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Among all the crypto market updates, the NFTs topic (Non-Fungible Tokens) has become pretty popular among crypto enthusiasts. And considering the tremendous prices some NFTs reach, many users have one key question: how much does it cost to create an NFT?
In this article, we will discuss the prices required for creating an NFT, the steps to follow to see your NFT on a specialized marketplace, and what users should consider when creating an NFT project.
What Is an NFT?
Non-fungible tokens (NFTs) are digital assets usually characterized by their uniqueness. The “non-fungible” part means that they usually cannot be exchanged with another similar asset, as they will differ pretty much and cannot be compared.
For instance, you can exchange USDT for ETH, but you usually cannot trade a Bored Ape Yacht Club NFT for a CryptoPunk, no matter their price. Instead, you can sell the Bored Ape Yacht Club digital collectible for ETH and then use that ETH to purchase a crypto punk.
NFTs are tokenized via a blockchain and are assigned unique identification codes to be easily distinguishable from one another. The NFT creation process is called “minting NFT art” and implies basically getting it on a blockchain and on one of the available NFT marketplaces.
Even though non-fungible tokens are usually associated with artwork, they can take many other forms, such as smart contracts, audio files from games, real-life assets or experiences, or video game assets. So, those who create NFTs can consider formats such as MP3, JPG, GIF, MP4, SVG, PNG, JPEG, WAV, and many more.
For instance, Coachella recently launched an NFT collection that offers holders access to special events from the festival, as well as general passes and various other perks.
NFTs can be exchanged or traded for fiat, crypto, or other NFTs, but this usually depends on the NFT we are talking about or the value set for a particular non-fungible token. However, some NFTs made a buzz when they were sold, which may be one reason why users are extremely intrigued by the whole concept.
For example, the most expensive NFT ever sold was developed by Pak, an extremely popular NFT artist. “The Merge” had a starting price of $575 but was sold for $91.8 million on December 6, 2021. The Merge was divided into 312,686 pieces and held by 29,983 investors.
NFTs vs Cryptocurrencies
Some think of NFTs as another cryptocurrency or ask why cryptocurrencies are not NFTs. Basically, NFTs are digital tokens, as well. After all, they are called non-fungible tokens. However, the key difference between NFTs and other cryptocurrencies is that the latter can be easily interchangeable.
For instance, if you want to trade USDC for ETH, you can do that easily and quickly. This means that cryptocurrencies are fungible.
On the other hand, non-fungible tokens are not interchangeable. Even if they were built on the same blockchain, users cannot exchange one NFT for another directly.
Besides, the prices of NFTs and cryptocurrencies are determined differently. While the price of a digital collectible is influenced by the asset’s value and scarcity, regular crypto coins and tokens are influenced by market fluctuations and various related events.
Just think of the time when spot Bitcoin ETFs were approved, and the entire crypto market exploded. Of course, the market conditions can influence non-fungible tokens, too. For example, at the moment, we can notice a slight decrease in interest regarding NFTs, and this affects assets’ prices, trading volumes, and more.
Here are some of the main similarities and differences between NFTs and crypto:
| NFTs | Crypto |
| Digital assets | |
| Blockchain-based | |
| Volatile | |
| They both benefit from blockchain advantages (e.g., transparency, security, decentralization, etc.) | |
| Unique | Uniform |
| Non-interchangeable | Interchangeable |
| Can have many formats (e.g., JPEG, JPG, MP3, MP4, SVG, WAV, and more) | Has only one format |
| Not all blockchain networks support NFTs (still, most do) | Supported by all blockchain networks |
| The price is determined by the asset’s value and scarcity | The price is mostly determined by market fluctuations |
But how much does it cost to create an NFT project? Moreover, how much does it cost to create an NFT collection?
Well, let’s find out.
How Much Does It Cost to Create an NFT?
It is usually pretty hard to say how much it costs to create an NFT, as the price depends on many factors. For instance, it can depend on the format, the blockchain you use, the marketplace fee, the gas fees, whether you choose lazy minting, the complexity of the digital collectible, and many more.
However, it is safe to say that there is no free NFT, and NFT minting costs can go anywhere from a few dollars to even thousands of dollars. But let’s analyze it more based on three main steps involved in the creation of NFTs: creating the artwork, minting NFTs, and listing it on a marketplace.
Create the Artwork
Some users create their own artwork for NFTs. Be it photography, art, passes, or other types of digital collectibles, the NFT creation process can be truly captivating as you use your skills to share your feelings through various types of art.
Besides, when creating your own NFTs or NFT collections, you control their complexity, and you know exactly how you want them to look and what traits they should have. Just imagine that an NFT artist photographed his pancakes for 7 years and created an NFT collection with those photos called “7 years of pancakes.”
Other users, on the other hand, decide to collaborate with one or more artists in order to develop NFTs. This implies paying the artist(s) according to their fees and it may also involve some slight changes in the design, thus more hours of work. However, if you want to enter the NFT space and do not have the skills required to develop such digital art, collaborating with established artists can help you.
Still, you should also consider that many NFT collections these days are created with the help of generative AI (Artificial Intelligence), thus you would only need some skills regarding how to create the right prompts for AI to deliver what you are looking for.
Costs of Creating NFT Art by Yourself
In some cases, if you decide to create the NFT by yourself, the cost may not even exist for this step. Still, you might have to purchase various software or hardware to help you create NFT art.
For instance, let’s say you want to create an NFT with an MP4 format. You will need specialized software to let you develop it, such as a video editor or, in some cases, 3D animation software, considering that 3D NFTs are gaining remarkable popularity these days. Thus, you might need to allocate some funds to buy such applications or subscribe to certain services.
How Much Does It Cost to Hire NFT Artists?
If you decide to work with someone to create the NFT artwork, the cost might vary depending on their fees. While some beginner artists can charge a few tens of dollars per hour or for an entire piece of art, others can have significantly bigger fees.
Thus, depending on the artist you choose to collaborate with, the number of NFTs you ask them to develop, and their complexity, you can either pay a surprisingly small amount or reach thousands of dollars.
Mint the NFT
Minting the NFT means transforming the artwork into a proper non-fungible token. This implies giving the artwork three main elements:
- Identifier – An identification number of a digital collectible, usually consisting of an alphanumeric sequence;
- Metadata – The NFT’s file name, information, and description, all being stored on the blockchain;
- Signature – An element that proves the authenticity and uniqueness of the NFT.
Minting NFT art requires “registering” or “storing” your digital art on a blockchain. Now, as we mentioned before, not all blockchain networks support NFTs, but the good thing is that most of them do.
Some of the most popular blockchains where you can mint NFTs include Ethereum, Polygon, Tezos, Solana, and Avalanche. They are popular and widely used either thanks to their low transaction fees or user-friendly minting process.
Currently, Ethereum can be considered the top choice when it comes to this action, but the main downside of the Ethereum blockchain is that the NFT minting cost can reach tremendous amounts.
The fee you have to pay for minting an NFT is called a gas fee, and it is required by the network you decide to use for your artwork. Thus, the gas fee can range from less than $1 to thousands of dollars. In Ethereum’s case, network congestion can determine sky-high gas fees, and considering Ethereum’s scalability problem, the network might get congested pretty easily.
On the other hand, there are some networks that have lower gas fees. For instance, Solana, Polygon, and Binance Smart Chain (BSC) are among the top choices when it comes to safe networks, which also focus on low fees.
Still, when choosing the blockchain where to mint your NFT, you also have to consider the popularity of a certain network. The NFT market benefits from plenty of blockchains supporting this type of digital asset, but not all of them are popular enough to help you sell your digital artwork.
At the moment, Ethereum is the most popular network for minting NFTs, followed by other top networks. If you choose a less popular blockchain for its low fees only, it is highly possible that your NFT will have a hard time finding its new owner.
Thus, you have to find an option that combines a decent level of popularity with lower fees, high security, a significant user base, and bright scalability. This way, you will lower the NFT creation costs while also offering your NFT a higher possibility of getting sold.
List the NFT
After minting the NFT, you have to list it on an NFT marketplace. There, users can check it out and purchase it. Some of the most popular NFT marketplaces include OpenSea and Rarible, Nifty Gateway, and SuperRare.
When you list your NFT, you may be required to pay a listing fee. For instance, if you decide to list your non-fungible token on OpenSea and it is your first listing, you may be required to pay gas to allow Seaport to interact with your artwork.
The fees usually differ from one platform to another, but the most popular and widely used marketplaces have the following fee structures:
- OpenSea charges 2.5% for every transaction, but listing the NFT can be free of charge;
- Rarible also charges transaction fees, taking 1% on the buyer side and 1% on the seller side;
- Nifty Gateway charges 10% + $0.30 on every market sale. According to the website’s help center, it seems that there are no fees for listing NFTs;
- SuperRare charges a 3% network fee added to the total price. The fee is paid by the buyer.
FAQ
Can NFTs Be Created Free of Cost?
Some may say that you can create an NFT for free, but it’s quite unlikely not to have any type of cost implied in the process.
Whether you purchase specialized software, subscribe to a service, hire someone to create an NFT, pay gas fees or listing fees, there are many costs that may occur on the way.
What is the Cost of Creating an NFT on Different Platforms?
As we mentioned before, the costs for creating an NFT vary depending on the blockchain used and the NFT marketplace where you list your non-fungible token. However, some average fees can be 0.00001 SOL (approximately $0.0019) for Solana, 2.5% for Polygon, and between $0.01 and $1,000 for Ethereum.
How Much Does It Cost to Create an NFT on Rarible?
Minting fees usually depend on the blockchain used to create the NFT. However, in October 2021, Rarible launched the “Lazy Minting” feature. This feature allows users to create an NFT without being required to pay gas fees. Instead, buyers will have to pay the gas fee when they decide to buy the NFT.
How Much Does It Cost to Create an NFT on OpenSea?
OpenSea does not charge fees for creating, listing or selling a non-fungible token. The only fee required by the platform is the transaction fee, which now reaches 2.5% of an item’s price.
Final Thoughts
With the world constantly talking about crypto and the new technologies provided by the industry, many crypto enthusiasts have one main question that comes to their minds: how much does it cost to create an NFT?
Usually, creating an NFT has 4 main steps: creating the artwork, minting the NFT, listing it, and selling the NFT. Each step can come with various fees, such as the gas fee a blockchain requires when minting the NFT.
However, it is important to note that NFT marketplaces do not require any fees for creating an NFT, and the fees NFT creators have to pay may vary depending on the blockchain used.
