How To Buy An NFT on Binance NFT
Binance NFT: Beginner's Guide
What is an NFT?
NFT stands for non-fungible token. These are digital tokens that can represent any form of asset, whether it’s art, in-game items, music, or videos. What makes them non-fungible is that they can’t be replaced with something else. An example of something fungible would be a Bitcoin, you can replace a Bitcoin with another Bitcoin. However, with NFTs, you cannot replace the NFT with something similar since each NFT is unique.
NFTs have been around since 2014. However, they have gained popularity mainly because of their use in the art industry. Over the past year or two, artists have realized that NFT technology can be used to sell their artworks on the blockchain. This gives them the reach of the internet with proof of ownership of blockchain technology. The blockchain can also be used to verify that the digital artwork being sold is the original, preventing counterfeits, which is one of the main issues of displaying artwork to such a large audience.
Introducing Binance NFT
Advantages of Binance NFT
Support For Multiple Blockchains
Binance supports multiple blockchains, giving you a one-stop platform to be able to easily list your NFT no matter what blockchain it was minted on. This gives you more freedom of choice. It won’t matter if you want to mint your NFT on the Ethereum blockchain or the Polygon network, with Binance you can list your NFT no matter the blockchain.
A Wide Variety of NFT Collections
Binance provides NFT speculators a marketplace with a wide variety of NFT collections that include gaming NFTs, art NFTs, sports NFTs, and more. This makes it an ideal marketplace for every NFT speculator and creator no matter what type of NFTs they are into.
Low Trading Fees
When you sell an NFT, you do not want to lose the money that you earn through trading fees. With a 1% flat fee, Binance is one of the cheapest exchange platforms to trade on, especially when minting or selling your NFT.
High Liquidity
Liquidity is one of the biggest problems when trading. If an exchange platform does not have enough liquidity then the price of the trading pair will be negatively impacted, working against you. Imagine trying to sell the cryptocurrency that you earn from an NFT sale only to have the selling price of your cryptocurrency significantly decrease. This would result in you earning less fiat value for your NFT than you could have. Fortunately, with Binance’s high trading volume, comes high amounts of liquidity. So when you sell your NFT for a few million Dollars and want to cash out the cryptocurrency you earn, then Binance is the best exchange platform to do it, and since their exchange is connected to their NFT marketplace, you can leverage the trading liquidity that their exchange platform has to offer.
Trusted Platform With a Good Reputation
In the cryptocurrency space, reputation is everything. People wouldn’t trade on an exchange that was regarded as a scam because they would risk losing their money. Keeping that in mind, earlier we mentioned that Binance is the largest cryptocurrency exchange in the world in terms of trading volume, which means that it has one of the best reputations in the cryptocurrency space. Furthermore, you can leverage this reputation when listing your NFT on Binance’s marketplace, allowing you to charge a bit more for your NFT.
Large Audience
Building on Binance’s reputation in the cryptocurrency space, their NFT marketplace gives you access to their large customer base, which gives you a larger audience to market your NFT too!
Binance Smart Chain Allows Quick Withdrawals With Low Fees
After you have sold your NFT, you can withdraw the fiat value in two ways. You can either trade the cryptocurrency that you earned in the sale with a supported fiat currency and then withdraw that fiat value into your bank account. Otherwise, if your local fiat currency is not supported on Binance, you can send the cryptocurrency from Binance to your local exchange and then exchange for, and withdraw, your local fiat currency. Going with the latter option will require you to send your cryptocurrency from Binance to your local exchange through a blockchain network. Ethereum is the most popular network to do this. However, Ethereum’s popularity comes at a price. Due to the high levels of transaction congestion on the network, transaction fees are very high and the network is relatively slower than what is possible. This is where Binance’s Smart Chain (BSC) can assist. BSC enables quicker transaction times and lower transaction fees than any other public blockchain. This, coupled with its support for multiple cryptocurrencies, makes it an attractive option when wanting to transfer your cryptocurrency and not pay exorbitant transaction fees.
Binance NFT Mystery Boxes
NFT mystery boxes can be purchased from NFT marketplaces like Binance NFT. You can open the mystery box whenever you want or try to sell it without opening it for a profit, if you are lucky, you can get a super rare NFT that sells for thousands or millions of dollars. If not, you will likely get a common NFT that your fellow mystery box owners also have in their collection.
How to Deposit Your NFT on Binance NFT
Before we take a look at how to deposit your NFT on Binance’s NFT marketplace, there are a few requirements to be aware of.
Requirements
- Binance only accepts NFT contract addresses that have been fully integrated with Binance NFT. It is important to note that you will NOT be able to deposit NFTs with non-approved smart contracts addresses.
- Binance is constantly working to expand its list of supported NFT smart contracts.
Now that we have gone over the requirements to be aware of before making your deposit, let’s continue.
Connect Your Wallet
The first step is to connect your wallet. To do so, follow these steps:
- Go to User Centre and click on Deposit.
- Choose the network of your wallet, this can either be Binance Smart Chain or Ethereum, then click Confirm.
- Select which wallet you want to connect. This can either be MetaMask or WalletConnect, then click Sign.
Please note that you need to install the MetaMask extension in your Chrome browser before initiating the deposit process.
Make Your First Deposit
The next step is to make the deposit, which can be achieved through the following steps:
- Click Deposit NFT. Then paste your NFT’s contract address under Contract Address. Lastly, click Confirm. Do NOT enter the contract address manually.
- After verifying the contract address, you’ll be presented with your NFT collection. Choose the one that you want to deposit and click Confirm Deposit.
- Set the gas fee for your deposit and click Confirm.
Now that we have taken a look at how to deposit your NFT to Binance, let’s take a look at how to list your NFT on Binance NFT.
Listing Your NFT on Binance NFT
Once your NFT is deposited on Binance, you can head over to the NFT Asset page to start the process of listing the NFT on Binance’s NFT marketplace. Once there, make sure that you are looking at the Collections section. You then have to choose the NFT that you would like to list. Once selected, you will then be navigated to the NFT’s Description page. Click List NFT to navigate to the listing options for your NFT.
Before listing your NFT, you’ll need to decide on the sale settings for your NFT. These settings include whether or not your NFT will be auctioned or sold at a fixed price, and the duration of the sale. If you want to auction your NFT, then select the Highest Bid option where it asks to select your sell method. If you want to sell your NFT at a fixed price, then select the Set Price option.
If you are setting up an auction for your NFT, the next step will be specifying the minimum bid for your sale which is the starting price for your sale. For a fixed-price sale, you can just specify the price for your NFT. You’ll also be able to specify the cryptocurrency that you would like to receive for the sale for both options.
The next step is to specify the date and time the auction or fixed price sale will end, limited to no more than 7 days from the time of listing. You will also need to categorize your NFT. Categorizing your NFT will help attract the right audience for your NFT. The last thing before you submit the NFT listing request for review is to add a fitting description and, if applicable, any utility that the NFT might have such as a benefit in a game, etc.
The last step is to click the Submit button. The Binance team will then manually review it. The review will take between 4-8 hours. You can also customize the listing time of your NFT, starting a minimum of 12 hours from the time you submit your listing request. If your NFT is still in review at your specified listing time, then the Binance team will list the NFT immediately after the review is approved.
Now that your NFT is deposited and being reviewed by the Binance team, let’s take a look at a few tips on selling and promoting your NFT on Binance.
Tips on Selling and Promoting Your NFT on Binance
Research The Most-Purchased Categories
Research is probably the most important thing to do if you want to increase the chances of your NFT selling. See if you can find information regarding the most popular NFT categories that people are trying to get their hands on. Equipped with this knowledge, you can then create an NFT that falls under the most popular categories.
Come In Lower Than Your Competitors
Also, something that you will be able to do with a little bit of research, try to see what the average price for NFTs similar to the ones you are selling are going for in the marketplace. Then come in with a price lower than all of your competitors.
Create Exclusive Collections
Speculators are crazy about NFTs that are exclusive, especially collections. See if you can market your NFT as exclusive and as part of a themed collection. This way you can also sell more NFTs for anyone that wants to get their hands on the whole collection.
Final Thoughts
NFTs are the latest craze in the cryptocurrency space. So much so, that one of the largest cryptocurrency exchanges in the world, Binance, has created its own NFT marketplace. Listing your NFT on Binance NFT comes with all the benefits that the Binance exchange has to offer. Users can also benefit from Binance’s Smart Chain, which enables lower network fees and quicker transaction times.
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