Top NFT Marketplaces of May 2022 – Forbes Advisor UK
Non-Fungible Tokens (NFTs) give you ownership of artwork, music, videos, and other online collectibles. They exist on blockchains, the innovative technology that underpins cryptocurrencies like Bitcoin.
As the popularity of NFTs has grown, the NFT market has soared to over $40 billion, according to the 2021 NFT Market Report published by blockchain data firm Chainalysis.
Here are some of the most popular and top rated NFT marketplaces where you can buy and sell these digital assets.
The Best NFT Marketplaces of May 2022
OpenSea is old by NFT standards, having launched in 2017, and it is also among the largest active NFT marketplaces today. It hosts many popular NFTs, including art, music, photography, trading cards, and virtual worlds.
The main cryptocurrencies used on OpenSea are Ethereum, Solana, and USDC, and the payment options feature other cryptos. Just note that you cannot use fiat currencies like British Pounds or US Dollars.
On the bright side, OpenSea is very newbie-friendly. You can create an account for free in minutes and start browsing NFTs immediately, and you can even create NFTs on their platform.
For costs, OpenSea charges a fee equal to 2.5% of each transaction. You also need to pay “gas fees” to conduct NFT transactions with Ethereum. Gas fees are transaction fees paid to miners.
If you’re looking to avoid gas fees, you can buy and sell NFTs with Polygon. But you’ll need to make sure the NFT item you’re interested in displays the Polygon logo.
In short, OpenSea is a solid choice for beginners looking to get started with a simple market and want as many NFT options as possible.
Rarible allows users to buy and sell art, collectibles, video game assets, and NFTs. You can buy and trade on Rarible with Ethereum, Flow, and Tezos.
Rarible charges a flat fee of 2.5% on each transaction, plus gas fees. A cool feature is that you can purchase NFTs using a credit card, which allows fiat currency transactions.
An interesting aspect of Rarible: rather than letting internal management decide everything, Rarible has created its own native token called RARI. ARRI holders can vote on company decisions such as company policy changes.
In 2021, Rarible announced a partnership with Adobe to make it easier to verify and protect metadata of digital content, including NFTs.
For those who want access to a large network with strong connections, Rarible might be the best NFT market. At the same time, it still follows a decentralized mindset.
NBA best shot
If you’re a huge basketball fan, the NBA Top Shot marketplace lets you buy NFTs of great moments in basketball history.
You can buy music videos, play highlights and art for the NBA and WNBA. But some of those “moments” don’t come cheap. A LeBron James slam dunk video grossed $208,000 in February 2021.
The NBA built and manages this NFT marketplace, and they have exclusive rights to these music videos. Plus, you know you’re dealing with a large, reputable organization.
The NBA Top Shot market is an example of major companies following this trend. Others include the DraftKings marketplace and the Associated Press NFT marketplace. Even GameStop plans to launch an NFT Marketplace this year.
Users can purchase Moment NFT with credit/debit cards or select cryptocurrencies, such as Bitcoin, Ethereum, Bitcoin Cash, DAI, or USDC. And of course, fees are added to the purchase price, whether you purchase this iconic moment with a credit card or cryptocurrency.
Binance, one of the largest cryptocurrency exchanges, added an NFT marketplace in 2021. The international crypto exchange is one of many other industry players entering the NFT space, such as Crypto.com NFT, which describes itself as a highly organized NFP market.
Binance NFT offers the typical digital assets found on other major platforms: artwork, game items, and collectibles.
A major advantage of Binance NFT is that it charges very low fees. The platform only charges a 1% trading fee. It is also a user-friendly platform built using similar technology and layouts as their exchange.
As such a big player in the crypto space, Binance also runs on its own blockchain, which gives it an added edge.
Nifty Gateway is known for hosting expensive and exclusive NFT sales, including digital artist Pak’s “The Merge,” which sold for $91.8 million. It made headlines when the platform was acquired in late 2019 by Gemini, which is run by the Winklevoss twins, Cameron and Tyler Winklevoss.
This market focuses on works of art, especially works by celebrities and high-profile artists. To stimulate demand, Nifty Gateway uses an “open editions” system. When a new type of NFT is released, you can only purchase editions for a limited time.
This market allows you to make purchases with your credit card. Nifty Gateway could be the way to go if you’re looking to make a big investment in NFTs and want to access some high-end options.
SuperRare is a premium NFT art marketplace that positions itself in the NFT ecosystem as an art gallery. This marketplace does not accept “meme-style” NFTs and is very selective with NFT submissions.
Since SuperRare spends so much time reviewing the work before it’s available for sale, investors can feel more confident in the quality. For their services, SuperRate charges 15% the first time an NFT is sold in the primary market. There is also a 3% flat rate on each transaction, which the buyer pays.
SuperRare might be a good choice for someone looking for high-end NFT artwork, especially more classically styled pieces.
What is an NFT Marketplace?
An NFT marketplace is a digital platform for buying and selling NFTs. These platforms allow users to store and display their NFTs and sell them to others for cryptocurrency or cash. Some NFT marketplaces also allow users to mint their NFTs on the platform itself.
In exchange for a fee, the NFT marketplace will typically handle the transfer of an NFT from one party to another.
Each NFT market has its own system for its operation. The types of NFTs available, fees, payment options, allowed blockchains, and other rules will depend on which one you are using.
How do NFT marketplaces work?
When you create an account with an NFT market, you can browse all of their available options for sale. You can also add a payment method, and some require you to link a crypto wallet to pay with crypto, while others allow you to use a credit card.
Some sites let you buy NFTs directly at a fixed price, while others use an auction. If you finalize the transaction, the NFT market will register it on its blockchain indicating the change of ownership.
What is typing?
In the world of NFTs, minting refers to the process of creating new NFTs on a blockchain, most often Ethereum.
When you create an NFT, you save data that includes a new NFT into a new block which is then added to a blockchain.
Hitting an NFT usually comes with a fee. For NFT systems that use the Ethereum blockchain, this cost is paid in gas, a crypto token used to perform functions on the Ethereum blockchain.
Increasingly, NFT marketplaces are getting creative about how, when, and to whom minting fees are charged.