The phenomenon of NFT is fairly recent in the crypto space. As the name Non-fungible Token states, allows the exchange of intangible goods.
On specialized NFT marketplaces, artists create their artwork in the form of tokens to sell them on the marketplace.
E.g., Mike Winkelmann sold his NFT for $69 million and Twitter creator Jack Dorsey sold his first tweet for $2.9 million.
More businessmen are stepping into NFT marketplace development, this is mainly because of increasing demand for selling and buying NFT assets.
If you are interested, check our post it will be more informative, and you can gain knowledge about the keys to developing the NFT marketplace
Here, let me share a few interesting features of NFTs, steps, and technologies to develop the NFT marketplace.
How Can You Get Rich From A Crypto NFT Marketplace?
An NFT marketplace is a strong online platform, where users can buy and sell NFTs. Simply, it is an online shop that allows you to earn ownership of your digital assets like technology, cosmetics, apparel, music, artwork, etc.
NFT marketplace is the same as an online shopping website where both platform owner and seller think to generate income. Moreover, the platform owner makes money in the form of transaction fees or royalties.
Some of the successful NFT marketplaces are Nifty, Mintable, Rarible, OpenSea, etc.
Each sale is subjected to a service charge. Furthermore, few marketplace charge fees for printable tokens. But, you should be conscious of choosing the right NFT marketplace development company to help you in launching.
Seven NFT Software Essential Features
The creation of an NFT marketplace is like creating software. Hence following features must be incorporated for a comfortable user experience.
Storefront is a prominent feature of the NFT marketplace. To be precise, storefront is nothing but a collection page that showcases all the NFT items which are built under various categories.
Navigation on a site is made simple with the use of a filter option. This filter option is especially used in place to filter specific items from several categories of items.
Users can select their intended item using various options like category, listing status, payment method, etc by applying the filter function.
Several NFT marketplaces give a variety of assets in one place. Some are generic like OpenSea and Rarible. Some of the NFT marketplaces are more specific and focus only on J-culture, anime, and K-pop. The user experience is improved by categorizing the catalog to make it simpler to predict products.
The seller of the platform lists their items to showcase their work to all buyers in the marketplace. The seller may list their items in the form of a fixed price or bid for the auction. The listed items include information like creator, owner, description, token’s original minting platform, and price.
IPFS is a decentralized network that facilitates the users to store and share data in a distributed file system. It utilizes cryptographic hash code with every NFT to find each file separately in the distributed ledger linking computing devices.
NFT royalties are payouts paid to the creator whenever a secondary sale happens. The percentage of royalty is coded into the smart contract. According to the smart contract, a percentage of the profit is given to the creator of the NFTs at the time of secondary sale.
Burning an NFT is nothing but destroying it. This means the burnt token is sent to an un-spendable address that can’t be accessed by anyone. Therefore, once your NFT is burnt then you can’t recover it. This NFT drop.
The NFT marketplace is strengthened with the proxy contract. The proxy contract is nothing but a contract that forwards the calls to the actual smart contract. Whenever you want to make changes in the smart contract you can’t access the actual smart contract directly in turn you can access it only through a proxy contract. Proxy is used for the upgradability of your smart contract.
The owner will issue a copyright from the creator at the time of NFT creation which is pre-defined in the smart contract. This is mainly used to remove replication or misuse of digital art or NFTs.
Generally, the NFT marketplace is used to sell, buy, and store cryptos. But all these processes are only possible with wallets. Where the wallet acts as a key feature for all traction processes taking place on the NFT marketplace. Several wallets exist in the market such are Trustwallet, MetaMAsk wallet, Coinbase wallet, MyEther wallet, etc.
Proper ratings and reviews will be helpful for trustworthy buyers and vendors to get connected. They increase mutual trust among the investors and users before stepping into the marketplace.
A Step-By-Step Guide For Creating An NFT Marketplace
The creation of the NFT marketplace includes professionals in blockchain technology, framework, and database. The following are a few steps for the development of an NFT marketplace.
Step 1: Develop the product concept
You have to collaborate with the development team to confirm:
- Product niche
- Target audience
- Token protocol
- Tech stack
- Monetization model
- Distinctive features of your product
The development team builds a product roadmap once confirming the idea and specifications, then will give a general sketch for the project.
Step 2: Creating the UI/UX design
The UI speaks about how users interact with an NFT marketplace. It is crucial to give a hassle-free user experience as NFT technology is much more complicated and users may not understand it clearly. UI/UX designers must concentrate on
- Logical navigation
- Simple file uploads
- Comprehensive listing details
- Rapid status updates
- Easy user interface
Step 3: Working On The Backend And Frontend
The professional has to work on database functionality, program logic, and app architecture. On the backend, the following actions will take place
- Blockchain work
- Smart contracts integration
- Crypto wallets integration/development
- Auction mechanism development
The software and user interaction are possible only through the front end. The major goal of the front end is to provide marketplace customers with a hassle-free experience. For this, NFT developers have to select the technologies which are suitable for a specific project.
Step 4: Conducting Testing
In this phase, installation, setup, usability, security, and access control testing are performed by QA engineers. Additionally, load testing is also done due to the frequent flow of consumers in the NFT marketplace. Moreover, QA engineers analyze how software behaves in challenging situations.
Step 5: Executing the deployment
It is time to establish the NFT marketplace in the cloud once it has passed through testing. At Zodeak, we use AWS to establish NFT projects. As their services provide the best value for the money.
Technologies Required For The Development Of The NFT Marketplace In 2022
NFT is a blockchain-based technology. Before beginning to develop an NFT marketplace, you have to select the blockchain network to employ. Recently, Ethereum is the blockchain network broadly preferred by many investors and developers for creating the NFT marketplace. But high gas fees charged by Ethereum push the investors to go for an alternative blockchain network.
Token standards and smart contracts are essential code that runs on a blockchain virtual engine. A set of features incorporated in a token contract is called a Token Standard.
It mainly speaks about the features and smart contracts used in the NFT marketplace. It is like a set of rules to be followed by NFT creators to create their art. From tracking original art to confirming ownership everything will be carried out as per instructions mentioned in the NFT standards.
Likewise, a smart contract is a set of codes stored on a blockchain that facilitates automatic action once the pre-defined conditions are satisfied. All transactions and royalties will be carried out according to the instruction defined in the smart contract.
The creation of NFT Marketplace is a more difficult process, it requires skilled blockchain experts for the development process. This doesn’t mean bringing all IT experts in one place to develop a maximum viable product.
It is much better to go with an NFT marketplace development company like Zodeak, an experienced team to build and market your NFT marketplace in a short time span.