Knowing how to price your NFT art for sale is a bit of a tricky situation. The NFTs we hear the most about, like Beeple’s, make millions of dollars. But the ones you have stored in your collection are probably worth much less. So, how much should you sell your NFT art for?
Market fluctuation could be one of the driving factors behind the NFT pricing debate, but many other aspects keep the tokens from reaching their stride. Read on and learn how much you should gain from selling your NFTs.
Pricing Non-Fungible Tokens
Pricing is tricky. The market moves, and demand changes so quickly that the value of your tokens could vary from one minute to the next. Also, the prices could be set low and driven higher by auction or gas fees. Gas fees can be huge, and we wrote about the average costs here. However, if you have a general idea of what makes the market move, you have a better chance of pricing your nifty token.
Demand is What Makes Your Token Rise in Value
If you have a phenomenal token, a viral meme, or a limited edition digital sports card, more people are going to want to acquire the rights, and that obviously will affect the price. This demand is just like any other product in that the more people want to own it, the more they are willing to pay to get it.
So more demand means more money is thrown at your NFT.
A few ways demand can influence your token’s value are:
- Popularity – The popularity of your non-fungible token can make the demand rise. Let’s say you design a token that turns into the next sticker for kid’s lockers. The more kids want to sport it on their books or locker, the more the demand for your property increases, and with that increase comes more money.
- Ad Space – Companies could buy your designed icons for their new ad campaign. Companies that don’t have an advertising wing will go out of house to buy their artwork and designs. When a company acquires your work, it will be a hot item in your collection and could draw a higher price.
- Famous Attachment – If you, or a person attached to the minting, are recognized, you can bet that people will want your token. People will flock to the currency just to have a piece of their celebrity like viral memes.
- Scarcity – Being scarce will drive up demand. Think of NFTs like baseball cards from long ago. These cards, because of attrition, become more valuable each year because there are going to be fewer of them.
Demand is a weird thing. It is one of the hardest things to judge in the market and one of the most potent forces. People want things related to their favorite artists and non-fungible tokens; outside of that, it is a rarity that makes people want to own something.
We should also mention the idea of vanity. People love showing off what they own. We wrote an entire article about where you can show off your NFT collections.
The Purpose of the NFT Can Affect Pricing
Having a reason to mint an NFT could significantly affect the price. People have tons of reasons, outside of personal gain, for taking the time and effort to mint a non-fungible token. If you have a token for fundraising or a higher purpose, it could mean a different price tag.
Some of the purposes that could make your pricing change are:
- Fundraising – If you are making a token that benefits one of the major fundraising efforts, setting a higher price could be the way to go. Charity makes people empty their pockets, and having an NFT that favors a person’s favorite charity will drive up the price.
- Promotional – Other tokens could create awareness or remember a place or event. For example, concert tickets have begun to come with NFTs that reward them for attending a specific show or having a particular album.
Purpose is the noblest thing that can influence prices—creating something that goes to charity can increase traffic to your collection marketplace. If you regularly participate in donation drives, using that purpose to raise your prices is a great idea.
Plus, people love an excellent write-off for their taxes, and dropping coin to help people and reduce tax liabilities can be a win-win. Obviously, talk to your tax professional before making a big NFT charity purchase.
Different Types of Non-Fungible Tokens Draw Big Bucks
The type of NFT you mint could influence how much you should charge for it. Some people only collect certain types of tokens. The different types of tokens, collectors, and investors could be heavily influenced by what type of NFT you make.
The different types of NFT that people collect are:
- Art – Some of the most expensive pieces of NFT are usually art. Famous artists create tiny icons or moving works of liquid art that are incredible pieces. Depending on the artist and the medium, these pieces could be listed for a much higher price than a gif or audio piece.
- Meme – The language of social media is a hotbed for people looking to collect or mint NFTs. Memes, or the rights to use them, can have a hefty price tag depending on the subject’s popularity.
- Music – Musicians are creating new revenue streams by minting NFT. They make tokens that give total or partial rights to their collectors. These partial tokens are a way for them to hold the rights to the music after selling it to other users.
- Sports Cards and Highlight Moments – The sports community has embraced sports coards and video moments. Imagine owning the clip of Jordan or your favorite player dropping a nasty dunk.
- Games – NFT games are huge and only gaining in popularity. Expect this class of NFTs to have a huge share in the NFT marketplace.
The type of NFT you make can be a significant determining factor with price. For example, making a meme that catches the heart of the internet would make the property very valuable, and making it non-fungible gives people a concrete way to protect their investments.
Plus, now we are seeing fractional ownership of high-value NFTs, which means if you own a high-value NFT, you may want to sell fractional ownerships, which may command a higher price!
Investment Price Could Affect the Price Tag of Your NFT
NFTs are big business now. Companies can sink thousands of dollars into making an NFT for sale. However, once produced, the creators must consider all the money they spent during minting. While there are ways to lazy mint tokens, there will always be an investment in materials or tools for them.
A list of things that could be counted as an investment are:
- Computers (I use an iMac)
- Wacom Tablets
- Art Supplies
- Musical Instruments
You should consider every item used on the project as something that needs to be recouped with a price set. You can hold off on large ticket items, like computers, until necessary, but be prepared to incur some form of expense during minting.
How the Factors Combine to Determine Pricing
Now that you know what factors will affect your token, you can get a general idea of its worth. What it brings on the market and what it is worth to you could be two opposing forces. Don’t be afraid to gamble on the market; art pieces that go for auction can always resurface later at affordable prices.
Once the minting is complete, take all the totals of your estimates and sales receipts to get your bottom dollar. The bottom number is what it takes for everyone to get their expenses paid. Then, adding additional percentage points, anywhere from 20 to 50%, is where you may want to set your price. Again, keeping a sharp eye on the market will help you know which percentage is best for you.
Of course, you need to get buyers’ eyes on your NFTs, and there are a few unconventional ways to do so, as we explain here.
Marketplaces for Your NFT
Having a good place to list your non-fungible token once it is ready can be an endeavor. You will most likely use the same platform that you created the token to list it. There are so many different sites out there that choosing another one could delay the release of your token even further.
However, some of the best marketplaces to list your token are:
These markets are the most used and well-known. Their users have tons of knowledge on message and video boards, so you can tackle any problems with the coding or any other random accident that could happen.
OpenSea is One of the Largest Marketplaces for NFT
OpenSea is a great place to create and sell your NFT. It was one of the first places you could lazy mint tokens and create an affordable process for all their creators. The workplace is one of the most imitated pieces of software in the market, and users get used to the easy searching interface.
A few reasons to choose OpenSea as your marketplace are:
- Collections – OpenSea has a wide variety of collections that cover tons of different types of design. With many other collections to choose from, you are sure to find the right home for your listing.
- Interface – The interface of the app is bright and easy to use. Being easy means a lot for those miners coming from different backgrounds, like music, who feel more comfortable using the software.
- Wallet – One of the biggest things about OpenSea is pairing with Metamask wallet. This pairing is encouraged as they are both created by the same company. Having both companies under the same roof means that issues between the two can be solved much quicker than other wallets.
- Cooperative Benefits – Another great reason to choose OpenSea is that it benefits all creators involved in the process. There are timestamping and tamperproof bots built into the system to protect each other’s work if there is an issue with compensation down the line.
OpenSea is one of the greats. They have a platform that is easy to use and features large interface buttons. More accessible buttons and functioning are a big plus for people who could be unfamiliar with the blockchain process.
Rarible is Great for Listing and Lazy Minting
Rarible is the home of a fantastic marketplace and more great lazy mining options. They have a pretty straightforward interface that puts art pieces on display while keeping the prices and trends tucked away at the bottom. This setting focuses on the art and makes creators flock to the page.
A few reasons to choose Rarible as your marketplace are:
- Trends – One of the most exciting features of Rarible is your ability to see who is following who and what the trends are. These trends could reveal a way to add your percentage points to a final sale or set your beginning price.
- Interface – The interface will be a bit less in-depth than the OpenSea model. It is sleeker for a reason, to encourage minting. More miners mean there’s more trading, and more trading legitimizes the crypto.
Rarible is a pretty fantastic minting site. You can take all your team’s work, and with a few simple lines of code, you can create an investment that has the potential to make all your financial dreams come true.
Crypto is a Leading NFT Marketplace for All Types of Tokens
Crypto was one of the first places on the internet where you could trade all kinds of cryptocurrencies. They were one of the first people to move their trading to an app, which opened up the market for several thousand more traders per day.
A few reasons to choose Crypto as your non-fungible token marketplace are:
- Currencies – There is a way to trade all types of crypto on the platform. If you need to shift around some BitCoin into Ethereum, all you need to do is jump over onto the main page and click “Trade.” The market will show you the current rates, and you are off to the races.
- Portability – The fact that you can trade your NFT with an app is a huge draw for some people. Crypto has one of the best-reviewed apps in the app store, with thousands of users downloading the app daily.
Crypto is def one of the best places to trade NFTs. They don’t have a lazy minting option but do have access to trade all your currencies in one place. That means you can swap things around to make the project work and put things back in order once the token finds a buyer.
Foundation Ap
One of the top destinations for NFT artists and their community is top-notch. They have an invite-only policy for new NFT artists to mint and list their NFTs, which helps with the over-saturation of art.
- Interface – they have a clean and modern design
- Meta Mask – One of the most widely used crypto wallets is Meta Mask and Foundation allows it’s use.
Nifty Gateway
This platform is a no-brainer. It’s of the most popular platforms and most exclusive. They only allow and promote the top artists of the world onto their platform. If you’re nobody, chances are you arent going to be invited to work with them.
If you are a collector, this place is great. You really get amazing opportunities to bid and purchase amazing art. I bought a few dope pieces on this platform.
- Famous Top Artists – They only mess with the best. Check out their site to see what I’m talking about.
- Easy to Use Market Stats – You can get up to the minute sales stats very easily on the NFTs you are looking to purchase. This is another easy way to guage NFT value.
- Global Offers – Want to purcahse a particular NFT? You can make a global offer for the NFT and see if an owner wants to sell for that price.
Conclusion
Knowing where to set your price point for your NFT will take a bit of work. This is because you have to consider several different factors that influence how the token was created, like work hours and business expenses. However, combining these numbers, and adding your profit percentage, will give you a great place to start with pricing.
There are a few different sites you can choose for listing your NFT. However, it is best to use the same app to mint as for sales. This keeps all the coding the same, and no curveballs can show up during your process.
If you need some more money-saving info, you have to read these popular articles:
- How Much Does It Cost To Burn & Destroy An NFT? (Complete Guide)
- Do NFT Creators Get Royalties? 8 Things to Know
- The 3 Cheapest Ways to Mint an NFT: Full Breakdown