, NFT marketplaces facilitate more direct communication between artists and their customers, which results in better profits and returns. Another plus point is that NFTs enable an original artist to get royalties in the form of specific sales percentages when their artwork is resold. And also, customers who are keen on making purchases can simply head over to an NFT marketplace and make purchases with ease.
All in all, an NFT marketplace brings convenience and efficiency in these aspects. It bridges the gaps between buyers and sellers, and sometimes even provides opportunities to create new NFTs.
Popular NFT marketplaces
There are countless NFT marketplaces in existence and, unfortunately, not all of them are completely reliable. However, there are a few NFT marketplaces that, with time and performance, have proven to be worthwhile for buying and selling NFTs on. Let’s take a look at the most popular ones below.
This is a highly trusted platform that works based on a partnership with popular brands, athletes, creators, artists, and so on. It is also exclusive, and only selected sellers can sell their NFTs on the platform.
This platform is considered to be the best NFT marketplace according to experts. Customers can purchase a range of NFTs including collectibles, trading cards, virtual worlds, and much more on the platform.
This is a user friendly and quite simple to use platform. It is not as exclusive in accepting new artists like similar ones either. Therefore, newbies in the NFT space try their luck on this platform first.
Moving beyond art-based NFTs into the business space
It has been clearly established that art-based NFTs, and their sales on NFT marketplaces, are highly relevant. However, the benefits of NFTs do not stop there. For instance, Authlink is challenging traditional notions of NFTs by enabling business applications that promote transparency, efficiency, authenticity and customer engagement in organizations.
This is clearly a step in the right direction, and further confirms the bright future and potential of NFTs.