7.4.0. NFT Marketplaces
NFTs are special types of cryptos. Not only do they have monetary value, but they also have aesthetic value. NFTs add beauty to the Crypto Market.
In a regular wallet, NFTs appear as tokens. Therefore, to be able to see the aesthetic side of an NFT, a different type of platform will be required. These platforms are known as NFT Marketplaces.
Four Characteristics of NFT Marketplaces
NFT Marketplaces have the following characteristics:
(a). They offer audiovisual perception of NFTs. That is, they are platforms where you can see an NFT in its beauty and hear any sounds crafted into it.
(b). Most of them do not have wallets and therefore do not store your NFTs. Hence, you will need to connect your wallet to a marketplace to be able to see and hear the NFTs that are stored in the wallet.
(c). They are peer-to-peer platforms. Meaning that they are platforms where the seller and buyer meet and transact their NFTs.
(d). Besides buying and selling, NFT marketplaces offer other services like minting, auctioning, etcetera.
Growing Profitability of NFT Marketplaces
Popular NFT marketplaces include Rarible, Binance NFT, Opensea, Openocean, and VeVe.
The popularity of NFT marketplaces can be seen in the stupendous amount of profits they declare.
For instance, Open Sea launched in 2017 with 2 million USD in start-up funding.
In the second half of 2020, NFT transactions on OpenSea grew to about 1 million USD per month. By April 2021, the transactions have grown over 20 million USD per month, and it is still growing!
Hope you understand the meaning of this! It simply means that NFTs are, indeed, becoming very popular, and those who are transacting with NFTs are reaping huge profits. You can be among the number. Remember, the Crypto Market is still very young and has a lot of profitability to offer.