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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 each being entirely unique. NFTs are tokenized via a blockchain and are assigned unique identification codes to be easily distinguishable from one another.
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 experience, or video game assets. So, those who create NFTs can consider formats such as MP3, JPG, GIF, MP4, SVG, PNG, and many more.
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 got 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 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.
But how much does it cost to create an NFT project? Moreover, how much does it cost to create an NFT collection?
Read on to find out.
How Much Does It Cost to Create an NFT?
Usually, the cost of creating an NFT depends on the processes and platforms you choose to use. However, it can range between a few and hundreds of USD.
Create the Artwork
Some users create their own artwork for NFTs. Others, on the other hand, decide to collaborate with an artist in order to shape it. If you decide to create the NFT by yourself, the cost may not even exist for this step. But if you decide to work with someone to create the NFT artwork, the cost might vary depending on their fees.
Mint the NFT
Minting the NFT means transforming the artwork into a proper non-fungible token. This implies giving the artwork a blockchain code to move it in the crypto space and make it non-fungible.
Some of the most popular blockchains where you can mint NFTs include Ethereum, Polygon, Tezos, Solana, and Avalanche.
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.
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 are OpenSea and Rarible.
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. Also, you will need to approve WETH for use.
SIDENOTE: WETH is an ERC-20 token equal in value to ETH that allows users to make bids for NFT transactions.
Can NFTs be created free of cost?
In some cases, yes. For instance, the Polygon blockchain allows users to mint and list an NFT for free. This process allows creators to build the NFTs on a blockchain different from the main one.
However, if you decide to work with this type of minting (also called lazy minting), you will be paid only when the NFT is sold. When the non-fungible token is sold, it is published on the main blockchain. This process is usually recommended for those creating an NFT for the first time.
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, Solana, for instance, has an average NFT minting price of around $2.
How much does it cost to create an NFT on Rarible?
Minting fees usually depend on the blockchain used for creating 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.
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 3 main steps: creating the artwork, minting the NFT, 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.